Market Trends of Video Conferencing Hardware Industry
Commercial Space Segment Expected to Hold Significant Share
- The wide adoption of video conferencing hardware in the commercial space is driven by the need for effective communication and collaboration tools, especially as the trend toward remote and hybrid working models increases.
- Businesses use video conferencing to enable virtual meetings, project collaboration, and real-time communication between geographically distributed teams. The need for secure and seamless communication solutions, combined with the need to improve productivity and decision-making processes, has put the business at the forefront of video conferencing implementation.
- The demand for video conferencing in the office is increasing as it helps to boost productivity. Instead of sending an email to a colleague or employee and expecting an answer the next day, employees can connect for a fast video conference session and use a screen-share tool to go on with their project.
- Moreover, the mobility and flexibility of video conferencing give employees more control over their work time, which increases loyalty. When remote workers can interact face-to-face with colleagues on a regular basis, they feel more connected and part of a team. Thus, such benefits increase the adoption of video conferencing in commercial spaces and drive the market's growth during the projected timeline.
- Furthermore, several vendors in the market are focusing on offering new products for video conferencing to improve the user experience. For instance, in January 2024, Thundercomm announced introducing its new set of AI video conferencing solutions at CES 2024. The launch aims to improve the experience and efficiency of business communication and collaboration. It is based on the all-in-one video bar based on the Qualcomm Video Collaboration VC5 platform and comes with a four-camera implementation. This solution allows users to enjoy a premium and engaging video conferencing experience.
- Moreover, the rising construction and expansion of office space are also expected to support the market's growth. According to the Australian Bureau of Statistics, in 2023, the value of construction work done on offices in Australia came to approximately AUD 10 billion (USD 6.60 Billion) compared to AUD 8.7 billion (USD 5.74 billion) in 2022.
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North America is Expected to Hold Major Share
- The demand for video conferencing hardware in North America is increasing as the United States and Canada have well-established internet infrastructure, including numerous telecommunications companies and hardware providers. The development of 5G networks with faster speeds and higher image and video quality is expected to transform the video conferencing industry.
- The widespread adoption of remote work and the need for seamless virtual communication has increased the demand for video conferencing hardware in North America. Additionally, the continued shift in culture toward flexible working arrangements and the demand for efficient and cost-effective communication platforms have accelerated the market's growth. As businesses aim to improve productivity and streamline communication processes, the video conferencing market continues to evolve, providing ample opportunity for innovation and market expansion for remote collaboration solutions.
- According to a survey by Tech.co, in 2023, 90% of respondents working for companies in the United States and able to work fully remotely reported that their organization was using video conferencing, while only 70% of respondents expected to be in the office at least five days a week mentioned using this tool.
- Many multinational companies in the region, such as IBM Corporation, are focusing on the widespread use of these hardware for employee training, which will have a beneficial impact on the market's growth. For example, IBM Corporation uses Cisco Systems video conferencing systems to provide integrated training to employees working in various locations worldwide.
- Several video conferencing hardware providers in the region are offering diverse and sophisticated products to meet the growing demand for improved technology in video conferencing hardware, thereby boosting the market. For instance, in March 2024, FS announced the launch of the FS FC570S 4K all-in-one conference camera, carefully designed to enhance the video conferencing experience for all participants. The device is built with an ultra-high-definition 4K sensor and boasts a 121 ultra-wide-angle lens that covers the entire room. With an impressive array of four microphones and cutting-edge noise reduction and echo cancellation, the FC570S 4K delivers pristine audio clarity for an immersive meeting experience.
- Furthermore, in April 2024, Mobile Video Devices Inc. (MVD) announced a new distribution partnership with Telycam. MVD will distribute and support Telycam's PTZ cameras and webcams, including the flagship Explore series for live broadcast production, to system integrators and resellers in the United States and Canada, with exclusive US distribution rights.
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