BT and CBCI Finalize Videoconferencing Joint Venture.HERNDON, Va.--(BUSINESS WIRE)--Nov. 29, 1994--BT (British Telecommunications Communicating information, including data, text, pictures, voice and video over long distance. See communications. plc) today announced that it has concluded an agreement with CBCI Telecom to form a joint venture to market and distribute BT's visual communications products in the United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. . The new venture, called BT Visual Images (BTVI), represents a major initiative by the companies to capitalize on Cap´i`tal`ize on` v. t. 1. To turn (an opportunity) to one's advantage; to take advantage of (a situation); to profit from; as, to capitalize on an opponent's mistakes s>. the growing demand for videoconferencing A real time video session between two or more users or between two or more locations. Although the first videoconferencing was done with traditional analog TV and satellites, inhouse room systems became popular in the early 1980s after Compression Labs pioneered digitized video systems products in the United States. BT is already the third largest supplier to the $400-500 million worldwide videoconferencing market without yet having a significant presence in the U.S. market. "We are committed to being a major player in the United States," said Graham Briggs, BTVI's vice president of planning and marketing. "By working with an experienced local partner in a venture focused exclusively on videoconferencing, we hope ultimately to derive upwards of half our revenues here." The companies already have a successful relationship in Canada, where CBCI distributes BT videoconferencing products and has built a market position that rivals that of the long-established market leader. The new joint venture company will distribute BT's portfolio through a direct sales force serving large multinational customers and a distribution sales force dealing with resellers and specialist integrators. BTVI is also in discussions with a number of telecom carriers to offer the BT line. BTVI will be based in Herndon, Va. and will be staffed by a management team drawn from both joint venture partners. Herndon will also be the site of a manufacturing facility which will make use of local content to tailor products for the U.S. market. BT's product portfolio ranges from videoconferencing studio systems for larger groups to the world's most inexpensive compact system, the VC7000. All the systems are based the H.320 videoconferencing interconnect (1) To attach one device to another. (2) A physical port (plug, socket) or wireless port (transmitter, receiver) used to attach one device to another. standard. BT is the principal supplier of telecommunications products and services in the U.K. and is one of the world's largest and most successful telecommunications companies See telecom company. . Revenues in 1994 were $20 billion and profit was more than $3 billion. CBCI Telecom is a privately held telecommunications integrator (1) In electronics, a device that combines an input with a variable, such as time, and provides an analog output; for example, a watt-hour meter. (2) See systems integrator. with offices throughout Canada. It specializes in the integration of equipment and services in telecommunications technologies and is the largest integrator of videoconferencing in Canada. It was recently named by PROFIT magazine as Canada's 20th fastest-growing company. CONTACT: BT North America North America, third largest continent (1990 est. pop. 365,000,000), c.9,400,000 sq mi (24,346,000 sq km), the northern of the two continents of the Western Hemisphere.
Jim Barron, 212/418-7860
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Ted DuPont
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