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Analog to network shift

F.Y. TENG | Feb. 22, 2010
A look at a sea change due in the world of surveillance cameras.

The other important area is to continue to build, as I mentioned earlier, our system integrator partner network or to reach the end user. To build that, we need to invest and spend a lot of time educating. We have a special training programme called the Axis Academy, which is an integral part of our way to expanding our partner network by recruiting potential partners, training them and then supporting them in the sales process.

In some regions we already have a very broad base of system integrators, and in some others we still need to increase and grow the number of system integrators. The big challenge, I guess, is to get both as there are two categories of system integrators. Some of them have a background in IT, so they are very comfortable with calculating bandwidth and storage needs they're experts on that. They only need some training on the camera, the security aspects where to place the camera and things like that.

There is also a huge base of system integrators who come from a background as security systems integrators and they are not experts on network or [inaudible] or bandwidth calculations. They are experts on cameras and co-ax cables and analog solutions, so they need to be trained on areas such as camera placement, storage, server purchasing and configuration, and network design that ensures no connection bottlenecks.

How big a portion of the global video network market is Asia?
For us, it's easy. I can answer that! Our sales is split 50 per cent in the US, 40 per cent in EMEA and 10 per cent in Asia. The market is still smaller in Asia because the penetration of network video is lower here. That means overall from our perspective, we expect in the future to have a similarly sized business in Asia as we do in EMEA and in the US. So from an investment and growth perspective, our strategy is to grow more rapidly or quicker in Asia compared to other regions.

What are currently your largest markets in Asia?
Internally, we divide Asia into North and South Asia. In North Asia, Japan and China are the big markets. Traditionally we've had the stronger team for a longer time in Japan, so I guess Japan is a little bigger but potential wise, China is the big one in North Asia. In Southern Asia, India is a really big potential but we've only been in local offices for two years in India. It's been handled from here in the Singapore office. Since two years ago we've had our own staff in three locations in India and that is a growth area for us. Then, of course Australia has been a strong area as well. They've had a lot of installations in the transportation sector as I've mentioned before for both airports and railways.


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