Image quality is better than on PC-based videoconferencing systems, according to the companies, and both devices can connect to enterprise IP (Internet Protocol) phone systems. But the devices are likely to get a busy signal from recession-plagued organizations that are struggling to cut costs, according to some industry analysts.

Tandberg's E20 Video IP Phone and Polycom's VVX 1500 are designed to let users routinely talk to each other in videoconferences rather than make simple voice calls. They are equipped with video screens as large as a small laptop's, along with integrated cameras. Both let users browse the Web, and Polycom's comes with a suite of productivity applications and an API (application programming interface) that lets developers integrate other business applications such as CRM (customer relationship management).

As enterprises try to get their employees to collaborate more closely while simultaneously cutting travel costs, it will help to have virtual face-to-face conversations available right on a user's desk, according to Tandberg. The E20 offers a 10.6-inch LCD with DVD-quality video along with CD-quality audio, and it offers all the functionality of a standard IP desk phone, said Mike Roussey, global product marketing manager. With additional infrastructure, the phone can be used for video calls with people at other companies, he said.

The Polycom phone has a 7-inch touchscreen LCD and uses Polycom's HD Voice system for high-quality sound. It uses SIP (Session Initiation Protocol) to communicate with IP phone switches and is being certified for interoperability with more than 30 call-control partners. With the right software in place, it can be used for video calls outside the enterprise, according to Polycom.

The Tandberg E20 has a list price of US$1,490 and the Polycom product costs $1,099. Both are available now.