According to a new report from UK-based market research firm IMS Research, sales revenues from network video products are expected to surpass analog equipment in 2014. However, in terms of shipments, analog cameras are expected to continue to outsell network cameras.
The report, "The World Market for CCTV and Video Surveillance Equipment – 2011 Edition," estimates that the world market for video surveillance equipment in 2010 achieved growth in excess of 10 percent from 2009. This growth was attributed largely to sales of network video equipment.
"Whilst the global analog video surveillance equipment market was relatively depressed in 2010, the network video surveillance market has continued grow almost three time as fast as the total market in 2010, over 30 percent," IMS Research Senior Analyst and report author Gary Wong said in a statement. "If the Chinese analog video surveillance equipment market was removed from the equation, both the EMEA and the Americas analog markets contracted in 2010."
In addition, the report cites two key factors for the anticipated decline of the analog market – the transition of enterprise users to network video solutions and increasing price competition in the mid-to-low tier of the analog market.
IMS says that the growth of network video surveillance continues to be bolstered by government stimulus-funded projects, as well as increasing market penetration by higher-value IP video products such as HD cameras.