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VaaS and USB video drive video conferencing market growth

As the video conferencing market continues to grow, smaller segments such as VaaS and USB video are gaining traction as organizations focus on scalability and cost reduction.

Video as a service and USB video are driving growth in the video conferencing market. The move from hosting video in only one or two rooms -- usually large boardrooms -- to using it everywhere has organizations looking for video offerings that can scale easily and quickly, while remaining flexible to the needs of workers. VaaS and USB video kits have emerged as an answer to organizations' needs.

On-premises video systems traditionally require a high level of monitoring to maintain video call quality. With more organizations expanding video use, and granting easy access to video for employees, IT can struggle to meet the needs of on-premises video. VaaS and USB video options offer alternatives to on-premises video by offloading management requirements to a service provider.

The VaaS segment includes video offerings delivered over IP network by a managed service provider, and the USB video segment encompasses video tools that can be connected to any controlling device with a USB port.

VaaS and USB video may be small segments of the video conferencing market, but they are growing by more than 40%, respectively, according to a study by Synergy Research Group, based in Reno, Nev. VaaS and USB offerings are seeing traction in both midmarket and large enterprises, helping to drive the overall video conferencing market, said Jeremy Duke, analyst and founder of Synergy Research.

Cost, management savings through VaaS

One of the biggest benefits for organizations looking at VaaS instead of on-premises video is the cost savings.

"The success of cloud vendors is not surprising," said David Maldow, founder and CEO of Let's Do Video, based in Davie, Fla. "No Capex, no risk of hardware becoming obsolete or outdated, no capacity limitations, no maintenance and management and no need to open firewalls to conduct B2B calls."

In addition to reducing overall cost and management requirements, VaaS scales quickly to meet the needs of growing organizations. In many cases, on-premises video requires a dedicated IT and AV expert to monitor the system, ensure call quality and handle problems that may arise -- a job that can become daunting when an organization has dozens or even hundreds of video-capable rooms. VaaS eliminates the need to hire and train someone to maintain strict control of an on-premises system, since the vendor handles maintenance and monitoring responsibilities, Maldow said.

Some organizations will prefer on-premises video options to meet individual security standards; however, fewer organizations are using video call quality as a reason to remain on premises. Organizations have begun embracing the idea that VaaS can provide the same high-quality video calls as an on-premises system, Maldow said.

USB video kits offer flexibility

The number of video-capable rooms in an organization is increasing. As companies choose to lean in to more video collaboration, finding options in the video conferencing market that can be scaled easily and quickly becomes a priority.

To handle the rise in scale, vendors are turning their attention to offering USB video kits. These are typically software-based video kits that can connect to any hub with a USB. In most cases, USB kits are more affordable than traditional systems and are easier to both provision and manage, Maldow said.

"Nearly every cloud video service is either already offering a room kit powered by its software, or is promising to release one soon," Maldow said, "While some are still all-in-one, or proprietary devices, the appeal is still using the same software service in the meeting room that your team uses at the desktop and mobile."

USB video kits that allow organizations use preferred services, such as BlueJeans, Zoom or Google Meet, mean users can expect a uniform video experience from room to room. VaaS and USB video pair well together and offer businesses of any size a flexible and cost-effective approach to video.

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