Glowpoint: Managed Video Services Gain Cloud Momentum
Glowpoint Inc. continues to bang the drum loudly for cloud-based managed video services. The big question: Can smaller VARs and managed services providers (MSPs) also find success in the cloud-based managed video service market?
First, the good news: Glowpoint says Q2 revenues from cloud-based managed video services (MVS) rose 19% to $3.1 million. Plus, cloud-based MVS revenues were 44% of total revenues in Q2, up from 36 percent in Q2 2010.
In some ways Glowpoint is a company in transition. While cloud-based MVS revenues continue to grow, Glowpoint’s top-line revenues are relatively flat. For the six months ended June 30, 2011, total revenues grew only 3 percent to $14 million. While cloud-based MVS revenues rose 26 percent in the first half of 2011, network and professional services declined 11 percent.
Bigger Cloud Telepresence Trends
Glowpoint certainly isn’t alone in the cloud-based managed video service market. Rivals often refer to the market as cloud telepresence or cloud video conferencing. Several of Cisco Systems’ top channel partners now offer managed video services and telepresence rooms across the globe. And increasingly, those telepresence rooms leverage cloud exchanges to cross-connect with third-party telepresence systems.
Some smaller VARs and MSPS have been building out their own managed telepresence services, working closely with such vendors as LifeSize Communications (a division of LogiTech) and Vu Telepresence. At the same time, some channel partners are keeping a close eye on Microsoft’s potential plans for Skype.
Back at GlowPoint, the company seems to be building out a management team and partner network focused on growth. Among the recent highlights: GlowPoint has inked a strategic agreement with Polycom, recruited executives from Cisco Systems and Hewlett-Packard and acquired video assets from Avaya.
Additional insights from Joe Panettieri