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Videoconferencing provides an alternative means to actual face‐to‐face contact of ‘transporting’ business information. This paper develops a simple economic model to examine the comparative costs of using videoconferencing as opposed to making journeys for face‐to‐face meetings. It explores, looking at developments in both the United Kingdom and Switzerland, the actual use of videoconferencing to‐date and the factors influencing its adoption. In particular, it looks at the nature of substitutability and complementarity of videoconferencing and travel focusing on the importance of influences such as the nature of the firms involved and their internal managerial structure. There is, finally, a consideration of longer term influences on the up‐take of such telecommunications technology.