To date, the adoption rate has not been as strong as many in the industry expected, partly due to the high cost of server-based solutions. This has mainly restricted the use of video content analysis to high-end government and military applications. IMS Research predicts this is about to change, as developments in DSP technology have cleared the way for video content analysis algorithms to be embedded into field devices, such as network cameras and video encoders, bringing the technology into the price range of the mass market.
One of the most common applications for video content analysis software is perimeter security. The software can detect people and vehicles crossing virtual perimeters and alert security guards to potential security breaches. IMS Research analyst James McManus commented, "Video content analysis software is transforming the way video surveillance is used. To date, video surveillance has been mostly used as a post-event forensic tool, but it can now be used more proactively to actually prevent an incident taking place".
Furthermore, developers of video content analysis software are becoming evermore creative in applying the technology and are developing solutions for specific vertical markets. For example, in the retail sector video content analysis software can analyse consumer behaviour to provide measurable evidence of the effectiveness of store layouts, signage and customer care. The retailer is able to use the video surveillance system to improve operational effectiveness, as well as for security, thus increasing the return on investment.
IMS Research foresees a potentially huge market for entry level analytics that provide health checks to ensure video surveillance systems are functioning correctly. McManus commented, "if these basic algorithms are priced correctly, it is possible to envisage that manufacturers of cameras, DVRs and video servers will deploy them across their entire product range. Whilst the price of the software may be low, the volumes are in the millions. Furthermore, this could act as a springboard for more advanced analytics".
IMS Research predicts that the world market for video content analysis software will grow at a CAGR of 62% over the next five years to $621.9 million by 2010, with embedded software accounting for the lion's share of the market. McManus commented, "These are exciting times for the security industry. Embedded solutions will take the application of video content analysis to a whole new level".

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