How Competitive is Megapixel Against Analog Cameras?

Author: John Honovich, Published on Nov 19, 2010

If analog is to be replaced, IP must provide superior value across the market. Historically, that has not been the case. While most believe that higher resolution is the key driver from analog to IP, megapixel's price premium has been quite substantial.

In this note, we look at the current competitiveness of megapixel vs HD and how that has changed since 2008. In less 3 years, the competitive positioning has changed dramatically. The value of megapixel is surging due to declining product and system costs plus improved offerings.

***'* ***** **** **** ***** *********, ****** ***** ************, *** hard ** *******. ** *** **** **** ******* ** ****** * ******** ** ** *******, ** ***** *** **** ** ** ******* **** ***** as ********* ** ****** *** *** ********* ******* *** * significant ******* (**** ***** ** **** ****). **** *****, ******* costs ***** ****** *** $***-$*** **** *** ******. ******* **********, megapixel ******* ** **** **** ***** **** **** ********* **** a ***** ***** ** $*** - $*** ** ****** (****** pricing). *******, **** **** * ***** ** ** *************, ********* camera ****** *** ***** ***********.

** ****, *** ********* ******* **** ****** *** ***** $*** - $**** *** ******. ****'* * **** ****** ** ***** that ** **** ** ******* ****** *** (*) ****** ****** to ******* ******** ******* ** * ****** ******** ** (*) were ********* ********* ** **** ***** ******* *****. **** ** these **** ***** ************. **** *** ********* ** * ********** small ****** ****** **** ** ***** $*** ******* ***.

***, ** ****, *** ****** ** ****** ***% ****** **** it *** ** **** - ******** **** ** *** **** two *****.

*********'* ******** *************** ** **** **** * ***** ** ******* short ** **********:

  • *.*** ** *** **** *** (**** ***** **** ******* ******** rare)
  • $*** - $*** ****** ******* *** ********* ******* ** ******** quite ******. ***** *** ***** ********* ******* ****** *** ***** $***** *** ****** ******.
  • *** ****** ** ********* *** ** ***** ********** **** ********* every ****** ************ ****** *** ***** *** ******** *********
  • ******* ****** ******* ** **** ** ****; ****** ********, ***** a ******* ** *********

******* ** ***** *******, *** ******* ** ********* **** ****** is *** ***** $*** - $*** *** ******. ****'* * straightforward *******:

****'* ******** ********** *.*** *** ****** (******-*****) *** ** ****** ***** ** *****$***(********* ****). *** ********** **** ******/******* **** ****'* ****** ****** is *************** *** ** ****** ***** ******* $***(*** * **** *** $**) - ***** ***** ***** $***. With ******, ******** **** ** **** **********. ***** *** **** cost ********* ******, * ***, *** **** **** ** ***** $125 *** ****** (*** ******* ** * *** **** ** analog ******* **** **** ** *** *********). *.*** **** $*** vs ** ****** ** $***, * ******* *** ********* ** $135. *** ** *** ********** **** ** ******* (***** $** given *.*** *** ***** **** ***** ***** *****) *** *** total ******* ** ***** $***.

**********, ** *** ****** ** *** * *** **** **** or ******** ** ********* ********* ** $** *** ******* **** a **** **, *** ******* ** ********* **** ****** ***** drop ******* (***** $*** *** ******).

*** ********* **** **** ********* **** **** ** *** ***** sub $*** ********* *******. *** *************** ** ************ ** **** of *** **** **** ******** ******* *** **** ******* - such ** ********** *.*** ******* *******, *********** *.*** ***** *******,** ***** **** ***********, *** *** *******, ***.

**'** **** **** * $***+ ** **** ****** ******* ** 2008 ** * *** $*** ******* ** ** **** ****** in ****.

*****, **** ****** **** ** **** ** ********** *** ********* adoption *** ******. ** ** *** ********* ****** ********* ** more ******** *** ***** -- *** ******** *** ****** **** more ***********.

******, ** *** ******** *** ***** ***** ********** ** **** analog **** ****** ****. **** *** ***** **** ** * project ****** ******* (** ** *** ** ****), *** ****** is ****** *******. **** *** ***** **** **** ** **** 20%, ****'* **** ****** ********** **** *** ****** ******** *** dramatic ** *** ************ ******** ** ************. ** * ** camera ***, ** *** ********* * ** * *******, ********* pays *** ******. **** ** *** ********* ** *******, *** significantly ****** ******** ******* *** ****** ** **** ***** * number ** ***** **** ****** ******* ***** **** ****** (******* images ** ******* *****, ******* ******, ***.).

***********, ****** **** ** ****** ** *********** ********** *** **** years, ********* ****** ** *** **** ********** ** **** ******* (repairs, ***** **********, ***.). *******, *** *** ***********, *** *************** of ****** **** ** ********** *** ** *** ***** ** low ****, ****** ********* ********* *******.

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