Network video growth impacted by financial turmoil

Network video growth impacted by financial turmoil

The market for professional security installations has recently been
characterized by increased caution and projects with specified surveillance
cameras have been deferred or suspended. This has impacted Axis' growth and
moderated the pace of the technology shift from analog to digital network video.


Axis has announced on previous occasions that the current financial turmoil has
meant that its customers' new investments and expansion plans have been deferred
to a future date. This view has been strengthened in recent times and Axis'
assessment is that the growth rate for network video is now significantly lower
than before.

“The current financial turmoil and the high degree of caution make it more
difficult to predict the market development. However, it is clear that the rapid
slowdown will impact the growth rate for network video significantly”, says Ray
Mauritsson, President of Axis Communications. 

Axis has seen signals from the market during the year, e.g. from the retail
sector in Europe and the US, where major retail chains have chosen not to expand
as planned. The same trend is also apparent within other customer segments where
customers have chosen not to start or continue projects already initiated.

Axis' goals remain unchanged despite the current market turmoil. Axis' goal is
to continue strengthen the company's position as the market leading supplier of
network video solutions. 


Axis is an IT company offering network video solutions for professional
installations.  The company is the global market leader in network video,
driving the ongoing shift from analog to digital video surveillance. Axis
products and solutions focus on security surveillance and remote monitoring, and
are based on innovative, open technology platforms.

Axis is a Swedish-based company, operating worldwide with offices in more than
20 countries and cooperating with partners in more than 70 countries. Founded in
1984, Axis is listed on NASDAQ OMX Stockholm, under the ticker AXIS. For more
information about Axis, please visit our website at www.axis.com.