June 2014
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IHS Research Note: Global Video Surveillance Market - Latest Trends

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The world market for video surveillance equipment grew by almost 7% in 2013.This is according to recently published estimates from IHS Inc. (NYSE: IHS), through its Video Surveillance Intelligence Service. The service also reveals that the ongoing transition from analogue to network equipment accelerated in the same year with revenues from network higher in all four major world regions analysed (EMEA, Americas, China, and Asia).
 
According to principal analyst, Jon Cropley, “IHS forecasts that the pace of transition will continue to be rapid in 2014 and 2015 before slowing slightly from 2016 onwards. In the next two years a number of major vendors will continue focusing their efforts on their network equipment at the expense of analogue”.
 
Global video surveillance equipment revenue in 2014 is expected to rise to $15.0 billion, up from $13.5 billion in 2013.
 
IHS has just added new global and regional market statistics, forecasts and market share estimates to its Video Surveillance Intelligence Service. In addition to the trends above, other key findings include:
 
Reliable Controls •         A number of Chinese suppliers are estimated to have gained market share in regions outside China in 2013. They tend to offer products with low prices and this has been a major factor in high average price erosion in those regions.
•         China is estimated to have been the largest regional market for video surveillance equipment, accounting for a third of global revenues in 2013.
•         In terms of revenues, the market for network cameras was much larger than the analogue camera market in 2013. However, unit shipments of network cameras are not forecast to exceed those of analogue cameras until later in the decade.
•         Forecasts for network cameras with 4 Megapixels and above have increased. Growth in demand for 180/360 degree network cameras and 4K cameras is a major reason.
•         The supply of video surveillance equipment remains highly fragmented. The fifteen largest suppliers accounted for only just over half the market in 2013.
•         Although declining, shipments of analogue cameras and DVRs will remain high throughout the forecast period.
 









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