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Is videoconferencing and telepresence becoming the competitor to Airlines???

Created by : Sundararaju , Network Engineer, HCL Technologies  | 03 18 2010 09:57:10 +0000
Industry : Communications and NetworkingFunctional Area : India(Markets)
Keywords : videoconferencing and telepresence services are impacting the airlines.
Activity:  304 views;  last activity : 08 26 2010 14:05:56 +0000

In 2008, who was the toughest competitor to British Airways in India? Singapore airlines? Better still, Indian airlines? Maybe, but there are better answers. There are competitors that can hurt all these airlines and others not mentioned. The answer is videoconferencing and telepresence services of HP and Cisco. Travel dropped due to recession. Senior IT executives in India and abroad were compelled by their head quarters to use videoconferencing to shrink travel budget. But to think that the airlines will be back in business post recession is something I would not bet on. In short term yes. In long term a resounding no. Remember, if there is one place where Newton's law of gravity is applicable besides physics it is in electronic hardware. Between 1977 and 1991 the prices of the now dead VCR (parent of Blue-Ray disc player) crashed to one-third of its original level in India. PC's price dropped from hundreds of thousands of rupees to tens of thousands. If this trend repeats then telepresence prices will also crash. Imagine the fate of airlines then…!!!!!???

  
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I certainly hope so.....such lines of thinking and using such facilities should reduce the carbon emission and make a slightly better place to live in. Besides with the planet becoming a global village(!) the "attraction" to travel has come down slightly. It makes more sense to do things via facilities like teleconferencing.
By RAMESH KANDADAI, Principal Consultant, ARM Consultants  03 19 2010 11:05:56 +0000
 
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I do agree that many Companies decided to cut down travel cost through VC & TC. But just because of the presence of these technologies, I dont think its will sound death bell for airlines. If that was the case then, railways should have been dead, when the airlines were booming. But just look at the way its became a profit making organisation (going by what lalooji projected and did)

I think rather than blaming technologies to ones non performance, the airlines industry as a whole should do a proper introspect and come out with novel ideas to increase the passenger traffic.

These techno features are only affecting the flow of people on business trips (BT) and not the tourist.

I have a suggestion, if airlines feel because of pricing they are loosing on BT customers, then reduce the travel fare and increase the number of seats (by eating into the additional luggage area), that way one can get back those BT customers. Since most of the BT customers move for short duration, they wont be carrying such heavy baggage. Create special business travel airlines for these people and let the tourism travelers use the conventional setup or perhaps cut down their seating for allowing extra luggage which could include other air cargo services. I know it sounds pretty funny, but practically viewing, its not impossible either.

I personally feel rather than debating about the problem one should look out for possible solution and work on it.


By Dr. Siva Adarsh, Consultant, Metabolic Disease & Research, Narayana Hrudayalaya  03 19 2010 10:57:37 +0000
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its a advanced fast growing technology..
By Ravi p Chaurasiya, Escalation analyst, Client -Sybase inc. (In Stream Global services pvt.ltd)  | 08 26 2010 14:05:55 +0000
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I would say YES its true & its good , you have a alternative which is more convenient, affordable & has advantage of saving time. Furthermore it is helping the environment also.
By Brij Kishor Mishra, Product Specialist at Alcon Laboratories India Pvt Ltd.  | 03 20 2010 17:19:08 +0000
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In recession time corporate travel is the one of the top cost cutting factor. Due to recession companies are under pressure to provide cost effective products. It is true that tele presence is compotator to airlines. It also saves lot of individual time in travel, travel preparation and exploring new place. Tele presence is best suited for inter corporate discussion. But tele presence is still the new technology and awareness of its benefits not reached most of the corporate. Network bandwidth is one more concern for teleconference.


By Jayakara Nalthooru, Tech Architect, ADI  | 03 20 2010 10:10:39 +0000
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Yes Video conferencing and tele presence becoming the competitor to airlines as it is helping to reduce business trips which is resulting in even cost cutting of the company. This invention has effected not only on Airlines but even on various other things such as reducing pollution, reducing fuel price, reducing airlines cost and simply making life easy guiding us as " waste not want not". It is helping to save planet from carbon emission, increasing the profitability of the company and eliminating the distance on one go.
By Javed Akhtar, Sr. Executive - Logistics, Keventer Agro Limited  | 03 19 2010 14:48:20 +0000
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Agreeable Shweta, but Imagine if there was no Video-Con & Tele-Pres?? Ofcourse these technologies are making lives Simpler, Easier & cost effective. But they are an absolute Competitors of the Bleeding Airline Industry.
By Kashif Billal, Training & Induction Manager, H&M Hennes & Mauritz  | 03 19 2010 10:24:30 +0000
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Yes. Video conferencing and telepresence are making very high impact in Airlines. This shrinks the travel budget at the considerable volume and the time.
By Sundararaju , Network Engineer, HCL Technologies  | 03 18 2010 09:57:10 +0000
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Advancement of modern communication provides us ease to communicate with people in business and office besides enhancing networking capabilities of individuals and company in minimum time with maximum impact. A consultation for a patient over videoconferencing with doctor miles apart gives him much relief but will have to visit the doc in person to receive a surgery thus making it evident that though VC can provide a temporary relief and save money and time but cannot be completely be dependent upon. Further airline industry is fast becoming an acceptable medium of transport for families these days and such traffic is increasing considerably too because of convenience and price competitiveness. Hence, in my opinion VC/TC are great communication medium which saves time and money but would not completely redundant the airline or other modes of business travel.

 
By Subhasis Bhattacharya, Sr. Manager Operations, Narayana Hrudayalaya  | 03 22 2010 09:40:50 +0000
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As per my opinion, TC and TP is not going to impact much on airline business as these people will come out with new business modules like reducing their margins, curtail their operational cost and much more. Even though there is presence of TC and TP, personal touch up with the clients are always better and proven practice to attract customer. So, airlines industries does not die but they will survive.

Thnx

 
By Keval , Founder & CEO, Cloud Computing TechSolutions Pvt. Ltd.  | 03 20 2010 13:02:54 +0000
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Hi Sundararaju, good debate. I agree with your statement that videoconferencing and telepresence are creating a high impact on the airlines industry. But if you see the number of professional who travel to foreign countries  are less compared to the tourists who travel. So this technology will bring down the fare rate of the airlines but will not put airline into dark.

Thanks.........  
By Shweta Nigam, Asst. Manager/Manager -(NonTechnical), IBM-Daksh  | 03 19 2010 09:07:46 +0000
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