Telepresence systems - those executive videoconferencing suites that simulate face-to-face meetings between groups scattered around the world - don't come cheap. Gartner estimates running costs for an all-inclusive high definition (HD) system stand at $12,000 to $28,000 per month, plus initial set-up costs for each room of around $350,000.

But that is all about to change. Driven by greatly improved technology and falling prices - combined with economic and environmental imperatives - HD videoconferencing is moving beyond the purview of the board of directors. And reacting to that wider demand, the main players have launched a wave of industry consolidation.

In December 2009, mouse and PC video camera maker Logitech purchased LifeSize Communications for $405 million in cash, while networking giant Cisco completed a $3.4 billion buy-out of Norway's Tandberg, which boasted a 31% share of the global videoconferencing market in the first half of 2009, according to analysts Wainhouse. Reacting to this, Polycom, which has a 35% share and remains the only sizeable independent, announced in January 2010 a partnership with network equipment maker Juniper Networks to jointly sell and manage video services.

The market has been invigorated by a wide range of affordable options that pump video over standard IP rather than specialist lines: LifeSize's Passport, for example, which delivers portable HD videoconferencing for under $2,500 per unit. Add to this most organisations' urgent need to cut costs (and emissions) by reducing travel miles, and the business case becomes incontestable.

That was the situation at Amey, the UK-based public infrastructure specialist, which has deployed 47 Tandberg systems for internal usage by its 11,000 employees.

Says Peter Garratt, group chief enterprise architect at Ferrovial, Amey's parent company: "The level of quality and reliability has gone through the roof, and this has driven adoption throughout the business. Our key mantra was to make using the equipment as much like a normal meeting as possible."