Video Analytics Market Assessment, By Deployment [On-premises, Cloud], By Type [Services, Software], By Application [Incident Detection, PTZ Auto-Tracking, Intrusion Management, People Counting, Traffic Monitoring, Automatic Number Plate Recognition (ANPR

Video Analytics Market Assessment, By Deployment [On-premises, Cloud], By Type [Services, Software], By Application [Incident Detection, PTZ Auto-Tracking, Intrusion Management, People Counting, Traffic Monitoring, Automatic Number Plate Recognition (ANPR), Facial Recognition, Others], By End-user [Manufacturing, Security, Sports, Retail, Healthcare, Others], By Region, Opportunities and Forecast, 2016-2030F

Global video analytics market has experienced significant growth in recent years and is expected to maintain a strong pace of expansion in the coming years. With a projected worth of approximately USD 6.4 billion in 2022, the market is forecasted to reach a value of USD 20.6 billion by 2030, displaying a solid CAGR of 15.7% from 2023 to 2030.

Video analytics offers numerous benefits, including enhanced security through real-time threat detection, improved operational efficiency, and valuable insights for data analysis. The market for video analytics is growing due to increasing demand for surveillance in various sectors, a rise in adoption rate, advancements in AI and machine learning, the need for remote monitoring, and the rising importance of data-driven decision-making.

As per ECR Retail Loss Group , in 2023, the market is progressing steadily with a utilization rate of 7%. The data indicates a growing interest and potential widespread use of video analytics in various retail environments. Moreover, there is a notable focus on testing and advancing this technology, especially around store checkouts and aisles. Grocery retailers, in particular, are showing significant interest, largely due to concerns about self-scan technologies. It suggests that video technology, including video analytics, may become a prominent growth area in retail tech in the forecast year.

Intelligent Video Surveillance is Gaining Traction

Intelligent Video Surveillance has adequately shaped the video analytics market. It leverages advanced technologies like AI, machine learning, and computer vision to enhance security and provide valuable insights. Evolution allows for real-time threat detection, behavior analysis, and predictive maintenance. Moreover, driving the adoption of video analytics across various sectors, from retail to transportation, by offering more efficient and data-driven solutions, ultimately reshaping the landscape of surveillance and security applications. On the other hand, security cameras play a central role in Intelligent Video Surveillance, utilizing AI and advanced technology for real-time monitoring, threat detection, and data-driven insights in various sectors is augmenting the market growth.

As per Business Wire , in 2023, security cameras in the United States have employed AI to identify vehicles with a success rate of 72%, whereas in Europe, this rate is slightly lower at 57%. Meanwhile, security cameras in Europe utilize AI-based detection of people at a rate of 37%, whereas in the United States, it is employed 24% of the time.

Facial Recognition Uses Video Analytics

Facial recognition using video analytics has been a crucial driver in the growth of the video analytics market. This technology leverages advanced algorithms and machine learning (ML) to identify individuals, enhance security, and streamline processes across various industries. It has found applications in access control, surveillance, and customer experience improvement. Moreover, the increasing demand for enhanced security and personalized services, along with technological advancements, has fueled its adoption, making it a crucial component of modern security and surveillance systems.

As per Center for Strategic & International Studies (CSIS), facial recognition is the most adequate technique to establish an individual identity across various sectors. Moreover, the accuracy rate of facial recognition is around 90%.

Development of Smart Cities to Cater as Opportunity for the Market

Smart Cities are set to unlock myriad opportunities in the video analytics market. Using video analytics technology, these cities can enhance public safety, optimize traffic management, and improve urban services. The demand for smarter solutions leveraging video data is increasing with urban populations increasing. This, in turn, creates fertile ground for growth in the video analytics sector, as companies can develop innovative solutions to cater to the evolving needs of urban environments, thereby making cities safer, sustainable, and efficient.

As per Gitnux, in 2023, around 66% of the cities across the United States are dedicating resources to implement smart city technology. This significant adoption rate underscores the rapid progression toward a technologically advanced society. Moreover, by integrating smart technology infrastructure, these cities are reshaping urban life and establishing innovative standards for sustainability, efficiency, and modernity.

North America dominates the Market

For several reasons, North America has emerged as a dominant force in the video analytics market. The region's early adoption of advanced technology, robust infrastructure, and significant investment in research and development have propelled it ahead of the other regions. Moreover, a high demand for video analytics in sectors like security, transportation, and retail and stringent regulations promoting surveillance and data analytics have driven the market growth extensively. Furthermore, highly advanced video analytics software is propelling the market growth in the United States.

For example, Honeywell's Smart Impressions Video Analytics Software offers insights of the movement and patterns of individuals and vehicles, assisting end users in gaining a deeper understanding of their operational processes.

Government Initiatives for Video Analytics Market

Government initiatives worldwide are significantly impacting the global video analytics market. Many governments invest in advanced video surveillance technologies to enhance public safety and security. These initiatives involve deploying video analytics for real-time threat detection, traffic management, and urban planning. Additionally, data privacy regulations and compliance standards are framing the development and adoption of video analytics solutions worldwide, thereby extensively augmenting market growth.

For example, the government of the United States, introduced the usage of Video Analytics & Sensor Fusion in Law Enforcement . The widespread use of video technology implies that law enforcement will have access to live video feeds from cameras mounted on vehicles and worn by officers. These feeds can be monitored to enhance officers' and public safety. Moreover, the growing prevalence of internet-connected digital cameras and sensor devices, which are part of the Internet of Things (IoT), presents a significant technological opportunity for public safety agencies.

Impact of COVID-19

The COVID-19 pandemic significantly influenced the video analytics market, significantly altering its trajectory both before and after the outbreak. Pre-COVID, the market grew due to escalating demand for advanced surveillance and security solutions across industries. However, with the onset of the pandemic, the adoption of video analytics accelerated as organizations sought tools to enforce health and safety measures. Video analytics proved instrumental in monitoring mask compliance, social distancing, and occupancy limits, and aiding pandemic containment efforts. Post-COVID, video analytics continues expanding beyond pandemic-specific applications to support crowd management, enhance customer behavior analysis, and enable predictive maintenance. Advances in artificial intelligence and machine learning have further enriched video analytics, making it a versatile solution for businesses to optimize operations and customer experiences, ensuring sustained growth.

Key Players Landscape and Outlook

Globally, the video analytics market is experiencing rapid growth driven by companies' growing importance on creating innovative cloud solutions. Substantial corporate investments further accelerate this expansion to strengthen research and development capabilities, foster collaboration initiatives, intensify marketing strategies, and extend distribution networks. These combined factors are contributing to swift and substantial growth of the market.

In March 2023, Axis Communications revealed its latest product and solutions lineup at the ISC West security conference in Las Vegas. The launch featured a range of panoramic cameras, two dome cameras, and a new thermal camera tailored for extensive remote temperature monitoring. All these devices were constructed with ARTPEC-8 chip technology and were equipped with a deep learning processing unit (DLPU), enabling the execution of advanced video analytics at the network edge.