Are You Too Stupid to Buy IP Cameras?

Author: John Honovich, Published on Jan 12, 2009

Why are 4 out of 5 of you still not choosing IP cameras? The IP video vendors keep trying to educate you. Is it that you are clearly that stupid to not get it? Or do you just shut it out?

A Serious Issue

I believe a fundamental cultural and strategic issue is at the heart of this discussion. I think the IP Video industry has fundamentally misinterpreted the real issues involved - it's the lack of business value of IP video, not the transaction cost of getting educated.

The Importance of Education

Anywhere you go in the industry you hear talk about the importance of education. The lack of education is holding IP back. We need to get more people trained. Once they are trained, they will move to IP. Nothing is holding back IP except for awareness.

What They Mean is - You are an Idiot

I talk to executives all the time and there is a clear negative undercurrent to this seemingly positive message.  New entrants, especially IT people, tend to think that  security people are idiots - stupid, lazy people that neither have intelligence nor drive to understand new and better technologies.  I am not saying everyone does and I am not here to call people out. However, I am sure this a very widespread belief that impacts the strategy and marketing of IP video.

A Dangerous Cop-Out

I see two major dangers here:

  • IP video vendors build flawed strategies based on an assumption that makes them feel better but misses the real customer problem.
  • Traditional end users feel mistreated and marginalized, creating more cultural and political problems in migrating to IP video.

The Business Barriers for IP Video

When business make decisions, there are two fundamental economic components: (1) transaction costs and (2) direct costs.  If you are a PC user and you buy a Mac, the cost of the Mac is a direct cost while the cost to learn how to use a Mac is the transaction cost.

Education is a transaction cost. People need to learn about the value and operations of IP Video before buying and deploying it.

Some decisions will not be made when the direct costs are justifiable but the transaction costs are too high. This is when reducing transaction costs (like education) make sense.

The problem is the direct costs of IP are still too high to justify for the majority of users. It does not matter how much you educate them, most rationale buyers cannot make the business case for IP video - period.  

As such, education may be nice but it is not the key to success. We have debated this point extensively both in the IP camera problem discussion and the IP video advantages and disadvantages review. Read those threads for background information.

The Future

The easy victory and dominance of IT is not happening. Even before the global recession, it was clear that convergence was moving at a slower than projected rate. Now, it will take even longer.

*** *** * *** ** * ** *** ***** *** choosing ** *******? *** ** ***** ******* **** ****** ** educate ***. ** ** **** *** *** ******* **** ****** to *** *** **? ** ** *** **** **** ** out?

A ******* *****

* ******* * *********** ******** *** ********* ***** ** ** the ***** ** **** **********. * ***** *** ** ***** industry *** ************* ************** *** **** ****** ******** - **'* the **** ** ******** ***** ** ** *****, *** *** transaction **** ** ******* ********.

The ********** ** *********

******** *** ** ** *** ******** *** **** **** ***** the ********** ** *********. *** **** ** ********* ** ******* IP ****. ** **** ** *** **** ****** *******. **** they *** *******, **** **** **** ** **. ******* ** holding **** ** ****** *** *********.

What **** **** ** - *** *** ** *****

* **** ** ********** *** *** **** *** ***** ** a ***** ******** ************ ** **** ********* ******** *******.  *** entrants, ********** ** ******, **** ** ***** ****  ******** ****** are ****** - ******, **** ****** **** ******* **** ************ nor ***** ** ********** *** *** ****** ************.  * ** not ****** ******** **** *** * ** *** **** ** call ****** ***. *******, * ** **** **** * **** widespread ****** **** ******* *** ******** *** ********* ** ** video.

A ********* ***-***

* *** *** ***** ******* ****:

  • ** ***** ******* ***** ****** ********** ***** ** ** ********** that ***** **** **** ****** *** ****** *** **** ******** problem.
  • *********** *** ***** **** ********** *** ************, ******** **** ******** and ********* ******** ** ********* ** ** *****.

The ******** ******** *** ** *****

**** ******** **** *********, ***** *** *** *********** ******** **********: (1) *********** ***** *** (*) ****** *****.  ** *** *** a ** **** *** *** *** * ***, *** **** of *** *** ** * ****** **** ***** *** **** to ***** *** ** *** * *** ** *** *********** cost.

********* ** * *********** ****. ****** **** ** ***** ***** the ***** *** ********** ** ** ***** ****** ****** *** deploying **.

**** ********* **** *** ** **** **** *** ****** ***** are *********** *** *** *********** ***** *** *** ****. **** is **** ******** *********** ***** (**** *********) **** *****.

*** ******* ** *** ****** ***** ** ** *** ***** too **** ** ******* *** *** ******** ** *****. ** does *** ****** *** **** *** ******* ****, **** ********* buyers ****** **** *** ******** **** *** ** ***** - period.  

** ****, ********* *** ** **** *** ** ** *** the *** ** *******. ** **** ******* **** ***** *********** both ** ***** ****** ******* ************* ***** ***** ********** *** ************* ******. **** ***** ******* *** ********** ***********.

The ******

*** **** ******* *** ********* ** ** ** *** *********. Even ****** *** ****** *********, ** *** ***** **** *********** was ****** ** * ****** **** ********* ****. ***, ** will **** **** ******.

[***************]

***** * ** *** ********* ********** *********, * **** * key ******* **** **** ** ** ************:

Small ****** ***********

***** *********** ** * - ** ******* *** ******** ***** revenue ************, ** * ***** ** *** ******* ******, **** is **** **** ****. **% ** *********** *** **** ******** in ***** ** ****** ***** (***** **** ******, ***** ********* shop ** *****, ***** **********, **** ********* *********, ***.) *** revenue ********** ** ********* ******* **** **% *** **'* ****** near **%.

***** ******* *********** ****:

  • *****, **** ***** ** ***** ********** *******
  • *********** ** ********

** ***** ********* *** **** ** **** ** ***** ******. IP ***** ************ ******** *** ***** ********* *** ***/*** ********** are ******** *** ******* **** *** ********** *** *** **** market *******. ** ******* *** **** ***** ******** *** ********* but **** ** ********* *** *** *** ******* *****.

*** **** ************ ** **** ** ***** ****** *** ****** from **** (************ ******, *** ******* ****'* ********). ** *********** and ******* **** ** ****** **** **** ******, **** **** to **** ** ***** ******* *** ******.

Existing ***********

**** ************* **** **** ** ***** **** **** ****** ****. It ** ********* ************* ** *** **** ** ****** ***** them *** ** ** *** ** ** ** * ******** system. *** *********** *******, **** ************* **** * ****** **** interface ** ****** ***** ***** ************. ***** **** ********* ****** throw *** *** **** *** **** ** *** **** ** spend ******** ** ******** ** ****, **** **** ****** ********** ** **** **** ***** ******** DVRs.

** ******** ** ** ****** ********* ***, ********* *** ***** management ******* (****/****) *** ******** ** ***** *** ************ ** legacy *******. **** ** ******* ** *** ******* *** **** a ********** **** ** * ***** ** *** **** ** IP ***** ******* *** ***** ** ****. ***** ** *********, vendors *** *** ** ******* ****** **** ********. *****'* ************** ** ******* ****. ** *** **** **** ** **** will ** ** *********** ********.

Broader ******

* *** ** ** ***** ******* **** ****** ** ****** - ********* *******, ****** *********, ****** ******** ******** ******** (****, Mobotix *** ********** *** **** ******** ** ****). **** *** only ********** *** ******, ** ****** **** ** ****** ****** that *** ***** ** **** ****** ********** ** * *********.

** *******, *** ****** ***** ******* / **** ******. ** a ******, ******** ******** *** ************ ***** **** ** *** tolerate **** ****** ********. *******, ** *** ***** ***** **** it *** ******** **** ******.  **** ****** *** **** ** features *** ***** *** ***** ******** (**** ** ** *****) but **** *** **** *** * **** ******/********** ******* ********.

 

Login to read this IPVM report.
Why do I need to log in?
IPVM conducts unique testing and research funded by member's payments enabling us to offer the most independent, accurate and in-depth information.

Related Reports on Standards

Deceptive ASIS Attendance on Oct 06, 2017
ASIS is being deceptive with its conference reporting, effectively inflating the event's real actual attendance. What they try, but struggle to...
IR Surveillance Guide on Jul 31, 2017
Infrared (IR) has become an increasing core component to video surveillance systems. In particular, the expansion of integrated IR cameras that...
Access Control AHJ Nightmares on Jun 01, 2017
For access control jobs, a single person can be the difference between finishing a job, costing thousands in extra dollars, and being profitable...
Technician Personal Protective Equipment (PPE) Guide on May 12, 2017
Technicians encounter multiple hazards when running wires and installing security devices. Wearing personal protective equipment, or PPE, helps...
ONVIF Favorability Results on Jan 11, 2017
ONVIF has been one of the most debated aspects of the video surveillance industry. On the one hand, its aim to increase interoperability has been...
Introduction To Burglar Alarm Systems on Jan 04, 2017
While alarm systems are popular, balancing between the right level of protection, the appropriate components and an acceptable price can be very...
ONVIF Tutorial 2017 on Dec 19, 2016
ONVIF is well known within the surveillance industry as an interface to connect IP cameras and VMS systems but: Is ONVIF a 'Standard'? Why...
API / SDK Tutorial on Dec 18, 2016
While Application Programming Interfaces (APIs) are key to 'open' platforms, they are frequently misunderstood and over-hyped in physical security....
No One Should Ever Use Simplisafe on Dec 12, 2016
Simplisafe, the upstart DIY intrusion alarm system, is increasingly Public Enemy Number One in the alarm business. Recently, Security Sales ran an...
Free Online NFPA, IBC, and ADA Codes and Standards on Nov 29, 2016
Finding applicable codes for security work can be a costly task, with printed books and pdf downloads costing hundreds or thousands. However, a...

Most Recent Industry Reports

Dahua Removes Auto Rebooting on Oct 17, 2017
For years, Dahua has automatically programmed its IP cameras to reboot weekly, a highly atypical and questionable practice. Following IPVM...
Deep Learning Tutorial For Video Surveillance on Oct 17, 2017
Deep learning is a growing buzzword within physical security and video surveillance. But what is 'deep learning'? In this tutorial, we explain...
Multipoint Lock Access Control Tutorial on Oct 17, 2017
Doors are notoriously weak at stopping entry, and money can be misspent on wrong locks that leave doors quite vulnerable. While closed and locked...
Buy From B&H, Ship Direct From ADI on Oct 16, 2017
B&H, one of the largest online sellers of video surveillance equipment to end users, regularly purchases their video surveillance equipment...
Competing Against Siemens on Oct 16, 2017
Siemens entered the integration business with 15,000+ customers, through their acquisition of Security Technologies Group in 2001. Since that time,...
Geovision GV-EDR2100 Tested Vs Hikvision on Oct 16, 2017
A number of ADI's top selling IP cameras are, at least surprisingly to us, from Geovision. We recently bought and tested the Geovision EDR2100...
Top Problems Searching Surveillance Video (Statistics) on Oct 13, 2017
When crimes, accidents or incidents happen, the video surveillance system is a key component in finding out and proving what actually...
Exacq M Series Low Cost NVR Tested on Oct 12, 2017
With recent cyber security issues hitting NVRs and cameras from low cost leaders Dahua and Hikvision, users are increasingly seeking alternatives...
Long Time Industry Exec Leads New Security Franchise Offering on Oct 12, 2017
John Nemerofsky previously built and sold a $150 million dollar integration business, and then was VP of Niscayah from its spinout of Securitas,...
PoE Powered Access Control Tutorial on Oct 12, 2017
Powering access control with Power over Ethernet, like for IP cameras, has become increasingly common.  However, the demands for access power are...

The world's leading video surveillance information source, IPVM provides the best reporting, testing and training for 10,000+ members globally. Dedicated to independent and objective information, we uniquely refuse any and all advertisements, sponsorship and consulting from manufacturers.

About | FAQ | Contact