The global video management software (VMS) market size is forecast to reach US$ 19 billion by 2027, growing at a CAGR of 21.2% from 2022 to 2027. Video management system (VMS) manages a surveillance workflow by integrating cameras, encoders, recording systems, underlying storage infrastructure and analytics software, at a single interface at video management server. It can be a network video recorder (NVR) and digital video recorder (DVR) surveillance system. There are various applications of video management software (VMS) such as smart surveillance software, IP camera software, video storage and data management, mobile monitoring and streaming and many others. The growth contributing factors of this market are increasing crime rates and security concerns, growing government initiatives for public security and rise in research of artificial intelligence and machine learning based on video management software. However, an increase in stringent government regulations is a restricting factor for the growth of video management software (VMS) market.
Video Management Software (VMS) Market Report Coverage
The report: “Video Management Software (VMS) Industry Outlook – Forecast (2022-2027)”, by IndustryARC covers an in-depth analysis of the following segments of the Video Management Software (VMS) industry.
By System: Network Video Recorder (NVR) , Digital Video Recorder(DVR)
By Solutions: Intelligent Video Search, Advanced Video Management, Data Integration, Custom Application, Intelligent Streaming, Storage Management, Security system integration, Mobile Monitoring, Others
By Technology: Analog based, IP based.
By Deployment :On-premise, Cloud based, Hybrid.
By End user: Energy & power, Banking Financial Services and Insurance, Healthcare, Residential, Manufacturing, Retail, Transport and logistics, Media and entertainment, Government & Public spaces, IT & Telecom, Educational Institutes, Others.
By Geography: North America (U.S, Canada, Mexico), Europe(U.K, Germany, France, Italy, Spain, Others), APAC (China, Japan, South Korea, India, Australia, Others), South America (Brazil, Argentina, Others), RoW (Middle East, Africa)
Key Takeaways
- Theon-premise segment held the largest market share in the Video Management Software (VMS)market segmented by deployment. This is owing to cyber security concerns on cloud storage and ease of access at single site.
- The government and public spaces segment held the largest share in video management software (VMS)market by end user, in 2021. This is attributed to the growing crime rates, need for public security and for efficient law enforcement.
- North America market held the largest market share of 37%, in 2021. This is due to rise in crime rates, growing research in artificial intelligence based and Internet protocol based technologies.
- The rise in crime rates and security concerns, growing government initiatives for public security and rise in research of artificial intelligence and machine learning based video management software are the contributing factors in the growth of Video Management Software (VMS) market. The COVID-19 pandemic propelled the need of remote monitoring which helped in the growth of video management software (VMS) market.
Video Management Software (VMS)Market Value Share, By Geography, 2021 (%)
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Video Management Software (VMS) Market Segment Analysis- By Technology
The Video Management Software (VMS) market by technology has been segmented into Analog based and Internet Protocol based. The Internet protocol (IP) based segment held the largest share of 65% in 2021. This is owing to the growing demand for remote monitoring and need for cost efficient as well as high video quality solutions. As a result of the increasing use of Internet Protocol (IP) technology devices such as IP Camera, there is a need for IP compatible video management software. This helps the market to grow further. Internet protocol (IP)-based video management software provides benefits such as enhanced image quality, remote and mobile monitoring, flexible & scalable systems, advanced intelligent video, and low total cost. The open platform video management software enables IP cameras with inbuilt analytics, which gives the surveillance system greater business insight. In January 2022, Bosch announced the launch of Video surveillance as a service (VSaaS) as a scalable solution that enables efficient management of video security footage. All Bosch IP cameras have built-in video analytics, a form of AI, in order to help them autonomously detect pre-defined situations and trigger the cloud-based alarm management service. Thus, growing innovations in the Internet protocol (IP) based technologies are boosting the growth of video management software market.
Video Management Software (VMS) Market Segment Analysis- By End User
The Video Management Software (VMS) market by end user has been segmented into energy & power, banking financial services and insurance, healthcare, residential, manufacturing, retail, transport and logistics, media and entertainment, government & public spaces, it & telecom, educational institutes, others. The government and public spaces segment held the largest share of 30%, in 2021. This is due to growing safety concerns for public property and cross border migrations. This increasing threat to national security is enabling government authorities to implement advanced video surveillance solutions. In October 2021, a report by Oosto, a security service provider, stated that the city of Detroit managed to reduce crime by 50% under Project Green Light, a smart initiative that uses public and private cameras to identify crimes around town. The network of cameras has two functions- they provide critical evidence for investigations and discourage potential criminals from committing crimes, as every camera involved in the project has a green identification light. Thus, there is growing adoption of Artificial Intelligence and Internet Protocol (IP) based surveillance technology by governments for law enforcement and public safety.
Video Management Software (VMS) Market Segment Analysis- By Geography
The Video Management Software (VMS)market by geography is segmented into North America, Europe, Asia-Pacific (APAC), South America, and the rest of the world (RoW). North America held the largest Video Management Software (VMS) market share with 37%of total market size. This is attributed to increasing crime rate leading to need for surveillance and video management and the rise in adoption of advanced artificial intelligence and internet protocol based technologies. In April 2022, Konica Minolta Business Solutions U.S.A., Inc. (Konica Minolta) has announced the launch of FORXAI Video Security Solution (VSS), an offering that includes its FORXAI Video Security Solution for Intelligent Surveillance and point-of-entry solution, FORXAI Video Security Solution for Secure Access. Konica Minolta will build on its long-standing technology partnership with MOBOTIX in the United States, strengthening the cooperation and support between the two companies. Thus, increasing research and development in technologies along with the partnerships, acquisitions are helping the growth of this market in North America
Video Management Software (VMS) Market Drivers
There is a rise in security concerns due to increasing crime rate which is leading to growing adoption of video management software (VMS) solutions
Video management software is an integral component of the security infrastructure. It enables to process and analyze video collected from their surveillance cameras. It provides intelligent video search, data and storage management, tracking and identification with the help of artificial intelligence and machine learning based technologies. The demand for surveillance systems has been increasing due to rapid increase in the crime rates across the globe. As a result, governments are adopting advanced surveillance systems with video management software. In October 2021, Honeywell announced it was selected to lead the Bengaluru Safe City project under the Nirbhaya Fund by the Government of India’s Ministry of Home Affairs. The Bengaluru Safe City project is valued at US$ 67 million. The video system will provide advanced video analytics, including facial recognition, a ‘Dial 100’ application, drones and video management software to manage the data received. Thus, the rising crime rate and the need for public security has compelled the governments to adopt video management software (VMS) solutions and lead to the growth of this market.<span times="" new="" roman";mso-bidi-font-family:="" calibri;mso-bidi-theme-font:minor-latin;background:white;mso-bidi-font-weight:="" bold"="" style="box-sizing: border-box;">
The growing research and development of Internet Protocol based technologies is fueling the growth of video management software (VMS) market
The demand for video surveillance technology continues to expand as organizations seek to protect critical infrastructure and provide a safe, secure environment for public. Management of office buildings, hospitality venues, retail establishments, hospitals and schools are implementing video surveillance solutions to protect against a variety of risks from physical violence to theft and fraud. Surveillance solutions are also being deployed as part of smart cities projects. Internet protocol (IP) video surveillance uses digital cameras and network video recorders (NVRs) with the help of video management software (VMS) to deliver high-quality video across a data network for real-time or future viewing on virtually any Internet-connected device. Video management software (VMS) allows administrators to manage and maintain video surveillance like any other network application. Some Internet Protocol (IP) video cameras offer Wi-Fi connectivity. This can enable installation in outdoor and hard-to-reach areas, but the Wi-Fi network may have to be expanded to provide the necessary capacity and coverage. In February 2022, the ‘Renfe Smart Security Station’ (RS3) project, more than 5,000 analogue security cameras will be replaced by IP cameras and video management software, which will enable the information collected through the CCTV system to be shared in an integrated video analytics system. It has a budget of 31.7 million Euros and has been financed with European Union funds. The project is scheduled to be completed in 2024 and started at the end of 2021. Thus, increase in development of Internet Protocol (IP) based technologies is driving the growth of video management software market.
Video Management Software (VMS)Market Challenges
Stringent government regulations for video management software (VMS) is challenging the growth of the market
Video management software eases out the process of managing surveillance data captured. However, this data and information is critical and sensitive which needs to be protected and secured. There is also restriction on level of surveillance as it should not lead to breaching one’s privacy. Hence, the governments of various countries have certain established law to abide by the surveillance and video management software (VMS). In India, government agencies such as Central Monitoring System, National Intelligence Grid etc. monitor the surveillance in cyberspace, telephones, email, personal messages etc. There are also many acts and rules passed by legislature which governs surveillance such as, Right to Privacy Bill, 2011 has been presented in the parliament and an attempt has been made by government as to define privacy and under which circumstances the government has power to conduct surveillance and what shall be penalties as to misuse of such information obtained by the way of surveillance. In United States of America, a strict policy states that the President has the power to grant electronic surveillance on any foreign power or any person who is agent of foreign powers. In Europe, generally there are no direct laws provided to govern surveillance and EU members uses guidelines of UK’s Regulation of Investigatory Powers Act as in Europe, right to privacy of individuals is highly developed area of Europe. It is necessary for the video management software to comply with the regulations of that particular country. Thus, increasing stringent and variety of laws them in different countries are hindering the growth of video management software market
Video Management Software (VMS) Market Landscape
Product launches, acquisitions, and R&D activities are key strategies adopted by players in the Video Management Software (VMS) industry. TheVideo Management Software (VMS)top 10 companies include:
- AxxonSoft
- Milestone Systems
- Axis Communications Inc.
- Avigilon Corporation
- Verint Systems
- Genetec
- Salient Systems
- March Networks Inc.
- Panasonic Security Solutions
- Bosh Security Systems Inc.
<span times="" new="" roman";mso-bidi-font-family:calibri;mso-bidi-theme-font:minor-latin;="" mso-bidi-font-style:italic"="" style="box-sizing: border-box;">Recent Developments:
- <span times="" new="" roman";mso-bidi-font-family:calibri;mso-bidi-theme-font:minor-latin;="" mso-bidi-font-weight:bold;mso-bidi-font-style:italic"="" style="box-sizing: border-box;">In April 2022, CyberLink Corp., a pioneer of AI and facial recognition technologies, announced a significant update to its facial recognition security software portfolio. FaceMe® Security. FaceMe Security now integrates with AXIS Communications’ AXIS Camera StationVMS (video management software), creating a robust, unified platform that brings facial recognition to AXIS’s security and access control applications. Thus, a unique solution provided by company will help it gain a significant market share.
- In November 2021, AxxonSoft announced the release of version 4.5.8 of the Axxon Next intelligent VMS. It features a newer version of CUDA SDK and introduces new web and desktop client capabilities, along with other enhancements. These upgrades in the system shall help the product to expand its range of application and compatibility and increase the revenue of the company.
- In December 2021, Videonetics, the world’s first AI & DL powered Unified Video Computing Platform (UVCP™) announced the integration of its Intelligent VMS 3.0 with VIVOTEK, NDAA (National Defense Authorization Act) compliant series of edge analytics IP cameras. The solutions will simplify the response coordination between stakeholders and speeds up incident resolution. Thus, compliance with government regulation will help the product capture the market at a faster rate.
- <span times="" new="" roman";mso-bidi-font-family:calibri;mso-bidi-theme-font:minor-latin;="" mso-bidi-font-weight:bold;mso-bidi-font-style:italic"="" style="box-sizing: border-box;">In July 2021, March Networks, a global video surveillance and video-based business intelligence leader, announced a new highly scalable Linux version of its video management software (VMS) that can support up to 3,000 cameras on a single server. It also offers unparalleled flexibility and scalability for customers. Thus, a large scale data handling of this new software will lead to increased demand and higher profits in the market for the company.
