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IP Takes Hold?

IMS Research, a U.K.-based supplier of market research and consultancy services for a wide range of global electronics markets, recently reported that IP video surveillance is outperforming global video surveillance growth in 2010.

The firm’s latest report, “The World Market for CCTV and Video Surveillance Equipment – 2010 Edition” forecasts that the world market for video surveillance equipment will recover surprisingly quickly in 2010, growing by more than 9 percent compared to 2009.
 
“While the economic downturn did impact the global video surveillance equipment market in 2009, fiscal stimuli from governments and the inherent demand for video surveillance equipment mitigated the magnitude of the impact,” said report author and IMS Research analyst Gary Wong.

IMS found that the impact of the downturn was more profound in the analog video surveillance equipment market than in the network video surveillance market; end-user verticals that are analog-centric were among the most heavily affected by the downturn. The accelerated adoption of network video surveillance solutions further impacted the sales of analog video surveillance equipment in 2009.
 
The global analog video surveillance market is forecast to shrink by more than 5 percent in 2009, but the network video surveillance market grew by more than 18 percent. The introduction of HD network cameras and the growing adoption of ONVIF and PSIA standards are only helping the growth of IP.

Strangely enough, it may be the economic recession that finally tips the scales in favour of IP dominance. As businesses slowly recover from last year’s low-point, they seek security solutions and products that will be as scalable and future-proof as possible, to help save money down the road.

However, analog isn’t going anywhere yet. In the report, IMS acknowledges that analog video surveillance equipment still represents the majority of annual unit shipments and that its demand shows no signs of disappearing in the foreseeable future; however, the market for analog video surveillance products is expected to become increasingly commoditized.

Megan Weadock is the print managing editor of Security Products.

About the Author

Megan Weadock is a communications specialist at Monitronics.

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