Electronic Design

$800 Million Market Keeps An Eye On You

The exploding market for Internet Protocol (IP) video surveillance cameras and servers will generate a nearly $800 million opportunity for semiconductors in 2010.

Revenue from shipments of IP video surveillance cameras nearly doubled in 2005 and will continue to grow at a compound annual growth rate of 87.9% from 2004 to 2010 to reach $3.9 billion. By the end of 2009, the worldwide IP surveillance camera market will grow larger than the conventional closed-circuit television (CCTV) camera segment. Meanwhile, the market for IP surveillance servers will expand to $1.3 billion in 2010.

Semiconductor technologies are enabling dramatic new features in IP video surveillance cameras and servers. The market for such semiconductors will grow in parallel with rising sales of IP video surveillance equipment. The semiconductor market associated with the video surveillance cameras and server market will expand to nearly $800 million in 2010, up from $86 million in 2006.

The overall video surveillance market is booming, driven by increased public and private security concerns. Underlying the growing spending on video surveillance is a rapid evolution in camera and surveillance technology.

As cameras transition to digital technology, manufacturers are making smarter products with features like image recognition, image tracking, and response and alert systems. The adoption of IP cameras and IP servers, also known as streamers, is perhaps the most significant trend in video surveillance today.

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