One of the fastest growing emerging markets (or should we say re-emerging) for ProAV is Physical Security and Video Surveillance. What was once done via CCTV is way more sophisticated now with digital cameras and DVRs. According to MarketsandMarkets, the Video Surveillance as a service (VSaaS) market is expected to reach $2.4 billion by 2017 at a CAGR of 31.5 percent from 2012 to 2017.
By revenue in 2011,although North America held the highest share (37.5 percent), Europe came close with 34.82 percent.
This research company expects the market will adopt three business models:
- First, a model caters to the physical security customers who would prefer storage and retrieval of the video through cloud which would require no capital investment in the equipment.
- The second model would let the usage of cloud services in the form of a private network infrastructure which doesn’t necessitate the need for transferring the whole video into the cloud.
- The third model postulates the usage of remote monitoring having servers and storage on the back-end, the entire video system infrastructure in between along with the appliances and cameras on the front end.
The key factors driving the Video Surveillance as a Service (VSaaS) market include IT cost containment by major corporates, emergence of data centers, need for centralized data and application management, new features and technologies like IOT (Internet of Things) and field of view (FOV).
On the other side, bandwidth and corporate protocols, network security and high infrastructure cost restrain the market growth of video surveillance as a service (VSaaS) market.
Currently, VSaaS is used in commercial, institutional, infrastructural, industrial and residential applications. Storage on EDGE, intelligent business services and mobile device access are a few opportunities expected to open new horizons for the development of the VSaaS market.
The various end-user applications under VSaaS include commercial, infrastructural, industrial, institutional and residential applications. Among the commercial applications, the office segment holds the highest share: 41.10 percent, growing at a Compound Annual Growth Rate (CAGR) of 42 percent. In the infrastructure market (highways, streets and bridges, transportation, communications and stadiums), highways, streets and bridges is expected to increase with the highest CAGR of 12.9 percent followed by communications segment growing with a CAGR of 12.1 percent.