Logitech (LOGI - Free Report) recently launched the Logitech Sync video conferencing device management platform to enable businesses to monitor and manage several Logitech meeting room devices remotely.
Logitech Sync is a cloud-based management tool, which will support businesses by minimizing site visits and monitoring large-scale video deployments.
The solution also automatically flags real-time issues that need to be addressed and offers in-depth insights so that the problems can be attended before a meeting gets hampered.
Additionally, Logitech Sync will provide APIs for integration into the existing platforms like video cloud vendors, system integrators and other large enterprise management tools. Barco, Domotz, Nectar and Utelogy are the initial set of partners that have consolidated with Sync APIs.
The platform’s core monitoring and management capabilities have been made available for free through a private beta. Sync insights are expected to be shelved in 2020.
Growth in Video Conferencing — A Tailwind
Per a ReportBuyer article published in PRNewswire earlier this year, an estimated 32.8-million video conferencing related solutions were shipped in 2018, generating $7.8 billion in revenues.
The total video conferencing market is expected to see a CAGR of 12.1% from 2018 to 2023 to reach $13.82 billion by 2023. Rapid adoption of next-generation devices and intelligent cloud services will establish video as a preferred mode of communications.
The above projection spells good news for Logitech Sync as its cloud-based video conferencing services are key drivers. In the last reported quarter, the company’s Video Collaboration business grew 27% year over year to $69.4 million.
The company’s Video conferencing segment initially included the design, manufacturing and marketing of LifeSize video conferencing products, infrastructure and services for the enterprise, public sector and other business markets. However, in the third quarter of fiscal 2016, Logitech divested its LifeSize video conferencing business.
Needless to say that in a market with such bright prospects, Logitech faces intense competition from the video conference solutions providers.
Cisco’s (CSCO - Free Report) Cisco Jabber and Cisco Webex Meetings are strong contenders for Logitech’s meeting rooms and Sync solutions. Moreover, Adobe (ADBE - Free Report) Connect, Microsoft’s (MSFT - Free Report) Skype For Business and Google G Suite are also widely accepted modes of business communications across major companies.
However, we expect Logitech’s efforts to boost its video collaboration segment as that will help it withstand close contests and benefit from the opportunities in the video conferencing space.
Logitech currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
The Hottest Tech Mega-Trend of All
Last year, it generated $8 billion in global revenues. By 2020, it's predicted to blast through the roof to $47 billion. Famed investor Mark Cuban says it will produce ""the world's first trillionaires,"" but that should still leave plenty of money for regular investors who make the right trades early.
See Zacks' 3 Best Stocks to Play This Trend >>