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 Video Surveillance Tutorial 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

False Advertising: Hikvision USA Deep Learning on Feb 23, 2018
Hikvision USA is conducting a false advertising marketing campaign for their deep learning system. Hikvision USA's claim violates US FTC Truth In...
Favorite Integrator Sales Quote Software (Statistics) on Feb 23, 2018
What application do integrators use the most to issue sales quotes? Nothing? Spreadsheet? MS Project? Online software? Of the many offerings out...
Aruba Networks Profile on Feb 22, 2018
Aruba Networks' presence in the video surveillance market has historically been limited. With a company focus on Wi-Fi first and switching...
US Army Base Specifies 70+ Outdated Hikvision Cameras on Feb 22, 2018
A US Army base has specified 70+ Hikvision IP cameras, a month after the WSJ reported a different Army base removed Hikvision IP cameras. While...
Directory of 30+ LPR / ANPR Providers on Feb 21, 2018
License Plate Recognition / Automatic Number Plate Recognition are a type of video analytics software that can identify and match license / number...
New Whole Foods Installs Hackable Access Control on Feb 21, 2018
Whole Foods has built a reputation for high quality. And their 2017 Amazon acquisition has increased that, plus added deep pockets for buying...
Remote Network Access for Video Surveillance Guide on Feb 21, 2018
Remotely accessing surveillance systems is key in 2018, with more and more users relying on mobile apps as their main way of operating the system....
Visio For Video Surveillance Design on Feb 20, 2018
Many integrators have standardized on AutoCAD for camera layouts but new users may be overwhelmed by its learning curve. Microsoft's Visio...
Health Care Insurance Integrator Benefits Statistics on Feb 20, 2018
How common and how much healthcare coverage is typically provided by security companies? 150+ integrators explained how their companies provide the...
Hikvision Deletes Genetec Support on Feb 20, 2018
There will be no peace between Hikvision and Genetec. A year after Genetec expelled Hikvision (and Huawei, citing Chinese government control...

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