CHICAGO, Oct. 28, 2020 /PRNewswire/ -- According to the new market research report "VSaaS Market with COVID-19 Impact by Type (Hosted, Managed, and Hybrid), Vertical (Commercial, Infrastructure, Residential, Public Facilities, Military & Defense, and Industrial) and Region-Global Forecast to 2025", published by MarketsandMarkets™, the market is expected to be valued at USD 2.2 billion in 2020 and is projected to reach USD 4.7 billion by 2025; it is expected to grow at a CAGR of 16.0% from 2020 to 2025. Low cost of investment, rise in demand for real-time surveillance data, and flexible scalability offered by VSaaS are the major factors driving the growth of the VSaaS market. The integration of VSaaS with access control and alarm systems increased the penetration of smart devices. The rise in demand for VSaaS across retail and commercial verticals owing to COVID-19 is projected to create lucrative opportunities for the players operating in the VSaaS market during the forecast period.
The VSaaS market includes players like ADT (US), Johnson Controls (Ireland), Axis Communications AB (Sweden), Avigilon, a Motorola Solutions Company (Canada), and Stanley Black & Decker, Inc. (US). These players have a strong market presence for video surveillance solutions across various countries in Asia Pacific, Europe, North America, and RoW.
Low cost of investment
In VSaaS, video data is managed by service providers at a significantly low cost. The data is stored on the cloud. Thus, physical data storage devices and personnel are not required, which reduces a substantial amount of IT staffing cost, including salaries, benefits, and other associated costs. Increased adoption of consumer surveillance cameras, which are mainly wireless and can be installed by end users easily, is being observed. Many players have emerged in this space in recent years, such as Google Nest, Ring, and Arlo. Some of the players offer camera and cloud surveillance as a combined solution, with different subscription plans for different needs of different businesses. By removing the expense of purchasing servers, hard drives, and, end users can save hundreds of dollars on equipment and invest that money into additional cameras or other aspects of their business. Therefore, VSaaS reduces upfront capital costs.
Hosted VSaaS is expected to lead the market during the forecast period
VSaaS market for Hosted solutions is expected to acquire largest market share from 2020 to 2025. The growing concern among users toward enhancing security, surging number of government initiatives for increasing public security, and continuous developments in infrastructure, including transportation hubs, are driving the VSaaS market. Additionally, the increasing penetration of smartphones in countries such as South Korea, China, Germany, the UK, France, and the US; technological advancements in telecom networks such as availability of LTE & emerging trends of 5G; and availability of high-speed Internet are helping the market for hosted VSaaS to grow further, as high internet speed is one of the basic requirements of service providers and customers. It also eases the video monitoring from multiple locations. Moreover, decreasing cloud storage costs have lowered the subscription cost, which has resulted in increasing the users across verticals for hosted video services.
Commercial application to hold the largest market size of VSaaS market during the forecast period
The commercial vertical of the VSaaS market is expected to hold the largest share during 2020 and 2025. The demand for VSaaS in the commercial vertical is increasing to enhance security, reduce robbery, and minimize inventory loss. The adoption of VSaaS in financial institutions and banks to monitor customers and staff activities has been increasing since the last few years due to the advantages offered by VSaaS, such as less initial investments, flexibility in adding devices, and remote access to surveillance data. The increasing adoption of VSaaS in the hospitality industry to detect potential threats also drives the VSaaS market in the commercial vertical. The increasing number of retail stores and small business offices creates opportunities for VSaaS providers. Amidst the COVID-19 pandemic, retail stores, malls, and hospitality centers are providing opportunities for VSaaS in applications such as people counting, crowd and occupancy management, temperature monitoring, facial and mask recognition, and supply chain management.
VSaaS market in APAC to grow at the highest CAGR during the forecast period
The increasing urbanization in APAC leads to the development of new cities, manufacturing industries, and retail industries, among other application areas, which increases the growth of the VSaaS market. Increasing terrorist activities compel the governments to improve security measures, including video surveillance systems in government buildings. The retail industry is another application area in which VSaaS systems are used due to their capability of real-time remote access. China and India are highly populated countries in the world. Providing a secure environment to the citizens and traffic monitoring are among the key challenges in these countries, where VSaaS is helpful in the live monitoring of residential and commercial premises and traffic across the roads.
ADT (US), Johnson Controls (Ireland), Axis Communications AB (Sweden), Avigilon, a Motorola Solutions Company (Canada), Stanley Black & Decker, Inc. (US), Alarm.com (US), Arcules (US), Comcast (US), Duranc (US), Eagle Eye Networks (US), Genetec Inc. (Canada), Honeywell Commercial Security (US), Pacific Controls (UAE), Arlo Technologies, Inc. (US), Camcloud (Canada), MOBOTIX AG (Germany), Morphean SA (Switzerland), Solink (Canada), Verkada Inc. (US), Vivint (US), Camio (US), iVideon (US), IronYun (US), vCloud.ai (UK), and Qumulex (US) are some of the key players in the VSaaS market.
Video Surveillance Market by System, Offering (Hardware (Camera, Storage Device, Monitor), Software (Video Analytics, Video Management System) & Service (VSaaS)), Vertical (Commercial, Infrastructure, Residential), and Geography - Global Forecast to 2025
Access Control Market with COVID-19 Impact by Offering (Card-based Readers, Biometric Readers, Electronic Locks, Controllers, Software, Services), ACaaS (Hosted, Managed, Hybrid), Vertical, and Region - Global Forecast to 2025
MarketsandMarkets™ provides quantified B2B research on 30,000 high growth niche opportunities/threats which will impact 70% to 80% of worldwide companies' revenues. Currently servicing 7500 customers worldwide including 80% of global Fortune 1000 companies as clients. Almost 75,000 top officers across eight industries worldwide approach MarketsandMarkets™ for their painpoints around revenues decisions.
Our 850 fulltime analyst and SMEs at MarketsandMarkets™ are tracking global high growth markets following the "Growth Engagement Model – GEM". The GEM aims at proactive collaboration with the clients to identify new opportunities, identify most important customers, write "Attack, avoid and defend" strategies, identify sources of incremental revenues for both the company and its competitors. MarketsandMarkets™ now coming up with 1,500 MicroQuadrants (Positioning top players across leaders, emerging companies, innovators, strategic players) annually in high growth emerging segments. MarketsandMarkets™ is determined to benefit more than 10,000 companies this year for their revenue planning and help them take their innovations/disruptions early to the market by providing them research ahead of the curve.
MarketsandMarkets's flagship competitive intelligence and market research platform, "Knowledge Store" connects over 200,000 markets and entire value chains for deeper understanding of the unmet insights along with market sizing and forecasts of niche markets.