VSaaS Market To Reach $49B by 2020
DEMAND for traffic surveillance and intrusion detection is expected to propel the cloud video surveillance market to $US49 billion within the next 5 years.
The global video surveillance and video surveillance as a service (VSaaS) market is expected to reach $48.95 billion by 2020 due to the growing number of security concerns, as well as an increased investment in sophisticated surveillance network development, according to a new study by Grand View Research.
Technological advancement has led to the development of improved surveillance cameras and related devices. Declining IT costs and centralized data management are expected to positively impact the video surveillance and VSaaS market.
Grand View cites privacy concerns associated with public surveillance as constraints to market growth. Implementing big data analytics solutions is expected to provide viable growth opportunities to companies operating in the market. Furthermore, mobile video surveillance could potentially help market growth because it allows real-time data viewing,
Grand View Research anticipates demand for analogue systems to remain robust in the price-sensitive consumer segment, but the report notes that IP-based systems are expected to gain market share over the forecast period due to benefits such as superior image resolution and integrated analytics engines.
Hardware is expected to remain the leading component segment over the forecast period. Key hardware products include cameras, recorders and storage devices; need for efficient security in public venues and sporting events is expected to drive global surveillance cameras demand. The services segment that includes hosted, managed, and hybrid services is expected to witness high growth over the next six years.
Transportation and retail are expected to remain the major application segments over the forecast period, as the need for traffic regulation and controlling theft and vandalism activities in public transport are expected to drive market growth.
Grand View does not mention the Lowe Report, which recently found 60 per cent of security users had a negative reaction to contracts involving ongoing costs. This dislike for ongoing costs is something sales teams will need to get across if the VSaaS market is to fulfil its potential.
Another potentially serious competitor for cloud is quality DIY, or low cost PnP solutions which store images locally and leverage Wi-Fi and existing network bandwidth to share footage with authorised workstations and smart devices. ♦