CCID Consulting: Video Conference Market Keeps on Accelerating

BEIJING, April 15 /Xinhua-PRNewswire/ -- CCID Consulting, China’s leading research, consulting and IT outsourcing service provider, and the first Chinese consulting firm listed in Hong Kong (Hong Kong Stock Exchange: HK08235), recently released its article on China’s video conference market.

In China, the fast growth of video conference market (VCM) can be traced back to the SARS crisis in 2003, when many government departments and firms began to operate and promote their products by video conferencing. Since then the market developed in a pace of over 20% growth each year. The market is mainly driven by government demand from 3rd and 4th level cities with some new characters and tendencies that may be summarized in four aspects as listed hereinafter:

1. Government application and users from monopolized industries are the major driving force. Government procurement and users of monopolized industries like finance, energy and telecommunications have always been the major driving force of China VCM for a long time. They usually have well developed vertical organization structure with numerous subsidiaries and concentrated decision power, that can make decisions over procurements with high requirements of security and stability in self constructed network system. The market in these areas is generally steady after developing through all these years.

2. Huge potential in medium/small sized enterprises (MSE). There are about 11 million MSEs in China, and more and more firms accept that fast communication and better efficiency are the key to survival and development. Thus they are becoming the new force to boost growth in VCM. Different with those users from monopolized industries, MSE has some characters including capital/resource shortage, professional technical personnel shortage and low frequency of conference, so it will not invest big money to get VC equipment, trusteeship leasing will be the major operation method for VC in MSE market.

3. Integration with other functions. Users have more and more demand with the development of video technology, such as the multi-media solution of integrated video, audio, illustration and data. The system could not act as the communication media for participants by voice, it will further integrate existing business procedural of the firm to better fulfill coordination among people by some accessorial functions such as electronic board, bi-video technology and long distance application program.

4. There will be technology breakthroughs for total digital high definition products in the next 3 years. 2006 and 2007 are the start of high definition product market and the demand has thus been activated although there is no commercial application in a large scale due to immaturity, expensive price and incomplete accessorial facilities. Total digital high definition products will experience some breakthroughs in the coming 3 years as manufacturers are launching their own high definition products which become promotion emphasis, e.g., Polycom, Tandberg and Shanghai Avcon.

About CCID Consulting

CCID Consulting Co., Ltd. (hereinafter known as "CCID Consulting"), the first Chinese consulting firm listed in the Growth Enterprise Market of the Stock Exchange (GEM) of Hong Kong (stock code: HK08235), is directly affiliated to the China Center for Information Industry Development (hereinafter known as "CCID Group"). Headquartered in Beijing, CCID Consulting has set up branch offices in Shanghai, Guangzhou, Shenzhen, and Harbin, with over 300 professional consultants and industry experts. The company’s business covers over 200 large and medium-sized cities in China. Apart from home market development, CCID Consulting establishes international cooperation links across the United States, the Asia-Pacific region and Europe with agents in the U.S., Japan, South Korea, Australia, Singapore, Italy and Russia, with the aim of going global.

Based on four major competitive areas: powerful data channels, industrial resources, intense knowledge and a deep understanding of information technology, CCID Consulting provides customers with consulting, research and IT outsourcing services covering strategic planning, IT applications, marketing strategies, human resources and information technology outsourcing. Customers range from industrial IT users, telecommunications companies, energy companies, finance companies, and automobile companies, to government departments at all levels and diversified industrial parks. CCID Consulting commits itself to be the number 1 consultant in strategy consulting, the number 1 advisor for enterprise management and the number 1 consultant for government decision-making.

For more information, please contact:

Cynthia Liu

Coordinating Manager

CCID Consulting Co., Ltd.

Tel: +86-10-8855-9080

Email: liuyan@ccidconsulting.com