Video Analytics mkt to grow 21 p.c. in 2011

LONDON: The video analytics market is expected to grow by 21 per cent year-over-year (YoY) in 2011, says an ABI Research’s study, 'Intelligent Video Analytics', which explores and analyzes the market for surveillance-related video analytics solutions.

The research further reveals that this surge in demand will drop to a more sustainable growth of 13.9 per cent in 2012 and will stabilize at near 11 per cent YoY growth at the end of 2016, driven by the emergence of innovative use cases such as business intelligence (BI) tools and the maturing of product offerings.

“Video analytics, used as a BI tool, is currently experiencing a growing demand,” says George Kraev, senior analyst, security and ID. “That growth will continue for the next couple of years, with a slight drop off at the end of 2013 due to the cyclical nature of the demand.

According to Kraev, the year 2014 would see a reinvigorated demand for BI video analytics solutions, with the BI type reaching a 38.4 per cent market penetration by 2016. The BI video analytics market is projected to grow a little over 2.5 times from 2011 to 2016, he said.

South America will more than double its global video analytics market share, reaching 12 per cent by 2015. Meanwhile, North America and EMEA will lose some of their global dominance due to the high demand for video analytics in other regions. The market dynamics will be driven by multinational corporations and the adoption of high-end systems by affluent customers in the BRIC region.

While the industry is seeing a general shift toward edge devices, there are still limitations to digital signal processing power and the ability to run complex detection algorithms. The transition to edge-based analytics will be slow for the next three or four years with Intel-based systems maintaining their market share lead.

Despite the hopes that a lot of analysts pin on cloud-based surveillance, at present there are too many unresolved issues for any sizeable growth expansion.