Big Web Conferencing Pricing Drops

Today, the cost of using a web conferencing service such as Microsoft PlaceWare and Webex adds up to around 50 or 60 cents per person per minute, for both the audio and web sessions. Less if you buy in bulk.

The ongoing reductions in phone costs, movement of POTS conversations to VoIP, and the underlying vanishingly-small cost of moving around IP packets, mean that web conferencing costs can be greatly reduced. Competition between services will do the rest.

Our best guess is that by 2009, costs will be down to about 5 cents per user per minute.

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