When will IP video sales take the lead?
Will 2014 be the year that sales of network video surveillance equipment finally surpass analog? IMS Research sent out a press release today saying that’s the year.
“IMS Research forecasts that the growth of the network video surveillance market and the decline of the analog market will lead to a transition in 2014, with network video overtaking analog in terms of sales revenue. However, it should be noted that in terms of shipments, analogue cameras are forecast to continue to outsell network cameras in 2014,” the release said.
IMS issued a report, “The World Market for CCTV and Video Surveillance Equipment – 2011 Edition” that says the “world market for video surveillance equipment continued to achieve strong growth in 2010 ... driven by sales of network video surveillance equipment.”
During 2010 analog sales were” relatively depressed in 2010,” the release says, but the network video surveillance market grew “almost three time as fast as the total market in 2010, over 30 percent.”
IMS's Gary Wong estimated that if the “Chinese analog video surveillance equipment market was removed from the equation, both the EMEA and the Americas analog markets contracted in 2010.”
The decline of the analog sales is due to two factors, IMS said: large/enterprise customers transitioning to network video surveillance solutions; and, lower prices in the mid-low tier of the analog market.
Network video sales are helped by bolstered by government stimulus-funded projects and more “higher value network video surveillance products, such was HD cameras.”