Panasonic Buys VMS Manufacturer VideoInsight

Author: John Honovich, Published on Feb 03, 2015

Another VMS is acquired.

Another mega company buys a VMS.

Following the 2013 Tyco acquisition of Exacq and the 2014 Canon acquisition of Milestone, now Panasonic has acquired VideoInsight.

In this note, we provide feedback from VideoInsight's founder and Panasonic management, analyze the deal's potential for Panasonic and what this further signals for the future of the surveillance market.

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Comments (24)

So what happens to Bridge VMS and Advidia?

According to VideoInsight, it is all one and the same. VideoInsight says they are 'brands' and not separate companies.

I find this somewhat confusing since their websites try to obscure the VideoInsight relationship.

But the net/net is that the VideoInsight, Advidia and BridgeVMS all are now part of Panasonic.

Will it affect the OEM relationship as Advidia line is from H***?

I am sure Panasonic will try to find some of its own cameras to fit in with Advidia.

Congrats to Video Insight and to Panasonic. This one actually sounds like a good complimentary move as both have good products but lack a good complete solution. Perhaps this will gain them the traction they need to get real sales momentum.

It sounds like a good move to me on Panasonic's part, also. Their VMS and recording solution (Panasonic) was horrendous when I saw it a couple years again and it felt like there was a trust issue with VideoInsight- maybe integrators will feel better about that now.

it felt like there was a trust issue with VideoInsight

There definitely has been. Every time you turned around, there was another promotion of FREE this or FREE! that, and it just felt like a naked grab at market share that would end with VI being purchased by some other company just to grab the embedded base and then change the way it works or the way it's priced.

I always thought it might be a solid product, but I couldn't intentionally steer a client into unpredictable waters like that. It will be interesting to see what the Panasonic team has in mind for VideoInsight and their "deep integration" to 2,861 camera models.

I agree that this is a good move for Panasonic.

I never saw VideoInsight in action but what Panasonic had to offer until now was very poor.

While I do not sell Panasonic, they are a considered here as a mid range cameras. Meaning they have a Made In Japan marking on them they are very cheap and give mid range quality of cameras.

My guess they see Hardware competition becoming hard and are looking for an added value for the cameras.

Again I think its a good move for them.

This is a good fit. Panasonic (at least in my area) has been strong in education, and I would credit it largely to their BICSI involvement. They were one of the first camera manufacturers I remember being involved in BICSI events, getting training certified for CECs, and the RCDDs doing school projects latched onto them hard. To the point where we had trouble getting things other than Panasonic accepted as equal because of one wasted feature or another. To my knowledge, it's still going on.

If they can continue that, and push Video Insight in the same way (which already has some brand recognition in education, especially in the South), it could be more successful than their NVR line was.

'it could be more successful than their NVR line was.'

Not exactly a high bar... But good insights

Well, considering most of those Panasonic-spec'd projects had multiple ND400s on them, typically...

They could probably be replaced by a single VI server, because I recall the ND400 being fairly limited in throughput.

Panasonic uses rep firms and VideoInsight has a direct sales team. Will this be another loss or gain for rep firms?

"VideoInsight says that they no longer do this, that they have not done it for years, acknowledging that they did do it a 'few times in the past' but have discontinued this practice."

Well they did this to me in mid-late 2013 with an education customer. Hopefully they are telling the truth about stopping that practice. I find it hard to believe they only did it a few times in the past as everyone I asked about them, told me they do it.

Both accounts could be accurate- VI is probably only counting the times that they successfully completed a transaction to an end user, while the people you're asking are counting all of the times that they saw VI pitching to an end user, regardless of whether they were successful.

This might also limit even more the presence of other vendors in the Olympics 2016.

Ricardo, how does Panasonic buying a US company specializing in education impact the Olympics in Brazil?

Well, i think surely they will merge the vms and features into theirs. Strengthening their VMS solution.

Being a big sponsor of the olympics, i imagine vendors trying to sell their camera for the event will be very hard, even if it's free.

One point of entry would be software, vms, integration.

Panasonic is the official Olympics AV supplier, which includes Video Security. Now they can ensure their VMS is included in the package...

Panasonic Delivers AV Equipment to Sochi 2014 Olympic Winter Games

"One of the most common concerns about VideoInsight is that they sell direct to education end users. VideoInsight says that they no longer do this, that they have not done it for years, acknowledging that they did do it a 'few times in the past' but have discontinued this practice"

They continue this practice and have been selling an end user of mine

Thanks for the feedback. If anyone has any evidence or documents, I'd be happy to post / share.

We've definitely heard of this from numerous industry people but have not seen any hard proof. That's not to say I believe one side or the other but we need to have some details to support the claim.

Again, anyone has it, please post or forward to me at john@ipvm.com

As the Vice President of Sales for Video Insight, one of my focus areas is to transition any direct legacy account(s) into a scalable Integrator channel. As part of this process, Video Insight will no longer sell directly into new opportunities.

However, there are existing legacy accounts to which we are contractually obligated to sell direct. Over the past months Video Insight has been transitioning direct legacy accounts into a scalable integrator channel. During this same time, Video Insight has not acquired any new direct accounts. Our new directive is clear. Video Insight will not sell directly into new opportunities. We believe in respecting the channel and developing a mutual trust, which will grow into a long-term, profitable relationship with our Systems Integrators. Selling direct is not conducive to long-term, scalable, profitable growth and will not be done.

Andrew D. Chapman

Vice President of Sales

Video Insight

Well since no one else will do it I will. I do appreciate your frankness. You do not come into this arena and insult our intelligence with denial. For that I give you credit. As for the rest of it, time will tell. You won't mind if we keep a skeptical eye. Many of us have heard these words before.

Andrew, I have never see a contract with an oblgation to sell direct. I call BS. You can always tell SAISD, PISD and NEISD to buy direct from your 200+ Texas vendors. VI decided to sell direct to increase profit. I can understand your busniess model but just like mark said, dont insult our intelligence. Cheers!

As an end user in the education market, I was cold-called by VideoInsight representatives last summer. They explained all of thier product features to me and "sold" me the reasons to use them. I ended up buying some licenses and a few Advidia cameras, but when it came to the actual transaction, they steered me toward using a channel partner of my choice and did not even try to sell direct....for what it's worth.

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