A Closer Look at CCTV Distribution Technologies

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1 A Closer Look at CCTV Distribution Technologies Introduction In recent years high definition digital equipment, has become a standard requirement in the CCTV market. Recent reports indicate that by 2016, more than 45% of surveillance camera shipments will be based on digital technologies. About 35% of All Cameras will support the highest resolution. With an ever increasing number of HD digital security cameras being released to market, CCTV manufacturers are looking for differentiation and for building a unique selling proposition in regards to their HD resolution offering. These vendors should support features such as: Surveillance across wider areas Superb Image clarity with high color reproduction High frame rate (supports up to Advanced edge based analytics applications Thermal images processing This paper reviewes the key factors generated by CCTV surveillance market, focusing on digital technologies enabling the distribution of the High Definition images, and hence advanced surveillance features.

2 CCTV Digital Image Distribution Technologies HD-SDI CCTV HD-Serial Digital Interface came from the SDI Broadcast standard developed by SMPTE, for transmitting video. HD-SDI is available in the CCTV market for transmission of high definition images over existing RJ59U analog infrastructure, or high end Coax cables such as RJ6 or RJ11. By stating 'Analog' we often mean "standard" resolution: either 640x420 4CIF or D1 for 720x486 resolutions. HD-SDI supports real time HD resolution with 30fps (frame per second) for 1280x720p or 1920x1080p. Large numbers of manufacturers have been displaying several models of HD-SDI cameras at CCTV trade shows throughout 2011 & The future is bright for HD over Coax technologies and reflects the growing demand for uncompressed high definition technologies. IP CCTV IP cameras stream live video via digital packets across an internet protocol network such as a LAN (Local Area Network) or the Internet. It means that video streams can be accessed remotely, via a smartphone, tablet or other networked devices, and can be stored remotely. IP CCTV systems do not require local recording, they can transmit their images across Local Networks, or the Internet, where they can be recorded, viewed and managed. IP cameras offer high detail precision with Megapixel resolution, at least 3 times better quality than standard analog cameras. In addition, IP CCTV cameras do not need a separate power source. They support Power over Ethernet (PoE) and can be powered via a network cable. Another benefit is that IP systems allow the direct use of standard IP-based services such as or image sending via FTP. While an IP based solution has many advantages, when it comes to high frame rate video images, the latency is a key factor. Other HD cameras that are not IP-based, using HD-SDI or uncompressed digital CCTV over LAN solution generate uncompressed images with no IP glitches or hick-ups at 30 images per second frame rate. Uncompressed Digital CCTV over Cat Based on HDBaseT technology, this solution enables the transmission of uncompressed HD video, audio, power and control signals over a standard 150m LAN (cat5e/cat6a) cable. HDBaseT is a well-known standard in the pro-av and consumer electronics markets, for long distance transmission of HD multimedia content. It was developed by HDBaseT Alliance, founded by LG, Samsung, Sony Pictures and Valens Semiconductors.

3 Uncompressed digital CCTV over LAN is leveraging the success of HDBaseT and providing the same simplicity, cost and video quality benefits, to the CCTV market. While HD-SDI is limited to 100 meters on RG-59U coax, and IP suffer from real time image artifacts, this HDBaseT based solution, enables long reach connectivity of 150 meters over the same infrastructure used for IP based solutions, enabling scalable and simple migration from IP CCTV systems. Note In all uncompressed technologies, when the video images hits the DVR side, the Recorder needs to convert the uncompressed images to H.264 or similar or the recording data rate will be huge. Till now, we explored the technologies that enable delivering video image data. What are the market factors that trigger these technologies? What are the technical requirements that define the CCTV market? The following section addresses a few of these questions.

4 CCTV Surveillance - Market Key Elements Industry Growth - systems become intelligent systems A rapid growth in some industries such as: Transportation; Retail or Banking, drives the demand for high end CCTV products. For example: Transportation systems become intelligent transportation systems - Trains become high-speed trains and airports accommodate higher number of passengers. These systems demand high-quality CCTV products and applications. Technological Advancement Increasing demand for HD images expedites the shift from analog systems to either IP/Network systems or uncompressed HD digital equipment. The analog market reached a saturation point. On the product life-curve, analog cameras may be at the peak of the maturity stage, taken over by IP cameras or other digital products. Urban Security Demand Urban safety projects started in year 2000 in a few metropolitans and gained momentum and traction across the world. An estimated of 20,000 cities in 2005, turn to 400,000 cities in 2010, and an estimation of 3 million cities in 2016 will establish CCTV security systems.

5 CCTV Surveillance - Technical Elements* Standardization All the CCTV technologies described in this paper are aiming to penetrate an existing analog market, and to educate the existing market players, on the transition to digital technologies. Naturally, all these technologies require cross vendor interoperability and compatibility. This ecosystem can only be achieved by the use of a unified and widely adopted standard. Storage Cost HD Digital cameras transmit uncompressed HD video which can lead to high storage requirements and cost. For uncompressed HD Digital to reach the mainstream analog purchasing market, the price of storage needs to be cost effective. Market Education Manufacturers need to familiarize with the different technologies in order to match the right solution to any case. Uncompressed HD Digital products are positioned as a potential alternative to analog, while IP/network based video surveillance solutions are positioned as the best solution for mass deployment in corporate environment with an existing network in place. But is this the right method? * Based on IMS research assumptions. The next section provides an example for a CCTV project that indicates different decision factors for choosing the right CCTV solution.

6 Example: CCTV Surveillance Project Cost This section reviews a typical CCTV surveillance project breakdown, highlights the differences between the common HD Digital technologies, and can assist installers to pick the right solution for the right environment: CCTV systems based on HD-SDI Technology (e.g. Uncompressed HD over Coax) CCTV System based on HDBaseT technology (e.g. Uncompressed HD over LAN) IP/Network CCTV system Project Guidelines Location: New Central Bank HQ Building (New CCTV installation) System Requirements: Full HD 100% coverage Real-time live view, total system delay under 150ms 24/7 security coverage Stable and reliable system- Secure data Advanced Video Analytics to track down suspicious activities Integration as part of larger surveillance system: o Low bandwidth control (rout the images to remote location via existing ADSL network) Simple daily maintenance- easy to install & use CCTV Equipment needed: 89 x HD DVR 89 HD Cameras WKC-100 (CMS center Key controller) Figure 1 illustrate the CCTV Project layout in the Central Bank location

7 Drawing 1: Central Bank HQ- CCTV Project illustration Table 1 illustrates an estimation of total project cost based on different image distribution technologies. CCTV Image Distribution Technologies HD-SDI Uncompressed CCTV over Cat IP/Network Camera Cost $200 $200 $350 Cam Project Cost $17,800 $17,800 $31,150 DVR Cost $700 $700 $700 Remarks Camera Average Selling Price (ASP) 89 HD Cameras/ 89 6MP IP cameras HD DVR: 8 ports HDSDI + 8 HDBT ports (RJ45) 1 Port Ethernet (RJ45)

8 DVR Project Cost $8,400 $8,400 $700 Total: 12 HD DVR Cable Cost $1 (per meter) $0.3 (per meter) $0.3 (per meter) Project Cable cost $11,000 $3,000 $3,000 Additional Equipment NA NA $6,000 Total: 11KM of RJ6 cable between the Cameras to the DVR location In the IP solution: 4 x 24 port 1Gps switch + 2 x 48 port router Labor Cost $1,500 ($100 per hour) $1,500 ($100 per hour) $3,600 ($200 for IT engineer) Total: 15 hours of Installation time & Set up; + 3 hours of IP Configuration CMS Connection Cost (ADSL) $5,000 $5,000 $5,000 Additional Cost: overhead Connection fees to centralize fiber to report location Total Project Cost (Estimation) $43,700 $35,700 $49,450 Table 1: CCTV Project cost estimation Project Conclusions We can draw a few important conclusions out of this installation scenario: 1. The deployment based on the new uncompressed CCTV over Cat solution is the most efficient solution: Cost effective compared to the other technologies reviewed (about 20% cheaper to HD-SDI, and 30% compared to IP) Future proof- it supports uncompressed image distribution up to 2. Both uncompressed technologies (over LAN & over COAX) deliver a reliable solution: Simple Installation (Coax or CATx). The HDBaseT based solution also use the current IP infrastructure and allows for future migration to IP

9 Less point of failures across the installation path ( network equipment is not required) Better performance of uncompressed images with greater color reproduction using high frame rate with less latency In mid-size projects ( HD cameras) as the example above, the value gained from uncompressed HD digital technologies is superior both in terms of reliability; installation & equipment costs; and premium performance. Per different CCTV cases, the breakeven point choosing IP based solutions is with large corporate deployments (over 500 cameras). In such projects the CCTV network is usually combined with the corporate network, or at least sharing some of the corporate Ethernet infrastructure (like routers; switches exist already).

10 Summary The CCTV Surveillance market is growing rapidly forecasted to reach $20.5B in The growth rate is accelerating primarily by the transition from Traditional Analog video equipment to High definition equipment, either network based or uncompressed HD Digital technologies. Today we are at the peaks of traditional analog markets, as most of the users (either existing customers that wish to upgrade systems or new customers) as well as CCTV manufacturers invest in HD products and applications. As a result- we see a clear product shift from standard definition to high definition/megapixel equipment. The decision to go with either uncompressed HD Digital or network based products is primarily affected by the total solution cost. As outlined in this paper, the price of an IP based solution remains considerably higher than the price for an equivalent uncompressed HD Digital solution. As a result of higher average selling price (ASP) of network equipment - Installers of midsize CCTV projects (up to several hundreds of cameras of either upgraded analog sites or new sites, as illustrate in Table 1) prefer to invest in uncompressed HD Digital equipment (such as HDBaseT based or HD-SDI) receiving premium performance with less investment costs.

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