Mene Mene Tekel Upharsin

or

The Writing on the AV Wall

by Adrian Berry


As I wrote in an earlier note (Voice and Data Two point Oh), twenty years ago there were two essentially separate industries involved in getting electronic information from point 'A' to point 'B'. A certain large data company in Armonk, NY, was so impressed with a certain PBX manufacturing company that they bought it and started to push all of their customers to buy their new product. Although IBM eventually admitted defeat and closed down their voice operation, the die had been cast. And eventually the IT industry reinvented voice communication in their own image: today we have VOIP, and the switched-circuit industry is relegated to consumer and small-business telephone service for the arguably short balance of it's life.

Now we have something else called 'Collaboration'. This very nebulous concept covers just about anything that involves people comparing notes with each other, and not always in the same room - or even on the same continent. It covers both audio and video teleconferencing, computer conferencing, and even just sitting around a meeting room table with a Powerpoint showing on the display. And as the technology used for collaboration becomes more technologically advanced, the line between what has been considered Information Technology and AV technology becomes increasingly blurred.

Having observed the death (not to put too fine a point on it) of the Voice industry first-hand, I am seeing the same signs where the AV industry is concerned. And let's face it, the AV industry is nowhere near as formidable as the Voice industry was - we have no AT&T, no Northern Telecom, no Alcatel. The provision of products and services supporting Collaboration will, over the next few years, be taken over by the companies providing network services in much the same way that those firms now have Cisco telephone systems - a large number of them already have videoconference installations referred to as "Cisco rooms". There is even a note on Chief Manufacturing's website called "Setting up a Telepresence Suite"  which details how a Collaboration provider has set up telepresence suites without

 "..a sophisticated integrated audio system in here, special lighting, custom acoustical treatments, or anything else that really drives prices up.."

- in essence without an AV contractor.

We can already see the institutional market (nurse call systems, paging/public address, school intercom) getting swallowed up by the security industry. The high-end consumer industry may be around for a while, but as the large entertainment providers move towards "full-service" (Internet/home phone/digital TV/whole-house entertainment) this will downsize too. And as Meeting Room systems become the responsibility of corporate IT departments, the hapless AV contractor who still installs RGBHV switchers to switch VGA, and blames his client's laptops because they need DDC information, will quickly find himself losing customers to an IT-centric company who knows better. The industry conceit that "it is easier to teach an AV guy data than to teach an IT guy AV" just won't cut it. The AV industry, like the Voice industry before it, is being remade in IT's image as we speak.

So what's left? There will be very small installations that can be handled by the smallest of AV companies, or the larger box-sale stores that can do "hang 'n bang". There will also be large venues such as churches, auditoriums and stadiums that are essentially standalone systems - no need for Collaboration here. And there will be the rental business for those companies already established in that market. But any AV contractor who's core business is the corporate installation market has a severely limited lifespan.

The writing is on the wall.

 


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