IPSecurityWatch.com |

Researcher Mark Kirstein is the author of a new report from MultiMedia Intelligence regarding the IP/network video market.

Earlier this week, Mark Kirstein, president of MultiMedia Intelligence, released a security market report on the topic of IP and networked video surveillance (see previous coverage of that report). The report, titled "IP/Networked Video Surveillance: Equipment, Technology & Semiconductors", reviews the transition from analog video to networked video surveillance and covers the chief players and trends occurring in this space. SecurityInfoWatch.com caught up with Mark Kirstein, who has been covering the IP/network video surveillance market for three years now (before MultiMedia Intelligence, he was with research firm iSupply), and we got a chance to talk about the numbers as well as the transition's effect on the channel partners.

Mark, you reported 48 percent growth in the IP video market. That sounds strong, but was it what you expected?

Kirstein: Overall, I think the network camera market is a little slower than what we expected, in terms of the uptake of IP surveillance. The barriers to adoption to IP are actually higher than we expected. Our conclusion, having watched the network video surveillance market for 3 years, is that the big barriers aren't going to go away quickly.

We reduced our long-term forecast for growth. We're not looking for as huge of a transition where the entire industry switches over to IP. I don't see it accelerating; I see it staying in the 30 - 40 percent range in the next 5 years. That growth [30 to 40 percent year over year] isn't enough to overtake analog CCTV in the next five years.

When do you think network video will overtake analog video?

Our projections have the analog CCTV market declining in 2012, both in units and overall sales. Beyond 2012, it probably would not be quite even [between analog and network video] in 2013, and we probably wouldn't see cross-over until 2014, and even that includes numbers for consumer DIY network video installations along with the professional network video installations. On the professional side, it may still be biased toward analog [in 2014].

What we're seeing is that there's a high-end element of the camera market that's switching over to IP, and there's some bleed over of it, but that middle-market, mainstream professional CCTV market will be difficult for IP to catch up in. Additionally, there are not as many benefits to be had.

What do you mean by "not as many benefits"?

IP excels in small systems where they need a small system that needs remote access and viewing. It also excels in the really large, enterprise systems, but for the middle market range (perhaps from 5-30 cameras), the buyer can get the same benefits by just having an Internet-connected DVR.