On Wednesday Cisco systems unveiled the UMI (pronounced YOU-me), a new system for teleconferencing on HD television sets, for business and home use.

The Umi requires a mix of Cisco hardware and hardware you already own. The service includes a Cisco issued high definition camera with embedded microphone, a set top box and a remote. You need to have a 1080p television and internet connection to get the most out of it.

There is no need for external microphone and their system cancels external noise and brings the voices to the foreground. So if your office is at a noisy location, traffic noise will not obliterate your words.

Although video calls are at the center of Umi service, the remote also allows customers to manage their contacts list, profiles and settings. Umi can also record the conversation and have converted into an attachment you can send via e mail.

The advantages of their system, according to the Cisco people, is that the VoIp will allow connection to any other VoIP systems, specifically Google video chat. The Umi can be locked so it can’t be used in your absence, can block unwanted callers and the camera can be turned off for voice conferencing only.

The system, which will be available in November, will cost $599 and there will be a service fee. Still, it is a far cry from the $100,000 Cisco used to charge to set up videoconferencing rooms for big companies.

While the videoconferencing product today is designed for large companies, Cisco has ambitions to integrate it into consumer set-top boxes. That means family members, as well as small business owners will be able to stay connected with the people they care about while experiencing live video chats in crisp high-definition.

Read more about it on Cnet and CNN.