17/09/2010
Free video management software predicted to open up low end markets
Wellingborough, UK
Offering free or ‘lite’ software has been an incredibly successful business model in other software application markets. Customers get a taste for the product and upgrade the software as their requirements and/or installation size increases. Furthermore, the availability of free open platform VMS may entice the existing installed base of low camera count deployments to part with their existing, and typically proprietary, system and embrace an open platform VMS.
The network video surveillance market has, to date, not been successful in the low-end of the market (the 8 to 16 channel camera market). When compared to an analogue DVR system, the high price of VMS licenses, coupled with the higher price of network cameras, has served as a deterrent in this highly price sensitive market segment. Currently, the low-end market is serviced by inexpensive and low cost analogue CCTV products. “The rapidly declining cost of network cameras, free VMS and open standards will all play key factors in network video surveillance equipment beginning to penetrate the low end market”, states video surveillance analyst Gary Wong. Wong continues, “However, even free open platform VMS may not provide the key to penetrating this market segment as customers may continue to favour the familiarity of existing analogue systems.”
IMS Research’s recently published report, “The World Market for CCTV and Video Surveillance Equipment – 2010 edition” forecasts the growth open platform VMS and other video surveillance equipment types in greater detail.