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)

Armando Perez

IPVMU Certified | 03/01/16 04:25pm

Im confused...

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

Undisclosed #1

In reply to Armando Perez | 03/01/16 05:07pm

New tires sell old cars.

Jeff Sandine

RadiusVision | 03/01/16 05:36pm

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.

Scott Gerrels

IPVMU Certified | 03/01/16 06:47pm

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.

Tariq Saleh

03/02/16 07:06am

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

Chris Hammond

03/02/16 05:36pm

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?

John Honovich

IPVM | In reply to Chris Hammond | 03/02/16 05:39pm

"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.

Derek Arcuri

IPVMU Certified | 03/03/16 03:35pm

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

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

Brian Karas

IPVM | In reply to Derek Arcuri | 03/03/16 04:51pm

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

Verkada People And Face Analytics Tested on Aug 16, 2019

This week, Verkada released "People Analytics", including face analytics that they describe is a "game-changing feature" that "pushes the...

Proactive CCTV "Only Affordable Video Archiving Solution" Profile on Aug 12, 2019

Proactive CCTV is claiming to offer "the only affordable video archiving solution on the market", reducing the storage typically required for H.265...

Dahua Analytics+ Tested on Aug 07, 2019

Dahua's analytics have performed poorly in past shootouts. But now, they claim their new Analytics+ "algorithms significantly improve accuracy and...

Honeywell Speaks On NDAA Ban, New Non-Banned Cameras and Cybersecurity on Aug 06, 2019

For years, Honeywell has depended on Dahua, a company with a poor cybersecurity track record and now banned by the US NDAA, for the development and...

Razberi Technologies Company Profile on Aug 06, 2019

Razberi says they have doubled their revenue in the first half of 2019, citing their proprietary camera hardening and cybersecurity capabilities...

Avigilon Blue VSaaS Tested on Aug 05, 2019

Avigilon says Blue is a "powerful integrator cloud service platform", easy to set up and configure, quickly scale business, by leveraging cloud...

Hikvision 4K Camera Shootout on Aug 02, 2019

With their latest Smart Series 5 cameras, Hikvision is claiming cameras "fully loaded" with "state-of-the-art technology for high performance and...

Online Video Surveillance Sales Comparison - Amazon, B&H, CDW, LTS, Super Circuits, More on Jul 31, 2019

IPVM has uncovered the key trends and top options being offered across commonly used surveillance sellers. How has the market shifted since we...

Avigilon ACC7 VMS Tested on Jul 22, 2019

Avigilon's Control Center 7 boldly claims it will "transform live video monitoring" with the new Focus of Attention "AI-enabled" interface. We...

History of Video Surveillance on Jul 19, 2019

The video surveillance market has changed significantly since 2000, going from VCRs to ab emerging AI cloud era. The goal of this history is to...

Most Recent Industry Reports

Uniview Beats Intel In Trademark Lawsuit on Aug 19, 2019

Uniview has won a long-running trademark lawsuit brought by Intel, with Beijing's highest court reversing an earlier Intel win, centered on...

Suprema Biometric Mass Leak Examined on Aug 19, 2019

While Suprema is rarely discussed even within the physical security market, the South Korean biometrics manufacturer made global news this past...

Verkada People And Face Analytics Tested on Aug 16, 2019

This week, Verkada released "People Analytics", including face analytics that they describe is a "game-changing feature" that "pushes the...

Dahua OEM Directory 2019 on Aug 16, 2019

US Government banned Dahua OEMs for dozens of companies. The following directory includes 40+ of those companies with a graphic and links to...

Installation Course - Register Now on Aug 15, 2019

Register Now for the September 2019 Video Surveillance Install Course. This is a unique installation course in a market where little practical...

Axis Suffers Outage, Provides Postmortem on Aug 15, 2019

This week, Axis suffered an outage impacting their website and cloud services. Inside this note, we examined what happened, what was impacted...

Hikvision Scrutinized In The Netherlands on Aug 15, 2019

Hikvision is facing unprecedented scrutiny in the Netherlands, at the same time the US government ban has taken effect. This week, a Dutch...

Axis 4K Camera Shootout 2019 on Aug 14, 2019

Axis' 4K Q3518-LVE claims the "best video quality possible", with Lightfinder super low light performance, Axis' high end Forensic WDR, and...

CheckMySystems Company Profile on Aug 14, 2019

CheckMySystems says that too many users respond, "I get an email when something is wrong" when talking about their video system maintenance plan,...

Hikvision OEM Directory on Aug 13, 2019

The Chinese government-owned and US-government banned Hikvision has become the world's largest video surveillance manufacturer and generally hidden...