New technology in any industry segment will typically follow the same adoption curve to
achieve 100% of its market potential. The most difficult stage is in moving from the early
adopters, to the mass market phase. HD CCTV technology is currently in this customer take-up gap. Concerns over the high cost and low cable reach (less than 100m) of first generation
HD CCTV equipment will limit future opportunity. HD SDI in its current form is not sufficient to
drive demand to the mass market phase.