Cloud video surveillance vs on-premise CCTV: understanding the true cost
The key difference between on-premise and cloud-based CCTV systems is the payment structure. When evaluating options, it’s important to consider the Total Cost of Ownership (TCO), which includes both setup and ongoing costs.
On-premise CCTV pricing: CapEx model
Traditional on-premise CCTV solutions operate on a Capital Expenditure (CapEx) model, requiring significant upfront investment for system components and infrastructure.
In addition to upfront fees, you also must budget for:
- Ongoing support
- Maintenance
- Running costs e.g. power requirements
- Operating system upgrades
- Security patches
As such, the TCO for on-premise CCTV solutions can be high – particularly if you want to scale your business in the future and need to add cameras, storage, hard drives or new Network Video Recorders.
Cloud Video Surveillance pricing: OpEx model
Cloud Video Surveillance is offered on an Operating Expenditure (OpEx) model, featuring predictable comprehensive subscription payments on flexible terms, with no upfront capital costs.
This enables you to implement projects quickly—especially when using a hardware-agnostic platform like SEiNG. This approach allows you to avoid the cost of purchasing new cameras by upgrading your existing security system with the latest intelligent video analytics technology simultaneously. Take a look at the range of cameras supported by SEiNG.
Your SEiNG subscription payment includes:
- Monthly processing of camera streams
- Secure video storage at a UK data centre
- Real-time monitoring
- System updates
- Maintenance
- Day to day management
- New features
- User support
- Cameras (if you choose to purchase new cameras rather than use existing ones)
In contrast to on-premise CCTV solutions, it’s also very quick and cost effective to scale with a Cloud-based CCTV platform according to changing operational requirements – whether you need additional cameras or increased storage.
As a result, your total cost of ownership is likely to be considerably lower for a Cloud based video surveillance like SEiNG compared to traditional on-premise CCTV.
How much does a Cloud CCTV system cost?
Cloud CCTV systems vary in their cost structures, depending on your provider. For instance, certain providers may require an initial payment for ‘Cloud adapter devices’ or ‘Gateway devices,’ while others might include the expense of advanced cameras. Additionally, some systems may implement tiered pricing for premium features.
As a true Cloud based surveillance system, SEiNG pricing is determined by the following:
- The number of IP Cameras to be connected
- Camera resolution
- Frame Rates per Second
- Number of days of storage required
- Whether you choose to use existing cameras or purchase new ones
SEiNG supports your existing cameras; however, if you choose to purchase new ones, there is an affordable range available and the cost can be added to your subscription or purchased up front.
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- Single or multiple sites
- Smart analytics
- Secure Cloud storage
- Remote management
- Keep your existing cameras
Key differences between on-premise CCTV and Cloud video surveillance
| On-premise CCTV | SEiNG Cloud Video Surveillance | |
|---|---|---|
| How you pay | Capital Expenditure (CapEx) – Large upfront cost | Operating Expenditure (OpEx) – Subscription-based |
| Scalability | Requires additional purchases (e.g., hard drives, NVRs) | Easy to scale with no long-term commitment |
| Ongoing Costs | Ongoing support, maintenance, system upgrades, power, and cooling costs | Predictable ongoing subscription fees, no hardware management |
| System Management | Managed in-house, including updates and security patches | Managed by service provider, including updates and maintenance |
| Hardware | Typically requires proprietary or specific hardware | Hardware-agnostic, supports existing cameras, easy to add new ones |
| System Flexibility | Limited flexibility for changes or upgrades | Flexible with quick adjustments to changing needs |
| Cost Control | Less predictable due to upfront costs and long-term maintenance | Predictable costs with subscription-based pricing |
| Long-Term Commitment | Often involves long-term equipment investments | Flexible term contracts: choose between 12, 24 or 36 months. |
| Additional Features/Costs | May require purchase of new equipment (e.g., NVRs, hard drives) | Your pay per camera fee includes all additional features. |
Summary
- Payment Model Differences:
On-premise CCTV systems require significant upfront investment (CapEx model), while cloud video surveillance operates on a subscription-based, ongoing cost model (OpEx), with little to no upfront capital costs - Total Cost of Ownership (TCO):
On-premise systems incur high TCO due to maintenance, upgrades, and scalability issues, whereas cloud-based solutions like SEiNG offer a lower TCO, especially for scalability and flexible subscriptions. - Scalability and Flexibility:
Cloud-based systems are more cost-effective and easier to scale, offering quick project implementation, system updates, and maintenance, with the option to use existing cameras or purchase new ones as needed. - Cloud CCTV pricing varies by provider:
Some systems require new devices and offer premium features at an additional cost. Being a true Cloud offering, your SEiNG subscription covers the most feature-rich version and no upfront costs are required (unless you choose to purchase new cameras upfront)