The Inevitability of The Cloud

Martin Renkis, Vice President OpenBlue Security and Innovation at Johnson Controls, the global leader for smart and sustainable buildings, knows a thing or two about how disruptive technology can create new sales opportunities.  

With a career within the electronic security industry which spans decades, Martin has seen how the transition from systems dominated by hardware, to solutions which leverage cloud, IoT and AI, have enabled system integrators to generate new business opportunities, while delivering significant added value to their clients.  

As a member of the Johnson Controls team who are behind the launch of the company’s Cloudvue (VSaaS) subscription offering, Martin explains why now is the time for system integrators to embrace the opportunities of The Cloud.

It’s ready, are you?

It is perhaps inevitable that The Cloud will be at the heart of most new electronic security systems installed over the next few years. The advantages in terms of functionality and potential cost savings, are so significant that it seems hard to believe that The Cloud will not, as a matter of course, become the preferred choice for consultants, system designers and system integrators. This view is supported by a report recently published by market research experts, Markets and markets, in which the VSaaS market is predicted to grow from $ 2.2 billion in 2020 to $4.7 billion by 2025.

Concerns about reliability, resilience and cyber security, have been dispelled with Cloud platforms being developed and supported by the expertise of giant tech companies who we have learnt to trust, such as Microsoft, (which Cloudvue from Johnson Controls is supported by) and Amazon. With their reputations on the line, these companies and others have built ultra-robust Cloud platforms for software applications which we all use regularly in our day-to-day lives, e.g. online banking, Microsoft 365 and Spotify.

Unlike IP network video surveillance, or Video over IP as it is often referred to, The Cloud will not be a slow burn. By way of explanation, the speed of migration from analogue CCTV to IP network based systems has been sluggish in the UK for a number of reasons, not the least of which has been the inability of salespeople working for system integrators to talk the language of IT managers.

However, much has changed during the last 5 years or so, with salespeople now trained on how to sell IP network-based systems to both IT literate and non-technical customer contacts. Increasingly, we are also seeing IT managers driving, and not just supporting, the implementation of new access control or video surveillance projects for their companies.

System integrators fear not

The Cloud does not have any the inhibitors which slowed down the adoption of IP network technology, other than a system integrator’s fear and therefore reluctance to embrace what is essentially a paradigm shift in how electronic security systems are designed and sold. This fear may come from the recognition that a pure video surveillance Cloud solution negates the need for recording and storage devices, and this in turn has the potential to have a major effect on sales margins and maintenance contracts.

At Johnson Controls, we have been one of the first manufacturers to fully embrace The Cloud. Bearing in mind we are a global leading manufacturer of NVRs, this might at first seem a counter intuitive approach. However, we recognised early on that our industry cannot collectively adopt a King Canute attitude and by doing so, try to hold back the inevitable tide which will see end-users willingly utilise a Cloud based subscription model for their electronic security systems.

Every Cloud has a silver lining

It should be emphasised that whilst this article is about championing The Cloud, the demise of hardware-based recording and storage solutions is, without doubt, a long way off. Reflecting this belief, Johnson Controls has a long-term product road map which will see our hardware offerings continue to be updated and supported for many years.

However, the benefits of The Cloud to end-users and everyone involved in the supply chain, including system integrators and distributors, are just too great to be ignored. Yes, it would be true to say that for system integrators and distributors, upfront margins will be considerably lower on video surveillance projects which would normally require one or more NVRs or storage servers. However, in the medium term, a rightful share in the monthly subscriptions of a Cloud service provided to end-user clients, is likely to match, if not exceed, the margins which would have been achieved from supplying, installing and maintaining the recording and storage hardware, without incurring the human resource and logistical costs of doing so.

 Cloudvue

Providing Cloud based services is not new to Johnson Controls. Since 1999, we have helped facilitate the storage and management of over 52 billion minutes of video in the Cloud.

The experience and knowledge we have gained over the last 21 years has enabled us to refine Cloudvue as a subscription based service, so that it offers a level of robustness and security that most customers could not achieve on their own. Powered and protected by Microsoft Azure and the Tyco Cyber Protection Product Security Program, Cloudvue has proved to have a 99.9% uptime reliability.

End-user benefits

Flexibility and scalability are key benefits of Cloud based software and data storage. Instead of having to purchase sufficient hardware to provide some slack for future system expansion or unexpectedly having to purchase additional hardware storage capacity to handle an increase in the number of installed cameras, with a Cloudvue subscription, expansion is almost effortless to arrange. End-users only need therefore to pay for what they need at any particular time.

Other key benefits of Cloudvue include the following:

·       Fast deployment of video surveillance (and access control), with less on-site equipment and support headaches.

·       Onsite network infrastructure is minimised with Tyco’s range of Illustra Cloud cameras as they are able to transmit images directly to The Cloud, via the nearest node.

·       Cloudvue Gateways enable video captured by standard cameras from any manufacturer to be recorded and stored by Cloudvue.

·       No on-site servers, mass storage, software licenses, service packs, security patches or firewall policy overheads are required and no thick client applications to manage and maintain.

·       Users can also be assured that Cloudvue is compliant with GDPR.

Simply put, the Cloud just makes sense

By eliminating the need for the majority of upfront capital and lifecycle maintenance costs normally associated with a video surveillance system, Cloudvue should be a ‘no brainer’ for most end-users, and particularly so when they take all the above benefits into consideration.

 The cost benefits for large scale projects are even more significant when you take into account the office space needed to house servers and the additional costs of the air conditioning which would be needed to dissipate the heat generated by the servers.

COVID-19 has also created a situation where end-users need to minimise the risk of the disease being spread within their workspaces and one way to do this is to reduce contractor and supplier visits. Reducing dependency on hardware which needs to be maintained and fixed when faults occur, is yet another reason why Cloudvue makes perfect sense.

I would urge professional and enterprise level system integrators to look very carefully at how they can prosper by recommending a Cloud based subscription model to their clients. The risk is very real that if currently very successful players within our industry do not do so, they risk losing clients to invaders from the IT sector and small, less experienced installation companies who, by taking advantage of the simplicity of The Cloud, will be able to aggressively compete for new projects.

Email BTS-EMEA-TycoSales@jci.com to find out more about Cloudvue and how it will help you achieve real-life practical benefits and cost savings for your next access control or video surveillance project