Sentronics presents an exciting look at network video: market trends, technologies and a clear stance on investing in this future.
While Sentronics understands that analogue security devices are here to stay (at least for now), we also understand the greatness of the opportunity presented through selling and using network video and similar new generation products driven in an industry that evolves at the same rate as any other based on IP (Internet Protocol) technology today.
The trends of how this will influence the near future are what we all should investigate, understand and invest in so that we ensure profitable and sustainable business going forward. Results that have not and cannot be achieved by conventional systems are upon us when it comes to solutions and business.
The latest IMS-EMEA (Europe, Middle East and Africa) report indications show some interesting statistics. The annual projected sales turnover in this area for 2008 as far as conventional analogue cameras is estimated at around USD 640 million, while network video camera sales for the same year is indicated at USD 280 million. By 2011, the picture changes dramatically with analogue camera sales dropping slightly but still remaining stable at around USD 617 million while network video camera sales skyrocket to over USD 755 million for that year. The ratio between network camera sales and video server sales is 2.2:1 which indicates that a big percentage of analogue sales will be converting the signals to IP anyway. So where do you want to invest your energy?
The good news for anyone sensible enough to sell network video cameras is that indications of average selling prices are set to rise 2,2% instead of what is normally expected in electronic devices where everything drops in price. The reason for price increases in the next few years are directly related to certain technology trends, such as better compression technologies along with video analytics being performed at camera level rather than on the recorder.
What it boils down to is that the product mix will move towards higher value products. You will be able to sell and purchase network video cameras that are higher quality resolutions with better compression rates and capable of intelligent features like object counting, suspicious object detection and behavioural monitoring for pretty much the same price you were paying for those without these features yesterday. Features such as camera tampering will become an accepted and expected standard on each camera.
The ever increasing acceptance of network video in the market alongside bigger deployments and more product diversity is also imminent. Megapixel technology is turning fantasy into reality when it comes to covering greater areas with more detail and precision than ever before. In conjunction with this, megapixel technology also provides answers to licence plate and facial recognition as well as entering the world of digital pan/tilt/zoom for enhanced image quality (as seen on CSI) for the first time available in the commercial markets.
Megapixel gains ground
The trend towards megapixel IP technology has meant that many companies have jumped this bandwagon with the American manufacturers holding the greater share of the market. Arecont Vision offers ground breaking products for a diverse amount of applications.
Securing your investment
So how do you go about selecting a brand and range of cameras? First off, all ensure that you select a brand or combination of brands that hold at least some form of global market share in IP video. These companies offer depth in their ranges and are also light years ahead in design and manufacturing of IP video products. Another sure sign is to make sure that your recording platform supports the brand that you want to integrate with it. Open architecture or non-proprietary recording systems always tend towards supporting the major IP camera players in the market first. These recording platforms present a good reference list.
Sentronics currently offers Vivotek and Arecont Vision and will be sharing some really exciting news about newly acquired brands over the next two months. For Sentronics it is not about how many distributors are selling a specific product brand, it is about who does it the best. Our best includes adding value to the brand and the different products within the brand by marketing and sharing information with the industry and our clients and by having an in depth knowledge on the subject of IP and network video as well as the products within these markets.
In this industry, your future is network video.
For more information contact Sentronics, 0861 SEN 247.
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