New technology, revealed by video conference start-up Vidyo, allows the service to operate by using virtual servers.
This new technology may put pressure and increase competition on various market dominants like Cisco Systems as well as Polycom and many more.
Ofer Shapiro, Chief Executive of Vidyo, stated that clients and users can now broaden their Vidyo conferencing network without making any capital investments.
In an interview via Vidyo's conferencing service, Ofer Shapiro said, "A lot of return-on-investment calculations become positive immediately when you put in a capital expenditure of zero," as reported (opens in new tab) by Reuters.
The typical video conferencing service demands specifically dedicated computer systems along with equipment, but this new Internet based technology will allow high-quality services despite the use of outsourced servers, said Shapiro. He also confirmed that next year they will roll out a special virtualised offer.
A leading rival of Polycom, Cisco's Tandberg division and also Logitech's Lifesize, Vidyo recieved $97 million from Rho Ventures, Four River Group, Menlo Ventures, Star Ventures and from QuestMark Partners.