Honeywell Acquires Videofied

By: Brian Karas, Published on Mar 01, 2016

Honeywell has acquired RSI Technologies, the company behind Videofied, for ~$123 million USD.

Rationale

*** *** *** ******* Honeywell ***** *** *** acquisition *** (*) ***** verification, ** **** **** Videofied *** **** **** the *** ********** *** video *********, *** (*) DIY **********, ** **** that ********* *** **** expanding ** ********, ** we ******* ********* ****** / *** Service.

Price / *********

*** / *********'* ******* was *** *********. $*** million ***** ***** *** a ****** ** * niche ********, ****** ******* a ***** ***** ** revenue ** ****** ** more ********.

(*******)********* ********* ******* **** product ***** **** (*** hundred ******* *** '******') and **** *** *** an RMR *** **** *** monitoring ******** ** ******. 

RSI / ********* **********

*** ******* *** ******* in ****, ** ******. Now ** *** *********** operations ** *** **.

*** ******* ******* * million ***** ************* *** ~110 *********.

Good *** *** *********

********* ** ****** ** intrusion ****** **** ** not **** * **** video ********* ********. ********* should ***** **** **** gap *** ********** ***** existing ******* *** ******* offerings.

Questions **** ********* ******** ******

** *** ********, ********* Security ** ******* ********* heavily ** ***** ***** / ******** ********, **** the ~$*** ******* ******* purchase ** ******* **** and *** **** $*** million *** *********.

** *** ***** ****, a****** *** ****** ****** that *********** ******* ** **** a *********** **** ** its ******** ******** - though *** ****** ** not ***** ** **** part ** *** ******** would ** ********. ***** the ******* ** **** report *** ***** ************, we ******* *** ******** products **** *** ** included. 

Videofied ******* ***

*** ******* ** *********'* product ** *****, ** provided ********** ******** **** a *****-******** *****, ******* a ***** **** ** what ********* *** *** that ** **** ** every ********* ****** ****.  

******* ******* ********** ********* have ***** ******** **** the ***** *** ***** to ***** ******, *** video ******* ** ****, and *** ************* *** often ** ******* ** several ******* ***** ******* the ******* ** ******** police ** **** ** catch ********* ** *** act.

***********

*********'* *********** ** *******. In *** ****, ***** based ******** **** ***** weak *** ******** ******* alarming (***** ********* *******). However, ** ***** ********* improve, '***********' ******* **** higher ******* ********* ** even ******** ****** ********* can ******* ********* ** similar ***** ******, *** equally ***********, ****** ***** quality.

** *** ***** ****, Videofied ***** *** * number ** **********:

  • **** ** ************
  • ** **** *** ******** power ** ***** ********
  • ***** *********** / ****** integration **** **** ******* stations (********* **** **** video ********* ***** ****) 

Limits ** ********* ********

********* ** ******* ***** technology **** * ****** attached ** **.  **** eliminates *** *********** ******** of ********** *********** **** equipment, **** ********** * simple ****** ******, *** finally ****** ** **** the *** ******** ** that * ****** **** includes * ***** ***** clip ** **** ****** the *****.  *** ******* is ******** ** ***** installers ** ** ******** system **** *** **** reduce ****** ******** ** false ******, ***** *** been * ******* ******* in **** ******.

******* *** ********* ******* are ********* ******** ** provide ****** ***** ***** for ************ ******** **** employ ******, *****, ****** technology.  *** ****** ********** unit ********** "***" ***** quality, ***** ** ****** standards ** *** **********.  Ease ** ************ ** due ** **** ** the *******-******* ******* ***** eliminate *** **** *** power ******, *** **** greatly ******* *** ******* to ****** **** *****.  Prior ** *** ********* offering ********* *** *** positioning *** ******* ** something *** *** **** would **** **** *********** with, ****** ****** *** disarming *** ******.

* ********* ****** ***** have ** ********* **** of ****** $**** *** a ****** * ******* system, ********* ** *** components ********.  **** ************ unit ***** ** **** to ***** * ********** small **** (*** ******* unit ********** * ***** of **' *** *** IR ****), ***** ***** coverage ** ***** ***** prohibitively ********* ** **** situations.  

****** *** ********* ** motion ********* **** *** PIR, *** ******** **** is ********** **** ** masking *** *** ****.  This **** ** **** on-site, ** *** ******* install **** *** *** the ***** ******* * truck **** ** ******** to ***** *** *****.

***** ** ** ********* of ***** **** *** Videofied ******, *** ** logical *** ** *** a ***/*** ** *** system ** **** ** CCTV-like ************.

*********** ******** *** **** often "***** *******" **** offer ********* ** ******** motion *********.  ** **** cases ****** **** **** offer **** ********* ** even ******** ***** ******** are ********* ** ******** as **** ** *** base ******.  ************* ** all **** *** ********, which ****** *** *********** to ** **** ********.  Coverage **** ** ***** systems *** ****** ** 5x *** ******** ** a ********* ******, ******** detection ** ******* ******** and ****** ********** ***** to ******* **** ******.

** ****** *** ***** systems **** **** **** over *** *****, *** standard ******** (**** ** motion ********* ** ***** analytics) **** **** ******** in **** ******* *** "CCTV" ****** *** ********** on *********'* ********.  

*** ********/******** ****** ** the ********* ******** ******** it **** ******* ** with ************ ** ***** resolutions, ****** ** **** to **** ******** ************ at *****.

** ******* **** *********'* sales **** **** ******* in ****** ***** *** the *&* ***** ** developing * *** ******** may **** **** ******** to *********.

 

****: ** **** ** update **** **** **** information ** ** ******** the ***** *** *** feedback.

Comments (9)

Im confused...

http://ipvm.com/reports/honeywell-try-sell-security

New tires sell old cars.

Here's a scenario where Videofied often beats an IP security camera system:

For small to medium sized remote location projects (fenced) with no utility infrastructure, Videofied is one of the most cost effective solutions available. I've quoted customers solar powered high res Mobotix camera systems with 4G/LTE comm for $20K+ and also quoted the Videofied battery powered solution for $3K. While prospects initially say they want live high res video, they often choose the $3K Videofied solution with a low image quality 10 second video clip of intrusion sent to a monitoring station via cellular comm. The monitoring station only needs to know that someone is there when they should not be, no further detail required, they can fire off siren/strobe to chase away the intruder while the police are on the way. And, since the Videofied system requires monitoring, there's RMR with the system sale.

Its all about ease of install. The quality of the video means little, its just verification that someone is on site when no one should be.

With the company I'm with, we don't deal with this stuff (all Fortune 500 clients) but i can definitely see the niche for small to commercial businesses.

I sold quite a bit of this stuff when I worked for Stanley, but like I said, different market. Its cheap, but it works.

As a relative news; United Technologies rejects Honeywell's $90.7 Billion offer

I am puzzled as to why Honeywell acquired to gain position instead of developing their own. Is there that much secret sauce in Videofied? Honeywell clearly has a tremendous amount of experience and resources in the intrusion detection space. It seems like making an investment in R&D to create their own competing product isn't a $123M stretch. And, Honeywell already has global reach with their brand so it does not seem like Videofied or RSI have that much brand value. Is there a patent issue?

"It seems like making an investment in R&D"

Honeywell Security does R&D????

In all seriousness, the time and effort to build their own is probably beyond what any conglomerate typically does.

I'm puzzled. Isn't Honeywell trying to sell off their security business?

http://ipvm.com/reports/honeywell-try-sell-security

Derek - Yes, it is somewhat puzzling since Honeywell hasn't confirmed anything publicly. As the report you linked to, and the WSJ article linked in that report, covers it appears that Honeywell wants to unload some portions of its business associated with security.

Honeywell has an "integrator" business portion that deals with security and also a "products" business that deals in security.

They may sell the portion that contains the integrator business and keep the products business, or sell both together, or sell both separately.

I think we'll continue to see more news regarding Honeywell M&A business this year.

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

Surging Wyze Raises $20 Million, Threat To Chinese Brands on Feb 01, 2019
The Seattle Startup that is disrupting consumer IP cameras with $20 pricing has just raised $20 million dollars (SEC Filing and company press...
Bezos-Funded Deep Sentinel Tested on Mar 28, 2019
Backed by Jeff Bezos, the Silicon Valley startup, Deep Sentinel, has declared: No One Does Home Security Like We Do Our Surveillance Team has...
Camera Disruptor Wyze Enters Sensor / Security Market on Mar 28, 2019
Wyze, the company that has disrupted consumer IP cameras, combining American marketing and Chinese manufacturer, has just announced its expansion...
Amazon Marketing Pro Installs of Amazon Security Systems on Apr 25, 2019
Is Amazon a threat to conventional providers like ADT, Vivint and Brinks Home Security? Many say no. Now, Amazon is advertising free in-home...
Risk of Amazon Alexa Guard: No Battery Or Cell Backup on Jun 20, 2019
Amazon positions its Alexa Guard Service as a "smart home security system" and says it can help you "keep your home safe". However, the...
Alarm.com Suffers Outage on Jul 26, 2019
Alarm.com suffered a major outage this week, impacting its 5+ million customers. Inside, we examine what happened, what Alarm.com told IPVM and...
TMA Apologizes to Amazon / Ring on Aug 23, 2019
Not only is Amazon / Ring making major incursions into the residential security market, the organization representing the biggest incumbents, The...
"Stress in the Residential Market" - Major Lender Exits on Nov 06, 2019
The residential security / 'alarm' market is getting worse, at least for traditional players. Now, one of the biggest lenders in the industry has...
"Good Market, Bad Business Models" - Residential Security on Dec 11, 2019
Industry banker John Mack, at his company's annual event, took aim squarely at the problems in the residential security...
ADT CEO Not Worried About DIY: "2 Discrete Markets" on Dec 13, 2019
ADT's CEO is not worried about DIY, characterizing DIY and ADT's DIFY as "2 discrete markets" at the Imperial Capital Security Investor's...

Most Recent Industry Reports

Video Surveillance 101 Course - Last Chance on Feb 20, 2020
This is the last chance to join IPVM's first Video Surveillance 101 course, designed to help those new to the industry to quickly understand the...
Cheap Camera Problems at Night on Feb 19, 2020
Cheap cameras generally have problems at night, despite the common perception that integrated IR makes cameras mostly the same, according to new...
Milestone Launches Multiple Cloud Solutions on Feb 18, 2020
Milestone is going to the cloud, becoming one of the last prominent VMSes to do so. Milestone is clearly late but how competitive do these new...
Video Surveillance Architecture 101 on Feb 18, 2020
Video surveillance can be designed and deployed in a number of ways. This 101 examines the most common options and architectures used in...
UK Stands Behind Hikvision But Controversy Continues on Feb 18, 2020
Hikvision is exhibiting at a UK government conference for law enforcement, provoking controversy from the press, politicians, and activists due to...
IronYun AI Analytics Tested on Feb 17, 2020
Taiwan startup IronYun has raised tens of millions for its "mission to be the leading Artificial Intelligence, big data video software as a service...
Access Control ADA and Disability Laws Tutorial on Feb 17, 2020
Safe access control is paramount, especially for those with disabilities. Most countries have codes to mandate safe building access for those...
ISC West 2020 Removes China Pavilion, No Plans To Cancel Or Postpone on Feb 17, 2020
ISC West plans to go on next month, amidst concerns over coronavirus. However, the Asia / China Pavilion has been removed, show organizers...
Hanwha Wisenet X Plus PTRZ Tested on Feb 14, 2020
Hanwha has released their PTRZ camera, the Wisenet X Plus XNV-6081Z, claiming the "modular design allows for easy installation". We bought and...
PRC Warns Against China Video Surveillance Hacks, Hikvision Targeted on Feb 14, 2020
Hackers are targeting China video surveillance manufacturers and systems, according to the PRC's main cyber threat monitoring body. The hackers...