What does the DVTel-ioimage deal say about the video analytics market?

By: John Honovich, Published on Jan 13, 2010

IP Video Market poll respondents are heavily divided about the meaning of the DVTel-ioimage deal to the video analytics market. Of 129 respondents, 43% believed it was a good sign, 40% thought it was not a good sign and the balance responded that they did not know.

In the comments to our report and from our private discussions with industry executives, the strongest theme was skepticism about the value of the deal and the reported $80 Million figure. We suspect that those who thought this was a good sign were influenced by the large reported acquisition price.

We think that the deal reaffirms the overall weakness of the video analytics market but is neither unexpected nor surprising given the general dissatisfaction of industry participants in the technology. We also believe that the actual monetary value of the deal is likely to be significantly lower than $80 million when the deal and subsequent transactions conclude in the years to come.

It will be interesting to see what, if any impact, this has on new investments in video analytic technologies/startups. We expect that investors will overlook this deal or focus on the high reported number and that significant funding will continue to be provided. On the other hand, we remain skeptical about the prospects of high returns on large investments made in this segment. The fundamentals blocking the market - specifically technology insufficient for customer's high demands - are not being resolved at a fast pace.

Comments : PRO Members only. Login. or Join.

Related Reports on Video Analytics

Bank Security Manager Interview on May 15, 2019
Bank security contends with many significant threats - from fraudsters to robbers and more. In this interview, IPVM spoke with bank security...
Hikvision DeepinView Camera Analytics Tested on May 08, 2019
Hikvision is expanding its 'deep learning' offerings with a new camera series called 'DeepinView' claiming false alarm reduction and improved...
Aegis AI Gun Detection Video Analytics Startup on May 07, 2019
Gun detection analytic startups are increasing as the promise of AI and the threats of active shooters grow.  One company, Aegis AI, is being led...
IBM Shuts Down Intelligent Video Analytics on May 02, 2019
Abruptly, IBM has discontinued its Intelligent Video Analytics solution, it confirmed to IPVM. IBM's video analytics have faced recent media...
LenelS2 Launches VRx Video Platform on Apr 29, 2019
For years, S2's video management platform, the NetVR, was based on Exacq. Now, after years of internal development, S2 has launched its own...
The HIVIDEO $31 Face Detection DVR Tested on Apr 25, 2019
Face detection in a $31 DVR? That is what "HIVIDEO" (not to be confused with Hikvision, even if the company intends to do that) was promoting at...
Verint Victimized By Ransomware on Apr 18, 2019
Verint, which is best known in the physical security industry for video surveillance but has built a sizeable cybersecurity business as well, was...
ISC West 2019 Report on Apr 12, 2019
The IPVM team has finished at the Sands looking at what companies are offering and how they are changing their positioning. See below for 50+...
Bosch AI Camera Trainer Released And Tested on Apr 09, 2019
Bosch is releasing a highly unusual new AI feature - 'Camera Trainer'. Now, coming as a standard feature in Bosch IVA/EVA analytics, one can train...
Airship VMS Profile on Apr 03, 2019
Airship has been developing VMS software for over 10 years, however, with no outside investment, and minimal marketing, the company is not well...

Most Recent Industry Reports

NJ Law Requires Apprenticeship For Public Works Integrators on May 24, 2019
Few integrators do a formal apprenticeship program. However, now a NJ law is requiring any integrator on public works projects (such as state...
Security / Privacy Journalist Sam Pfeifle Interview on May 24, 2019
Sam Pfeifle is best known as the outspoken former Editor of Security Systems News. After that, he was publications director at the International...
Verkada Video Quality Problems Tested on May 23, 2019
Verkada suffers from numerous video quality problems, not found in commercial IP cameras, new IPVM testing of Verkada vs Axis and Hikvision...
Average Frame Rate Video Surveillance 2019 on May 23, 2019
What is the average frame rated used in video surveillance systems? In IPVM's 2011 statistics, the average was 6-8fps increasing to ~10fps in...
Access Control Job Walk Guide on May 22, 2019
Significant money can be saved and problems avoided with an access control job walk if you know what to look for and what to ask. By inviting...
ASCMA / Monitronics Declares Chapter 11 Bankruptcy Plan on May 22, 2019
Monitronics is entering into Chapter 11 bankruptcy. The company, also called Ascent Capital Group Inc., aka ASCMA, aka Brinks Home Security,...
US Considers Sanctions Against Hikvision and Dahua on May 22, 2019
The US government is considering blacklisting "up to 5" PRC surveillance firms, including Hikvision and Dahua, Bloomberg reported, with human...
Dahua USA Celebrates 5 Years of Errors on May 21, 2019
Dahua USA is, in their own words, 'celebrating' 5 years in North America or as trade magazine SSN declared: Dahua Technology finds success in...
Axis ~$150 Outdoor Camera Tested on May 21, 2019
Axis has released the latest in their Companion camera line, the outdoor Companion Dome Mini LE, a 1080p integrated IR model aiming to compete with...
Covert Facial Recognition Using Axis and Amazon By NYTimes on May 20, 2019
What if you took a 33MP Axis camera covering one of the busiest parks in the US and ran Amazon Facial Recognition against it? That is what the...

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