Videoconferencing is a great way to conduct business meetings, and to demonstrate products. However, before using videoconferencing as a business tool you should know what you need, and what it costs.

The easiest is to set up a computer-based or desktop video conferencing system. For this, you need a camera, microphone, external speakers and a network card.  You also need a Coder/Decoder (CODEC) to compress the audio and video signals and to transmit them.

CODECs may be stand-alone units that are usually used in studio-based systems. Less expensive video boards can be plugged into a computer. It is wise to use the services of a specialist to install the system. You will also need to install software like SightSpeed and AccessGrid to further improve the transmission.

The connection is the most important aspect of video conferencing, since the speed and quality of transmission depends on it. Satellite transmission provides the best quality, though it is not easily accessible and is expensive. Due to this, it is used mostly by multinational corporations.

ISDN (Integrated Services Digital Network) telephone lines are more widely available. In the present day, the T1 line is offered by most phone companies. If you have such a line, it is easy to transmit multimedia over a network. The term T1 line is used to refer to a digital carrier facility that is used to transmit a DS1 formatted signal at 1.544 megabits per second.

Since most people have Internet access today you can easily connect through Internet Protocol (IP). This method is particularly suited for video conferencing within the same organization. The downside is the limited bandwidth, which can lead to delays in transmission and poor quality.

Using an ISDN line involves charges for usage, as well as for long distance communications. It may cost you between $50,000 and $100,000 to build a complete studio. Desktop systems are more popular and a CODEC card may cost you between $300 and $1,500. To set up a computer-based system you will have to buy a webcam, which may cost between $20 and $300.

If you don’t have any equipment and need to video conference at once, you can use studios like FedEx Kinko’s. These studios charge between $200 and $350 an hour and can connect with almost any network. Some of them may sell you a video of the conference.

A webcam/freeware combination may be cheap, but the resolution will be low and the frame rate of one frame per second is bad. A desktop system with the accompanying software can offer better transmission as high as 30 frames per second. In the best of situations, you will see a delay of about one second, during exchanges.

The technology is becoming more prevalent and is improving, due to which video conferencing is likely to become common among companies as well as individuals.        

 

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