On May 30 2N announced Axis Communications acquired the company in a move that could see the addition of intercom to its IP products lineup. The announcement follows several other small and large mergers and acquisitions that have been taking place in the security industry.
On May 30 2N announced it was acquired by Axis Communications in a move that could see the addition of intercom to its IP products lineup. The announcement follows several other small and large mergers and acquisitions that have been taking place in the security industry.
The addition of intercom products will no doubt give Axis entry into a growing market segment, but analysts believe that the real advantage for the company lies in its solid position to offer more comprehensive IP solutions.
“This acquisition will also give Axis a stake in the market for audio and video door phones, which IHS forecast will reach nearly US$2.6 billion by 2020,” said Aaron Dale, Market Analyst – Security & Fire at IHS Technology. “However, the true value in the acquisition is not likely to come from Axis’s ability to penetrate the audio and video door phone market but in its strengthened ability to provide a more complete IP security solution (a position that Axis have been building in recent years).”
Dale added that the market for open IP video and video door phones is expected to grow faster than the alternative market for traditional analog door phones. However in recent years, a third market, that of video doorbells has become stronger, potentially large enough to hurt the IP video door phone sales. These products have similar functionality to a residential door phone, with two-way audio and an integrated HD camera. The main difference is the outdoor unit is synced to the user’s smartphone rather than a fixed indoor unit.
“Vendors have already announced partnerships with large residential security companies and the video doorbells will offer additional product options in the smart home and residential security businesses,” Dale said. “The video doorbell market also attracted considerable investment over the two years to 2016, which has allowed for comprehensive marketing and advertising campaigns.”