Summary
Avaya and Skype announced a strategic agreement that involves both go-to-market joint technology integration initiatives. The first phase, which involves Skype Connect support on a variety of Avaya and legacy Nortel communications and contact center systems, is expected to be available in North America in November 2010. The second phase, involving instant messaging federation and video interoperability, will be a 2011 deliverable.
Analytical Summary
• Perspective: Positive on the product integration work between Avaya and Skype because the companies plan to deliver federation between their instant messaging software and interoperability between their video conferencing software. Currently there are no major UC vendors whose solutions deliver IM and desktop video software that interoperates with Skype, so this would be a competitive differentiator for Avaya. Given that Avaya and Skype currently share a common private-equity owner in Silver Lake, such co-development work could be a sign of the companies’ ability to work more closely together than they have historically. If this is in fact the case, Avaya could have an edge over competitors without as close a working relationship with Skype.
• Vendor Importance: Moderate to Avaya because while the IM federation and video conferencing interoperability with Skype would be unique in the market for UC solutions, Skype has not entered into an exclusive relationship with Avaya. Rather, Skype plans to create an interface that will allow other vendors to federate their UC solutions with Skype instant messaging in the same way Avaya is proposing. High to Skype because to date the company’s interoperability efforts with PBX and UC developers have centered around Skype Connect, an offering focused solely on voice communications. Skype is now proposing to extend interoperability to other communications modalities, allowing businesses to create a bridge between corporate-based UC solutions and the Skype community.
• Market Impact: Moderate on the market for unified communications solutions, because federation with consumer-based instant messaging and desktop video is nothing new. Several UC solutions, such as those from Microsoft and IBM, federate with public IM services such as AOL AIM, Yahoo! Messenger, and Google Talk. With this kind of interoperability extended to Skype, businesses would be able to better facilitate intercompany communications with partners and customers leveraging the Skype network. However, the Avaya-Skype solution is to be restricted to North America. Until this is expanded internationally or other UC solutions developers deliver Skype federation in Europe, Asia, and Latin America only a subset of the Skype user base will be impacted by integration work of this sort. (For more on Skype Connect, which Skype previously announced Avaya support for, please see Skype Connect Could Diversify Revenue Streams in Time for IPO, August 31, 2010.)
• Vendor Importance: Moderate to Avaya because while the IM federation and video conferencing interoperability with Skype would be unique in the market for UC solutions, Skype has not entered into an exclusive relationship with Avaya. Rather, Skype plans to create an interface that will allow other vendors to federate their UC solutions with Skype instant messaging in the same way Avaya is proposing. High to Skype because to date the company’s interoperability efforts with PBX and UC developers have centered around Skype Connect, an offering focused solely on voice communications. Skype is now proposing to extend interoperability to other communications modalities, allowing businesses to create a bridge between corporate-based UC solutions and the Skype community.
• Market Impact: Moderate on the market for unified communications solutions, because federation with consumer-based instant messaging and desktop video is nothing new. Several UC solutions, such as those from Microsoft and IBM, federate with public IM services such as AOL AIM, Yahoo! Messenger, and Google Talk. With this kind of interoperability extended to Skype, businesses would be able to better facilitate intercompany communications with partners and customers leveraging the Skype network. However, the Avaya-Skype solution is to be restricted to North America. Until this is expanded internationally or other UC solutions developers deliver Skype federation in Europe, Asia, and Latin America only a subset of the Skype user base will be impacted by integration work of this sort. (For more on Skype Connect, which Skype previously announced Avaya support for, please see Skype Connect Could Diversify Revenue Streams in Time for IPO, August 31, 2010.)
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