The use of video conferencing services has been on the rise. In response, Nefsis, whose focus is on small and medium businesses, has developed a free service one-to-one video conferencing service.The company unveiled Nefsis Basic, which enables individuals with broadband connections and webcams to collaborate. Possible applications of the service include online meetings, document sharing, and collaboration. The service routes voice call over IP networks, so users do not have to pay long distance charges. With Nefsis Basic, the users supply the video conferencing equipment, and the vendor delivers the network as well as any translation services needed. The company claims that its differentiator is the power of the parallel processing servers supporting its network. Freelancers, contractors, entrepreneurs and telecommuters may be interested in the service.

Nefsis is a brand name under WireRed Corp., which has been in business since 1998. The company started out offering instant messaging services and branched out to video conferencing in 2004. The vendor claims to have 4,500 customers, including Autodesk, Napster, Pier 1 Imports and the US Army. By offering a free service, Nefsis hopes to convince other companies to upgrade to its paid services. The pricing for these services, which can be run either on premise or in the cloud, starts at $350 per month.

The market for video conferencing services has become quite crowded as companies have looked to collaboration services to enhance productivity. Nefsis is a small player when compared to vendors, such as Cisco Systems Inc. and Citrix Inc. Nefsis anticipates that offering its free service will grow its customer base, but how it will fare in the long term against such large, well entrenched competitors is an open question.