The constantly changing IT and security landscape requires of system integrators, resellers, installers, architects and engineers that they always learn new technologies to stay competitive in the digital economy. All-over-IP 2019 partners and sponsors, including Grundig Security, AxxonSoft, Basler AG, Electronika and Rubicon, have shared their vision for trends to embrace in 2019 and 2020.
- Trend 1. Advances in neural networks, neural video analytics and artificial intelligence.
- Trend 2. Adoption of as-a-service model in the video surveillance market.
- Trend 3. Penetration of machine vision technology across QR code reading applications in the pharma and food sectors.
- Trend 4. Machine vision cameras supporting MIPI CSI-2 interfaces for a wider variety of embedded vision applications.
- Trends 5. Integrating multiple unconnected security applications with PSIM to prompt better business decisions.
- Trends 6. The increase in sales volume of wireless fire detection systems across B2C channels.
Trend 1. Advances in neural networks, neural video analytics and artificial intelligence
Neural video analytics allows to create previously impossible applications. Besides, using artificial neural networks for deep learning helps to set up efficient custom solutions for various verticals. AI video analytics is still a very new and flourishing market. Video surveillance vendors and solution providers are getting access to a wider variety of new business opportunities. System integrators and security installers are able to offer a more extensive portfolio of solutions which will expand their business, improve sales and profitability. An unwillingness to embrace AI in the next few years puts any company operating on the video surveillance market at risk of failure.
CEO, Grundig Security Russia
The video surveillance market in Russia is driven by the government and commercial sectors. The government will require execution of physical security laws; this shapes the market and helps satisfying the needs of customers who are impacted by the legislation. Businesses a lot more often start using video surveillance systems to manage or automate their operations aiming at:
- monetizing their video surveillance installations;
- optimizing the architecture of video surveillance installations;
- automizing operations.
Trend 2. Adoption of as-a-service model in the video surveillance market
This trend is not widespread yet, the main reason for that is lack of supply. However, in the coming years with increase in supply, it's the as-a-service (or cloud-based) business model that is able to make a fundamental change in the way video surveillance market players interract with each other, and become the main market driver.
The economic advantage of the video surveillance-as-a-service approach is mostly relevant for installations that are large-scale, geographically distributed or complex in terms of integration. These factors require end-users to obtain specific expertise, and have the greatest impact on maintenance costs that often turn out to be higher than originally estimated. The as-a-service model allows the end-user to get a turnkey solution which is easy to scale and is offered at a pre-determined price. And expenses grow directly alongside adoption, a typically pay-as-you-go strategy.
General Manager, ITV Group
Across the channel partner network, it's large system integrators and telecom-operators that start making a bigger difference as they are usually quite familiar with the as-a-service model. At the same time, the fact that those companies enter the security market is significant enough itself to drive penetration of video surveillance as a service. The main advantage that makes the as-a-service business model so attractive to the customer lies in cost reduction. The total cost of ownership (TCO) is lower for cloud based solutions vs traditional systems when the customer has to purchase both hardware and software and maintain the installation themselves. Interestingly enough, the major savings are associated with system maintenance as outsourcing non-core processes to vendors saves the customer the trouble of having the relevant expertise on their side. Hiring high-quality IT professionals is a complicated task as demand exceeds supply in the labour market.
Trend 3. Penetration of machine vision technology across QR code reading applications in the pharma and food sectors
Machine vision cameras are already being used for reading out barcodes and QR codes in alcohol production. This approach will become even more widespread with the time. Next-generation high-resolution machine vision cameras allow to create relatively inexpensive solutions for high-speed checking the contents of boxes with medicine. This is required by law. Significant investments are being made in software development and the purchase of manipulators and peripherals. So basically, we are seeing the rise of an ecosystem for quality control across manufacturing process of any kind, total inventory and control. This will help end-users to continue their business operations (which is impossible without inventory); provide system integrators with extra income; and improve sales of machine vision vendors and solution providers.
Trend 4. Machine vision cameras supporting MIPI CSI-2 interfaces for a wider variety of embedded vision applications
Embedded vision allows to bring products with a rich new set of value – these vision-based products are smaller, cheaper and therefore and have a bigger market. Earlier, image recognition technology did not apply to small businesses, mobile parking solutions were expensive, the situation has now changed drastically.
The embedded vision strategy based around MIPI interfaces are a convenient way to produce low-cost small-sized solutions to cater the demand of the mass market including urban parking management, robotics, biometrics and retail applications.
Regional sales manager, Basler AG
Embedded vision opens up additional market opportunities for solutions providers and systems integrators in applications such as retail, vending machines, ATMs, paid parking. End-users receive greater data analytics and are able to perform more complex (from the analytics perspective) tasks and save on hardware used for computing (a switch from expensive industrial PCs to high-capacity single-board computers). System integrators get an advantage to offer a wider range of applications by integrating their proprietary software in embedded vision systems.
Trends 5. Integrating multiple unconnected security applications with PSIM to prompt better business decisions
Wider adoption of PSIM platforms will lead to further convergence between markets, meaning expansion of IT companies into security market and growth of security system integrators in the IT environment. PSIM is definitely driving a few trends that are relevant to Industry 4.0 to physical security. Intelligence is moving from servers to the edge: video surveillance cameras with on-board analytics, smart access control readers, etc. This enables customers to build geographically distributed, integrated physical security solutions that can scale to any size city-wise or country-wise.
Peripherals on a physical security system generates a huge number of events that are not easy to analyze by a human being. Using big data analytics powered by PSIM help to process data quickly and efficiently and provide the security system operator with information that is only relevant for specific cases or incidents, as well as to apply the output data beyond security applications.
Business Development Director, Electronika
Most of the businesses have physical security systems installed. But they often represent multiple unconnected applications and devices that don't communicate with each other which doesn't offer situational awareness and slows down response time. End-users are currently looking for ways to improve their investment performance instead of purchasing new hardware. Contract pricing for physical security installation is expected to increase due to additional value delivered beyond security.
Trends 6. The increase in sales volume of wireless fire detection systems across B2C channels
In 2019, the Russian fire alarm and detection market will grow by 3–5% driven by the volume of construction and increased attention to public fire safety paid by the government after a series of tragedies. There is a growing demand for integration and interaction between fire safety and other security systems. Vendors that are the first to offer the right options for solving a number of challenges to the market will attract customer's attention and investments for a period of time.
Business Development Director, Rubicon
Regulatory and control agencies increasingly claim that it's far more important to undertake actions that aim at eliminating the risk of mistakes in the future instead of working on the superficial layer of problems or avoiding them. Residential customers will absolutely remain the main market for fire alarm and detections brands in 2019.
All-over-IP experts believe that video surveillance, security and machine vision technology is evolving by improving intelligence and automation, which just fits the major idea of digital economy – increasing efficiency, quality and performance of labour, processes and business. The trends given and described above specify the topics system integrators, engineers and resellers have to be learning right now to offer its clients the required level of innovation.
As All-over-IP 2019 partners, Grundig Security, AxxonSoft, Basler AG, Electronika and Rubicon educate sales channels and end-users on new business opportunities brought by advanced technology and trends.
Would you like to engage and educate sales partners, connect with key end-users and open up new markets? Please contact Olga Fedoseeva (email) to discuss the format that mostly fits your objectives in Russia and your budget.
12th Annual International ALL-OVER-IP 2019
Founded in 2008, All-over-IP is a networking platform for global IT, surveillance and security vendors, key local customers and sales partners where they share knowledge and exchange ideas that are financially rewarding for business. All-over-IP Expo brings together major brands to ensure the best marketplace for the latest technology and innovation, and to lead customers to the Next Big Thing.
General Sponsor: Grundig Security
Sponsors: ITV Group, Basler AG, Electronika, Rubicon, Vizor
365 days per year: content and digital marketing initiatives
November 20–22, 2019: the in-person event
Russia, Moscow, Sokolniki Expo