Vidsys Seeks Funding

According to V/B Research [link no longer available], PSIM provider Vidsys is looking for more funding. Vidsys wants to complete a Series C rounds and is interested in $5M USD from an outside investor to close the round. This would be in addition to $13 M USD previously raised. In the report, Vidsys claims they will be profitable in 2010.

Ironically, Vidsys recently ran a webinar defending the existence of successful PSIM deployments while acknowledging that most were for very large organizations (watch the webinar video). With very few potential customers, even if each deal is a million dollars, it's just not a large market, especially if the company needs $20M or more in investment to get there.

The other interesting trend that PSIM market watchers should consider is that the big access control companies are motivated to go after the PSIM market. Not only do I hear this consistently from the major access control manufacturers, it is perfectly logical because it is a natural upsell for their existing customers. Of course, access control manufacturers will not be as good at PSIM as PSIM only providers but for most they will be good enough, cheaper and easier to deploy.

[Update: Vidsys raised an undisclosed amount of funding in 2011.]