Video Surveillance as Video Surveillance as a Service (VSaaS)

The idea of ​ ​ VSaaS is transparent, like everything in the "cloud" world. Instead of deploying a full-scale infrastructure for collecting, storing and processing video data, the customer, installing video cameras in the required places, can assign most of the remaining functions to the provider. Depending on the delimitation of the "areas of responsibility" between the customer and the service provider, VSaaS is divided into video hosting (video from cameras is immediately transmitted to the provider's data center, where it is stored and processed) and a video surveillance management service (video is stored by the customer, and the provider performs only remote control). Naturally, combined options are also possible, for example, saving a copy of the transmitted video from the customer for backup purposes.

2024: Cloud video surveillance for the price of a cup of coffee. How the market got to such low prices

The cloud video surveillance market in Russia is on the rise largely because users are offered advanced functionality at low prices, which are significantly lower compared to the cost of traditional video surveillance. TAdviser interviewed market participants to understand how providers have achieved cheapness and who is suitable for the VSaaS service.

As the general director of the IT company "TTK-Cloud" Andrei Malov explained to TAdviser, the cost of the cloud video surveillance service consists of renting cameras, connecting them to the Internet and storing video recording in the cloud. A significant impact on the reduction in the price of a comprehensive service was made by the emergence of inexpensive video cameras with support for the modern H.265 codec. Compared to the previous H.264 codec, it allows you to compress video much better, saving twice on volume with the same quality.

According to Malov, another driver of the cost reduction was the fall in prices for hard drives in terms of gigabytes. The volume of hard drives is growing, but their price remains about the same - thus the cost of a gigabyte falls. Due to this, you can store records in the cloud more and cheaper, he said.

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Freepik

In addition to the fact that cloud technologies allow you to store large amounts of data cheaper, their price advantage is that you can easily add new cameras and services, paying only for what they really use, says Softlogic product director Vladimir Dyachkov. In addition, according to him, cloud surveillance provides a transition to visual BI systems: they allow you to store recorded events, and not entire video streams, which significantly reduces costs.

The general director of the IT company CescaEvgeny Domozhirov says that the cost of cloud video surveillance can vary greatly from the quality and number of cameras, as well as from their functions, but on average you can calculate from 300 rubles per month per camera in package offers to 2000 rubles per month at the subscription fee for a camera with increased quality. This cost does not include additional functionality such as analytics and integration.

Cloud video analytics that solve specific problems costs from 5 to 18 thousand rubles a month, says Sergey Mironov, Development Director of Synes. This includes control of public safety, analysis of traffic flows, prevention of theft in retail, etc. The performance and quality of such systems is much higher, Mironov noted.

In MegaFon, as the company's press service told TAdviser, the cloud surveillance service is offered at a price of 500 rubles per month. The client receives ready-made equipment, he does not need to install and scale the video surveillance system, he does not need to maintain a staff for maintenance and administration of the system and equipment, MegaFon noted.

MTS AI (the company offers a cloud video surveillance service) uses the graphics processors necessary to organize video analytics, processes the media stream, and the videos themselves go to the Yandex Cloud object storage. Due to the fact that the recording is carried out on the motion detector, the cost of data processing is optimized, and it is easier for users to work with video: you do not need to watch personnel on which nothing happens.

As a result of such an organization of the solution for MTS AI customers, storing video for one week costs like a cup of coffee. The organization of local video surveillance requires incomparably large costs for the purchase of DVRs, hard drives, cameras, cables, installation services and regular maintenance. For example, video surveillance at a car wash will require at least four cameras. The analog version will require at least 30,000 rubles of a lump sum payment for equipment, cloud video surveillance will cost 1200 rubles a month with data storage on virtual servers.

Initially, the cost of clouds was high due to the fact that companies invested a lot of money in the construction of data centers, capacity building, servers and related infrastructure. Over time, less investment is required, respectively, and the cost begins to fall, says Anton Fedorov, head of the ARinteg engineering solutions department. But with a certain decrease in cost, the number of customers begins to grow and, accordingly, the cost decreases, he added.

To argue that cloud solutions are inexpensive is not entirely correct, says Ivan Kotov, product manager for video solutions at Konica Minolta Business Solutions Russia. Such products can be more profitable only if the system does not require anything other than a "live" picture, and the user already has installed cameras. If you need not only to watch videos, but also to store records for a certain time, then the cost of cloud solutions begins to be compared with a system installed locally, he explained. Price is always a matter of components and volumes. In the case of video surveillance, components are the functionality of the system, and volumes are the size of the archive. Both, even in the cloud, cost money, added the interlocutor of TAdviser.

Sergey Mironov from Synes agrees that cloud video surveillance is an affordable product for a basic level of security, but more functional systems are needed to meet the needs of large enterprises and solve specialized problems. Such a product does not have sufficient value for business and retail, the expert is sure.

2021: The cloud video surveillance market grew by 24% to 2.36 billion rubles

The volume of the Russian video surveillance systems market in 2021 grew by 6% (to 85 billion rubles), which was largely facilitated by the cloud segment (ATS), where revenue rose by 24%. These rates approached what they were before the start of the COVID-19 coronavirus pandemic - in 2019, revenue from ATS increased by 30%. This is evidenced by the data of TelecomDaily analysts, published in March 2022.

The total number of cloud surveillance cameras installed by customer companies increased from 320 thousand in 2020 to 405 thousand a year later. The Russian ATS market grew from 1.89 billion rubles in 2020 to 2.36 billion rubles in 2021. Unit sales of video cameras increased by 27%.

The attractiveness of the service model according to which the ATS service is provided, and the penetration dynamics allow us to expect that in 2022 the total number of cameras can reach 450 thousand, the study says.

It also notes that the main generator of income in the ATS market is still legal entities - primarily small and medium-sized businesses. In this segment, there is a service model that does not require expenses for the purchase, installation and configuration of equipment, and customers can quickly change the configuration of the ATS system.

According to TelecomDaily, Rostelecom has strengthened its leadership in the cloud video surveillance (ATS) segment in terms of the number of installed cameras: its share has grown from 23% in 2020 to 28% in 2021. Following Rostelecom is ER-Telecom with a result of 15%. The leading group also included MegaFon (4%), MTS (3%), VimpelCom (2%). Regional operators also hold their small share: Intersvyaz - 3%, UfaNet - 2%. At the same time, other companies account for 40%.

The Russian ATS market grew from 1.89 billion rubles in 2020 to 2.36 billion rubles in 2021. Unit sales of video cameras increased by 27%.

2020: The cloud market for video surveillance grew by 15% to 3.2 billion rubles.

TelecomDaily March 30, 2021 reported that Russian the market volume (video surveillances VN) in 2020 amounted to more than 82 billion rubles. against 77.3 billion rubles. a year earlier - the market grew by 6%. The fastest growing segment is still (cloudy video surveillance ATS), however, due to pandemics its growth in 2020, it slowed down somewhat and amounted to 15% (at the end of 2019, the ATS market grew by 30%).

The results of 2019 have been adjusted: the market volume under RAS reached 77.3 billion rubles. At the end of 2021, TelecomDaily predicts revenue at 86 billion, at the end of 2022 - 91 billion rubles. This means that in the next two years, the market will continue to grow by 5-6% per year.

Cloud video surveillance is the most promising segment of HV. On the one hand, growth rates remain here, on the other hand, this is the most affordable model in terms of entry. To start the project, it is enough to have only video cameras, there are no costs for the purchase, installation and configuration of complex equipment.

The B2B sector, which generates up to 90% of the revenue of the ATS, in 2020 was seriously affected by the economic crisis caused by the pandemic, and the revenue of the B2G, where the number of projects grew, does not yet exceed 2% in the total share.

As a result, the volume of the OVN market in 2020 reached 3.2 billion rubles, and not 3.53 billion, as the agency previously predicted, that is, the growth was 15, not 27%. At the end of 2019, revenue was 2.77 billion.

According to the current forecast, in 2021 the ATS market will grow to 3.85 billion rubles, and in 2022 it will reach 4.8 billion, by the end of 2023 it will exceed 6 billion. Thus, the agency expects that in 2020 the growth rate in this segment will increase to 20%, in the next two years - to 25%. In this scenario, the market will almost completely return to "pre-covid" growth in three years.

In the corporate market, OVN services are provided by a huge number of companies - from telecom operators system integrators to V-SaaS, providers but telecom operators have the greatest influence.

If at the end of 2019 the volume of the OVN market in the B2B segment among telecom operators increased by more than 40% (from 1.2 to 1.7 billion rubles), then in 2020, in accordance with the forecast, it was supposed to increase by another 33%, to 2.3 billion, but in fact - this is + 17% and 2 billion rubles. Now TelecomDaily expects the carrier segment to grow to 2.2 billion in 2021, which is only 10%. This means that we are not talking about restoring growth rates yet.

However, the sector has seen a jump in the last two years. The total number of ATS cameras belonging to operators serving legal entities almost doubled in two years: in 2018 it amounted to 158.2 thousand units, in 2019 - about 280 thousand, in 2020 - 320 thousand. As expected, in 2021 the number of cameras will grow by another 30 thousand units, up to 350 thousand.

Rostelecom differs in the OVN market of the Russian Federation among operators in terms of the number of cameras, which is almost twice ahead of the second player in terms of this, ER-Telecom - 23% and 12%, respectively. TOP-10 operators already control more than half of their segment.

At the end of 2020, according to the data, Federal Customs Service of Russia RUSSIAN FEDERATION almost 3.9 million CCTV cameras of more than 150 brands were imported. In the first place in the supply the Chinese of the company and - Hikvision Dahua more than 35%. However, a significant market share, up to 20%, is occupied by brands of Russian vendors (but produced abroad, mainly in):, China Space Trassir Technology (ST),, Novicam, RVi Polyvision, Tantos, Rostelecom, etc.

Actual data data are collected by the method of desk examination. Data sources: HV and ATS market participants,,, FCS Russia Rosstat other closed and open sources.

The study also conducted an expert survey of key market players - to collect both quantitative and qualitative data. The managers of the following companies were interviewed: system integrators and distributors of HV and ATS systems, manufacturers of HV and ATS systems, telecom operators providing ATS services, experts.

TelecomDaily: The projected volume of the Russian cloud video surveillance market is 3.53 billion rubles

On December 25, 2020, it became known that the information and analytical agency TelecomDaily conducted a study of the cloud video surveillance (ATS) market in Russia and made a forecast for the next five years.

As explained, the projected to Russian market revenue (cloudy video surveillances ATS) in 2020 will amount to 3.53 billion, and by rub 2021 will grow by 22%, to 4.3 billion.

The total volume of the Russian video surveillance market at the end of 2019 reached 76 billion rubles: the fastest service developed in digital format (IP video surveillance), including the data storage sector in the cloud (VSaaS).

At the end of 2019, the volume of the cloud video surveillance (ATS) market exceeded 2.76 billion rubles. - compared to 2018, this segment grew by 30%. According to preliminary forecasts for 2020, the market will earn 3.53 billion, and by 2024 revenue in the cloud video surveillance sector will increase 2.3 times, to 6.36 billion rubles.

Analysts note that in the period from 2020 to 2023, the average annual growth rate of the ATS market will be 23%. Thus, by 2024 its volume will reach 6.36 billion rubles. (for comparison, in 2019 - 2.77 billion, according to the forecast for 2020 - already 3.5 billion).

Market Volume Forecast

Slightly less than 90% of revenue in this segment, according to forecasts, was generated by b2b companies in 2020, individuals - about 9%, the public sector (b2g) - 1.4%, b2b2c customers - 1.1%.

In the corporate market, services are provided by a large number of companies - from telecom operators and system integrators to VSaaS providers. At the same time, there is a leader in the market for individuals: Rostelecom occupies 86% of it. Invideon has 5%, MTS and MGTS have 2%, Novotelecom has 1.5%. The rest of the companies control 5.3% of the total.

Market Structure by Key Segment

Market Structure by Key Segment

In the end-user targeted B2B2C sector, the market is divided between several companies/projects. The clear leader is My Yard, which holds 46% under the franchise scheme. ER-Telecom has 17% of revenue, Rostelecom has 15%, Invideon has 8%, and the rest have less than 12%.

The OVN market in the world for 2020 remains one of the fastest growing segments of IT. In 2019, its volume was $1 billion 553 million, according to forecasts for 2020 - $1 billion 829 million, that is, growth will be 18% per year. By 2024, the market will reach $ 2 billion 750 million and grow almost 2 times in five years.

Global market

At the same time, in terms of the total number of cameras for video surveillance Russia , it is in third place (13 million 470 thousand units), passing forward (China 200 million) and (USA 50 million). In the top five are also (5 Germany million 200 thousand) and (5 Japan million).

Video surveillance in the world

2019: Russian cloud video surveillance market growth for business by 52%

The volume of the Russian cloud video surveillance market for business in 2019 reached 1.32 billion rubles, which is 52% more than a year earlier, when the indicator was measured at 869 million rubles. This is evidenced by the data of the information and analytical agency TelecomDaily.

The study notes that the main customers of cloud video surveillance services are commercial companies and representatives of the public sector. According to the results of 2018, 158.2 thousand cloud video surveillance cameras were installed in the business segment, in 2019 - 223.5 thousand units.

Rostelecom remains the market leader: in 2018 it accounted for 20.9% of cameras, a year later the figure rose to 27.4%. In second place is ER-Telecom: in 2018 it served 13.9% of cameras for legal clients, and in 2019 - 14.8%. These two operators significantly overtook all other players, together holding 42.2% of the camera market. MTS, VimpelCom and MegaFon collectively did not reach 5%.

According to experts, a feature of the market is also a large number of represented players - almost half of it fell not on operators, but on vendors and integrators.

One of the conclusions that the authors of the study made following the results of their work was as follows: cloud video surveillance demonstrates multiple growth rates, including due to the low base effect. Nevertheless, demand is growing, the format is extremely convenient for the customer (data is stored on the server, additional equipment is not required, the service provider can provide its full support).

At the same time, despite all the advantages of cloud video surveillance and the rapid growth of the segment, its volume is lost against the background of the entire video surveillance market, the volume of which in 2019 grew to 76 billion rubles.^[1]

Sides of the medal

The advantages of the VSaaS model are numerous. Users no longer need to purchase expensive digital (DVR) or network (NVR) video recorders and worry about their health, safety and protection against hacker attacks. You can forget about licenses for Video Management System (VMS) video management programs by accessing video streams from cameras and tools for analyzing it over the Internet.

The simplicity of the idea and the obvious advantages of the VSaaS model have led to the fact that today dozens of companies offer cloud video surveillance services abroad, including traditional VMS video camera and application providers, access control and video analytics firms, and numerous startups. According to estimates by IMS Research, last year the volume of the global VSaaS services market amounted to about $500 million, and over the next three years this amount will double. The main reason for such optimism is the variety of areas of application of VSaaS services. Their potential consumers include restaurants, small shops and other small businesses, apartment complexes, government, credit and healthcare facilities, telecommunications, pharmaceutical, manufacturing and construction companies, and any organizations with an extensive network of small branches.

Amid such optimism, the challenges facing the emerging VSaaS sector today should not be discounted. The video surveillance cloud services market is still far from maturity, which is expressed in the small number of product offers, the unavailability of a number of released systems for mass use, high prices, and heterogeneity in the supplier camp.

Providers seek to narrow the range of supported cameras, while some work only with IP cameras, others - exclusively with models of their own production, others - only with analog devices. Not all companies can activate the service on a plug-and-play basis; in some cases, long-term client-side customization is required. Many firms offer only basic video management functions, and additional payments are charged for covering the control loop of several systems. Only single suppliers have implemented the functions of video analytics (Archerfish, VIAAS) or integration with access control tools (Brivo). More and more providers offer support for local storage devices on the client side (cameras with SD cards or cameras connected to DVR or NAS systems), but this functionality has not yet become widespread. Finally, the tariffs of different companies can vary many times: someone offers a free service at all, and someone charges tens of dollars a month for one camera. The monthly fee for VSaaS services is $5-30 per camera.

Experts believe that with such prices, you can forget about the mass distribution of the VSaaS model. The price threshold for VSaaS is usually called $10 per camera per month: only in this case the cost of three years of system maintenance, say, from eight cameras becomes comparable to the cost of connecting them to an eight-channel DVR or NVR recorder.

Small and Medium Business Benefits of Cloud Surveillance

White Paper: The Advantages of Remote Cloud Surveillance (vSaaS) over Traditional

• The ability to remotely work with video. The era when the leader had to be inseparably in the workplace is in the past. Modern communication technologies provide TOP managers with complete freedom of movement without losing control: archival records and online videos can be viewed from a home PC, tablet or smartphone anywhere, anytime^[2].

• Cybersecurity. The record archive is stored on the operator server. There is no physical access to it. Therefore, the attackers will not be able to download their version of the recording or erase it, as the heroes of Hollywood crime films often do. The option to turn off the cameras will not work either - if one or more video surveillance sources are turned off, the owner receives an instant SMS and email notification.

• Additional analytics capabilities. Video data about the work of the enterprise is a valuable analytical material. With its help, you can count customer flows, analyze the work of divisions, build thermal maps of the distribution of visitors across the store area. Working with the material simplifies the ability to download fragments and screenshots to a PC.

• Scaling? With the expansion of retail space or the emergence of new customer service points, it is not at all difficult to connect them to the existing network. Only cameras and a day or two are needed.

• Reliability. An additional degree of protection provides data backup. And if traditional video surveillance systems back up by duplicating servers and storage systems, which requires serious costs, then in cloud services, multi-lease architecture provides significant savings on system scale.

• Controllability. You can control cameras from anywhere where the Internet is available. By changing the viewing angle and volume using optical zoom, you can detail the video on any device.

See also

• Video Surveillance Systems Product and Project Catalog
• Video surveillance (Russian market)
• Video Surveillance (Global Market)
• Trends in the development of video surveillance systems
• Video surveillance systems: Design features of cameras
• How to competently choose video surveillance cameras
• Video analytics (machine vision)
• 10 Ways to Boost Revenue with Hidden Video Surveillance
• IP video surveillance by retailers for security and theft prevention
• MCDS Access Control and Control Systems
• Biometric identification