Vidtel Aims to Take the Complexity Out of Video Communication

Making a video call, particularly one with good video quality, is a lot more complicated than making a voice call. No one system or service ties together all types of video communication equipment and users in a single network like the PSTN. In order to communicate, callers must have compatible equipment, network setups and/or software. They must also use the same method for identifying and connecting to other users. It's a far cry from just picking up a phone and dialing.

An upcoming service from Vidtel looks to take the complexity out of video communication. The Mountain View, Calif. startup is building a platform and service to connect any video callers anywhere, particularly those at different enterprises using incompatible systems. To meet the expectations of such users, the service will support HD video, based on the H.264 standard, which provides quality far superior to that of free or cheap services built around PCs and Web cams.

The service will also provide ways for disparate users to contact and connect to one another. To that end, Vidtel is creating a global video conferencing directory where users can list their video addresses. If they don't have those, it will provide them, in phone number- or e-mail-like form.

Vidtel will launch its new service based on a "freemium" model. It will connect one-to-one video calls for free, and charge for additional services such as multi-party conferencing and phone numbers. This strategy will allow it to virally build a user base through word-of-mouth.

CEO Scott Wharton also says Vidtel is gaining significant business through wholesale channels. One such channel is value-added resellers, or VARs, selling video conferencing equipment to SMB customers. When the customers lack the expertise to set up video servers and other support systems on their own, the VARs recommend Vidtel to them.

Another promising wholesale channel is traditional telecom service providers that may want to offer video conferencing to their customers, but don't have the time or resources to develop the necessary infrastructure on their own. Such providers find it makes sense to lease capacity on the Vidtel network, according to Wharton.

Vidtel is currently accepting beta customers for the new service.