Canon announced today that it has signed an agreement to acquire Milestone Systems. Milestone Systems is a major supplier of video management software. It is planned that Milestone will continue to operate as an independent organization.
Canon is currently a small player in the video surveillance market but it has big ambitions. Back in August 2013 its CEO, Fujio Mitarai, spoke about security cameras becoming an “important pillar” for the company and the market having “limitless possibilities for growth." This acquisition shows that Canon is serious in its intentions.
When it comes to surveillance, Canon currently only sells security cameras. The acquisition of Milestone allows it to offer customers a security solution combining cameras and either video management software or network video recorders. It also provides the company with access to Milestone’s large customer base, particularly in regions outside of Canon’s home market of Japan. IHS estimates that Milestone was the largest supplier of video management software in 2013 with over 7% of a global market worth over $900 million.
According to principal analyst, Jon Cropley, “Canon is a strong brand in the consumer electronics market. It is well-known as a supplier of digital cameras, camcorders and professional broadcast cameras. It plans to leverage this brand reputation in the video surveillance market”.