Microsoft, Cisco face off over office VOIP communications
May 23, 2007

Microsoft Corp. and Cisco Systems Inc. agree that work communications – whether it’s email, messaging or phone calls – will eventually come together and be delivered over Web networks. The debate begins when the two deep-pocketed technology leaders – Microsoft in software and Cisco in networking equipment – argue over whose products will be the platform for the multibillion-dollar transformation of the office phone.
Speaking at Reuters Global Technology, Media and Telecoms Summit, executives from Cisco and Microsoft touted their own products to deliver “unified communications,” which combines Voice over Internet Protocol phone calls, email, instant messages and conferencing technology. Cisco has been acquiring various small, niche technology companies to build up its unified communications product line. Over the past year, it agreed to buy online video conferencing company WebEx Communications, messaging security company IronPort Systems and mobile software company Orative.
The rivalry deepened after Microsoft and Canadian network equipment maker Nortel Networks Corp. announced a broad alliance in unified communications last year. Cisco, while forging a partnership with Microsoft to offer its customers Office, has also been expanding its alliance with IBM to develop unified communications applications.
Microsoft said software will transform VoIP phone systems with click-to-call capabilities right from its Outlook email system and a “presence” feature to see where you are and then decide whether to call, message or email. Microsoft also believes it can lower the overall costs of implementing and running an IP phone system by using its software instead of a total offering from traditional players.
The company plans to introduce its first product in this segment later this year with Office Communications Server 2007 and accompanying Communicator software.
[Via Toronto Star]
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