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Published on March 16, 2008

Author: Teresa1

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Streaming Media: The Other VoIP:  Lawrence Orans Streaming Media: The Other VoIP These materials can be reproduced only with Gartner’s official approval. Such approvals may be requested via e-mail -- quote.requests@gartner.com. Streaming Media: No More Excuses:  Streaming Media: No More Excuses CEO Business Unit Executives Late 1990s 2002 Can we run video over the network? We will Webcast the next all-company meeting. It will break the network. The technology isn’t ready yet. It’s too expensive. Bandwidth-Efficient Solutions Advances in Streaming Media Competitive Pricing Valid Objections Today’s Reality Key Issues:  Key Issues 1. After years of false starts, what confluence of forces are now driving video applications into the enterprise? 2. How will the bandwidth demands of streaming media affect the development of network infrastructure? 3. Which vendors will successfully enable Video over IP, and how will the market evolve? The Enterprise Video Industry:  Enterprise Dependence Level Storage — EMC, IBM, LSI Logic Content Delivery — Cisco, Network Appliance Media Asset Management — Artesia, Virage, IBM Media Solutions — Avid, Sawyer Media E-Learning — Docent, Saba Streaming Platforms — Apple, Real, Microsoft The Enterprise Video Industry Gartner All-Company Webcast:  Gartner All-Company Webcast Objective Communicate Strategic Goals and Initiatives to Worldwide Employees Approach 1st Webcast — Outsource 2nd Webcast — In-House Cost Approximately $250,000 (Webcasting Application + Servers) Critical Success Factors Limited Geographic Scope Thorough Testing Sydney San Jose Ft. Meyers Stamford, Trumbull Egham, United Kingdom Webcasting vs. In-Person Meetings:  Webcasting vs. In-Person Meetings $0 $200 $400 $600 $800 $1,000 $1,200 $1,400 1 2 3 4 Number of Events Cost per Event per User In-Person Webcast Travel Costs - Air $550 - Hotel $125 - Meals $50 - Misc $50 Total $775 Network Upgrade - IP Multicast $0K - ECDN (30 sites) $550K - Streaming Servers $10K Total $560K + Webcast Outsourcing - per Webcast $15K- $25K Fixed Costs Variable Costs In-Person Meeting Webcast Scenario: 500 Person Meeting Break-Even Point “V” over IP — The Vendor Focus:  “V” over IP — The Vendor Focus Convergence-Focused Vendors Voice Over IP Video Over IP Revenue per Desktop “Device” IP Phone $200 to $500 Media Player $0 Changes in “Content” = Changes in Networks:  Changes in “Content” = Changes in Networks One Paragraph of Text 19 KB Word File One Paragraph of Text With an Embedded Image 62 KB PowerPoint File One Paragraph of Speech (60 Seconds) 1.1 MB WAV File 60 Seconds of Video 6.5 MB MPEG File IP Multicast: Live Streaming:  “Killer” Application Niche Application R R R GE 29.60 IBM 69.70 T 10.32 GE 29.60 IBM 69.70 T 10.32 GE 29.60 IBM 69.70 T 10.32 GE 29.60 IBM 69.70 T 10.32 1990s — Market Data R R R 2000’s —Streaming Media IP Multicast: Live Streaming Bandwidth Risk: Video On Demand:  Bandwidth Risk: Video On Demand Bandwidth Risk Length of Segment Solution: Edge Streaming “Take Your Chances Zone” 1-2 Minutes > 30 Minutes Archived Stream at 150 Kbps 256 Kbps Risk: How many streams? Two Models for Edge Distribution:  Two Models for Edge Distribution Cache WAN Branch Office Cache WAN Peer-to-Peer Branch Office Which ECDN Model Is Best for You?:  Which ECDN Model Is Best for You? Cache Advantages Peer-to-Peer Advantages Low cost (exceeds 50 percent less in large environments) Highly Scalable — No Additional Hardware Mobile Workers — Allows Recording and Playback of Content Security Gateway Functionality Caches Web Pages No client-side software required Vendors: Allcast, Bandwiz, Centerspan, Kontiki, Uprizer Vendors: Cacheflow, Cisco, Fantastic, InfoLibria, Network Appliance, Nortel, Storigen Stratacache, Vividon, Volera ECDNs and E-Learning: A Case Study:  Overview A global consulting firm deployed an e-learning application. Approach: Deployed a 30-site ECDN Volera Caching Software on Compaq Servers Cost: $550,000 total solution $17,000 per cache Lessons Learned: Partnership between Network and Application Teams Operational Challenges Viewed on Demand Recorded Live ECDNs and E-Learning: A Case Study ECDN Evolution:  Level of ECDN Complexity Low High 1997–2000 2004–2007 2003-2004 ECDN Evolution Internet Proxy Cache 2001-2003 Application Performance Acceleration Streaming Media Large Static Files Security Gateway Web Services Infrastructure Market Is Here ECDN Magic Quadrant: 1H02:  ECDN Magic Quadrant: 1H02 Volera CacheFlow Cisco Systems Inktomi Network Appliance F5 InfoLibria New Entrants Nortel Networks Stratacache Ability to Execute Visionaries Niche Players Completeness of Vision As of March 2002 Challengers Leaders (From “Enterprise Content Delivery Network Magic Quadrant 1H02,” 15 March 2002) ECDN Market Inhibitors:  ECDN Market Inhibitors Resolutions — 2004 Inhibitors — 2002 ? Adoption of MPEG-4 E-Learning = Must-Have Cost Declines via Enterprise Media Vendors Network Infrastructure Vendors: Video Readiness:  Network Infrastructure Vendors: Video Readiness ECDN (Video on Demand) Content networking vendors will serve as partners and acquisition targets for closing the gap. Multicast (Live Video) 3Com Alcatel Avaya Extreme Foundry ECDN Managed Services — Soon:  ECDN Managed Services — Soon Managed Services “Roll Your Own” 70% 30% 100% “Roll Your Own” 2007 Present NSP-Managed Services Include Device Management Content Management Troubleshooting Software Upgrades Recommendations:  Recommendations Develop cost estimates for supporting streaming media (both live and on-demand) in your enterprise’s network. Start slowly when deploying streaming media. Develop a geographically phased plan. Be careful — some applications do not work well in a cached environment. Network managers should partner with the applications team to optimize new applications. It’s inevitable — Streaming media is coming to your network. Be prepared with a plan:

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