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AI in Video Surveillance Market Size, Share & Industry Analysis, By Component (AI Cameras and Software), By Deployment (On-premises, Cloud, and Hybrid), By Technology (Computer Vision, Deep Learning, Edge AI, Cloud Analytics, and Others), By Application (Intrusion Detection, Facial Recognition, Vehicle/Number Plate Recognition, Crowd Analytics, Retail Analytics, Industrial Infrastructure Monitoring, and Others), By End-User (Government & Public Facilities, Commercial, Industrial, Military & Defense, and Others), and Regional Forecast, 2025 โ€“ 2032

Last Updated: November 28, 2025 | Format: PDF | Report ID: FBI109303

 

KEY MARKET INSIGHTS

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The global AI in video surveillance market size was valued at USD 5.64 billion in 2024. The market is projected to grow from USD 6.26 billion in 2025 to USD 18.33 billion by 2032, exhibiting a CAGR of 16.6% during the forecast period.

The market for AI in video surveillance solutions is witnessing significant growth as organizations increasingly adopt intelligent technologies to enhance security, automate monitoring, and gain actionable insights from video data. AI in video surveillance solutions leverages computer vision, machine learning, and advanced analytics to detect anomalies, recognize patterns, and provide real-time alerts, enabling faster response times and more efficient security operations across industries.

  • Bengaluru’s AI-powered cameras captured 87% of traffic violations from January to July 2025, detecting offenses such as riding without helmets, seatbelt violations, and signal jumping.

Key AI in video surveillance solution providers in the market, including Axis Communications AB, Bosch Security Systems, Honeywell International, and Motorola Solutions Inc., are driving innovation by offering advanced features such as intelligent video analytics, automated threat detection, facial and object recognition, and seamless integration with enterprise security systems. For instance,

  • At ISC West 2025, Bosch showcased its AI-enabled IVA Pro video solutions, including AI reasoning with IVA Pro Context for predictive security and scene understanding. New licenses enhance perimeter detection, vehicle analytics, and appearance-based searches.

IMPACT OF GENERATIVE AI

Implementation of Generative AI Capabilities to Fuel Market Growth

Generative AI is playing a key role in advancing the market by improving the intelligence, capability, and flexibility of surveillance systems. Generative AI enables the creation of synthetic training data, allowing computer vision models to improve in accuracy and robustness without relying solely on real-world video. This also facilitates the enhancement and reconstruction of low-resolution or partially corrupted video footage.

Generative AI also enables the simulation of predictive scenarios, which can help organizations identify threats and enhance their response. For instance,

  • In June 2025, Amazon’s Ring introduced Video Descriptions, a generative AI feature that provides concise, real-time text alerts describing motion activity from Ring cameras and doorbells. This helps users quickly distinguish between urgent events and everyday activities.

MARKET DYNAMICS

MARKET DRIVERS

Rising Need for Security and Public Safety to Propel the Market Growth

One of the key factors driving the AI in video surveillance market growth is the rising demand for enhanced security and public safety. As cities become increasingly urbanized, populated, and geopolitically uncertain, governments, law enforcement agencies, and private industries are under pressure to enhance their surveillance infrastructure.  For instance,

  • According to the FBI, in 2024, the U.S. saw over 14 million reported crimes, with a violent crime occurring every 26 seconds on average.

Outdated surveillance systems, which rely primarily on human monitoring, cannot sustainably support operators monitoring hundreds or even thousands of camera feeds in larger environments. AI-driven analytics address this challenge by automating key operations, including threat detection, anomaly detection, and behavioral analysis. For instance,

  • In September 2025, Dunwoody, Georgia, rolled out AI-powered cameras, drones, and gunshot detectors from Flock Safety to fight crime, tracking vehicles and incidents via a cloud-based platform.

MARKET RESTRAINTS

Cybersecurity Risks in Connected Surveillance Networks to Restrict Market Expansion

With AI-powered systems increasingly connected to cloud applications and IoT networks, the risk of cybersecurity threats and data breaches broadens. The ability to connect to all of this is a vulnerability for a cyber-attacker, intended or not. There is the potential for breach of surveillance access, a breach of camera control, or even a compromise of data storage. Such a breach not only creates operational disruption but is also of national security importance, breaches commercial confidentiality, and undermines public trust.  For instance,

  • In September 2025, A hacker breached Nexar’s AI-enabled dashcam video database, accessing over 130 TB of footage stored on an insecure AWS bucket. The hack exposed sensitive personal and potentially national security data, highlighting serious privacy and security flaws in Nexar’s AI-powered surveillance systems, which the company has since fixed.

Protecting against this breach requires rigorous cybersecurity measures, including the deployment of end-to-end encryption, multi-layered authentication, real-time threat monitoring, and frequent updates to platforms and software.

MARKET OPPORTUNITIES

Expansion of Smart City and Urban Infrastructure Projects to Create Lucrative Growth Opportunities

A key opportunity for the market is driven by the global development of smart city programs, where intelligent surveillance systems are now an integral part of enhancing safety, operational efficiency, and sustainability in urban areas.

Governments and municipal authorities globally are increasingly investing in intelligent transportation systems, as well as traffic management and public safety monitoring networks, to address urbanization challenges. For instance,

  • In October 2025, Hanoi city officials announced that to would deploy 1,873 AI cameras by December to enhance traffic management and safety. The cameras, capable of 360-degree scanning and real-time analysis, will detect violations, monitor accidents, and optimize traffic flow, gradually expanding to cover all city intersections as part of a smart city initiative.

AI-driven video analytics are especially important for real-time crowd management, traffic optimization, emergency response coordination, and environmental monitoring, all of which contribute to overall improved governance in cities and the quality of life.

AI IN VIDEO SURVEILLANCE MARKET TRENDS

Rising Adoption of Cloud-Based Video Surveillance (VSaaS) to be a Key Trend in Market

A significant trend in the market is the increasing uptake of Video Surveillance as a Service (VSaaS). Organizations are beginning to adopt subscription-based cloud solutions, which are typically more affordable, have advanced scalability, operational flexibility, and remote accessibility, while moving away from traditional, capital-intensive on-premises systems. Additionally, recent innovations in the industry also support this trend. For instance,

  • In October 2025, Eagle Eye Networks launched Eagle Eye Remote Video Monitoring, a cloud-based security solution that combines AI video analytics with professional monitoring to prevent crime in real-time. The system detects threats such as trespassing, theft, and vandalism, alerts monitoring professionals, and enables rapid intervention, including live talk-downs and police dispatch.

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Segmentation Analysis

By Component

AI Cameras Led Market With Efficient Combination of Data Collection and Intelligence

In terms of component, the market is categorized into AI cameras and software.

The AI cameras segment captured the largest market share in 2024. In 2025, the segment is anticipated to dominate with a 68.0% share, due to an efficient combination of data collection and intelligence on devices, which allows for real-time analytics instead of relying solely on software. Their capability for edge AI processing is crucial for effective and scalable surveillance, leading to increased adoption compared to sole software options.

The software segment is expected to grow at a CAGR of 18.8% over the forecast period. 

By Deployment

On-Premises Commanded Due to Their Strong Market Preference in AI Video Surveillance

In terms of deployment, the market is categorized into on-premises, cloud, and hybrid.

The on-premises segment captured the largest share of the market in 2024. In 2025, the segment is expected to dominate with a 69.1% share, as organizations seek direct access and control over sensitive video data and operational systems. Low latency, increased security, and reliability for mission-critical environments, such as government buildings, defense establishments, and large enterprises (which have proliferated), will be more valued than using hybrid or cloud solutions.

The cloud segment is expected to grow at a CAGR of 25.1% over the forecast period.  

By Technology

Computer Vision Dominated Market as It Offers Insights from Video Content

In terms of technology, the market is categorized into computer vision, deep learning, edge AI, cloud analytics, and others.

The computer vision captured the largest share of the market in 2024. In 2025, the segment is anticipated to dominate with a 43.0% share, as it is an enabling technology that detects, identifies, and analyzes objects and behaviors in video content. Simply put, to interpret or provide insight from video content, computer vision must be applied. The ability to translate video content into actionable intelligence across a multitude of use cases (security surveillance, operational intelligence) is the reason it has gained rapid adoption compared to specialized technologies (deep learning, edge AI, cloud analytics). For instance,

  • In April 2025, AngelEye Health introduced AIVision, an AI and computer vision enhancement for NICU and pediatric care that turns bedside cameras into intelligent clinical tools. It supports motion detection, video-EEG synchronization, respiratory monitoring, and pain assessment, using computer vision to detect subtle patient movements and risks.

The deep learning segment is expected to grow at a CAGR of 23.1% over the forecast period. 

By Application

Intrusion Detection Segment Dominated Market as It Fulfils Most Essential Security Needs in Industrial and Public Infrastructure

In terms of application, the market is categorized into intrusion detection, facial recognition, vehicle/number plate recognition, crowd analytics, retail analytics, industrial infrastructure monitoring, and others.

The intrusion detection segment captured the largest share in 2024. In 2025, the segment is anticipated to dominate with a 24.2% share, as it fulfills the most essential security need in industrial and public infrastructure. Organizations need a solution that provides real-time alerts when unauthorized access and potential threats are detected. For instance,

  • In October 2025, EarthCam launched an upgraded 2 Camera Perimeter Detection System for construction sites, featuring AI object detection, deep-learning processing, and enhanced night vision. The system can detect people and vehicles at greater distances, send alerts to central monitoring stations, and activate deterrents such as strobe lights or “talk down” features.

This is more important than monitoring vehicles, facial recognition, and retail analytics, among other things. All organizations have assets, facilities, and sensitive areas that require guard protection, which will lead to a greater uptake.

The crowd analytics segment is expected to grow at a CAGR of 20.0% over the forecast period. 

By End-User

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Government and Public Facilities Take the Lead Owing to Their Rising Demand for Comprehensive Security

Based on end-user, the market is classified into government and public facilities, commercial, industrial, military & defense, and others.

In the end-user market, government and public facilities command the largest share in the AI video surveillance sector, owing to their considerable demand for comprehensive security and public safety services. For instance,

  • In April 2025, Arunachal Pradesh plans to install AI-enabled CCTV cameras and traffic monitoring systems across all towns and cities to enhance public safety. The government has already started installing cameras at 22 border check-gates and is upgrading police infrastructure, including promotions, new fire stations, and a forensic center.

The commercial segment is expected to grow at a CAGR of 19.5% over the forecast period.

AI in Video Surveillance Market Regional Outlook

By geography, the market is categorized into Europe, North America, Asia Pacific, South America, and Middle East & Africa.

North America

North America AI in Video Surveillance Market Size, 2024 (USD Billion)

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North America led the AI in video surveillance market, valued at USD 2.08 billion in 2024. This leadership is mainly due to the region's advanced digital infrastructure, early embrace of AI technologies, and the significant influence of major tech companies and enterprise security solution providers. The U.S. stands out as a hub for innovation in AI-powered video surveillance solutions, driven by high levels of enterprise adoption, substantial investment in security infrastructure, and a robust network of cloud and analytics service providers. It is anticipated that by 2025, the U.S. market alone will reach USD 1.83 billion, highlighting its pivotal position in the global AI video surveillance industry.

Europe

Europe accounts for the third-largest portion of the AI in video surveillance market share, and it is projected to maintain steady growth, reaching USD 2.06 billion by 2025. This growth is driven by the region's rapid transition toward intelligent security systems, robust regulatory structures that support AI integration, and increasing investments in smart infrastructure. Major contributors to this growth include the U.K. (USD 0.15 billion), Germany (USD 0.13 billion), and France (USD 0.10 billion), all of which are essential in promoting regional adoption.

Asia Pacific

The Asia Pacific region is expected to achieve the highest compound annual growth rate (CAGR) over the forecast period, driven by rapid digital transformation, widespread adoption of cloud-based surveillance solutions, and increasing investments in enterprise AI security tools. Nations such as China (USD 0.85 billion) and India (USD 0.30 billion) are leading this growth, supported by their strong IT and security services sectors, increasing demand for automated monitoring, and government initiatives promoting digitalization. For instance,

  • In July 2025, Delhi announced the launch of 3,500 AI-enabled cameras as part of the Safe City project to enhance women’s safety and policing. The system uses facial recognition, gunshot sensors, and real-time alerts to monitor high-risk areas and public spaces.

Middle East & Africa

Middle East & Africa is projected to achieve the second-highest CAGR, reaching USD 0.48 billion by 2025, driven by the growing adoption of smart security solutions, national digital initiatives, and the deployment of AI across the retail, real estate, and government sectors. In the Middle East & Africa region, the GCC countries are expected to account for USD 0.21 billion, supported by modernization efforts and policy-driven innovation. For instance,

  • In November 2025, Emirates Airlines launched a USD 23 million facial recognition system at Dubai International Airport’s Terminal 3, using over 200 cameras to streamline check-in, immigration, boarding, and lounge access. Passengers register via the Emirates app for biometric verification, which reduces wait times and improves travel efficiency.

South America

South America is projected to reach USD 0.29 billion by 2025, driven by increasing demand from enterprises for automated surveillance solutions and a growing population of digital-first consumers.

COMPETITIVE LANDSCAPE

Key Industry Players

Diverse Product Portfolios and Robust Distribution Networks Empower Market Leaders

The AI in video surveillance market is increasingly propelled by intelligent platforms that integrate AI-driven analytics, real-time monitoring, and user-friendly interfaces. Leading companies such as Axis Communications AB, Bosch Security Systems, Honeywell International, and Motorola Solutions Inc. are at the forefront, providing AI-powered surveillance solutions that enhance security, automate threat detection, and optimize video management across enterprises.

Top AI in video surveillance solution providers differentiate themselves through comprehensive product portfolios, robust distribution networks, and scalable solutions that cater to organizations of all sizes and scales. Their offerings focus on real-time video analytics, predictive security insights, and automated alerts, enabling businesses to proactively address security risks, improve operational efficiency, and make data-driven decisions with confidence. By combining advanced AI capabilities with flexible integration options, these AI in video surveillance companies remain essential partners for organizations seeking to modernize their security infrastructure and ensure robust protection in an increasingly complex digital landscape.

LIST OF KEY AI IN VIDEO SURVEILLANCE COMPANIES PROFILED

KEY INDUSTRY DEVELOPMENTS

  • October 2025: Toshiba Electronics Europe launched the S300 AI, a new generation of surveillance hard drives built for AI-driven video applications. Available in capacities ranging from 8 TB to 24 TB, the drives offer high capacity, speed, and durability for continuous, large-scale video recording and AI analytics.
  • October 2025: Fujitsu and ARYA Inc. co-developed an AI-powered video surveillance solution that uses Fujitsu’s video analytics AI and ARYA’s geospatial AI to detect and map suspicious behavior in real time. The system can track individuals across multiple camera feeds and provide location-based alerts, enabling faster and more effective responses.
  • August 2025: Nota AI launched NVA (Nota Vision Agent), Korea’s first commercialized real-time video surveillance solution powered by Vision-Language Models (VLMs). NVA enhances situational awareness by interpreting complex scenes, reducing false positives, and detecting multi-factor risks in real time.
  • July 2025: Lumana AI raised USD 40 million to advance its AI-powered video surveillance platform, which utilizes vision-language and agentic AI to detect threats, understand behavior, and trigger real-time responses. Already used by major organizations such as McDonald’s and Meta, the system transforms traditional surveillance into a proactive, intelligent security and operations tool.
  • June 2025: IvedaAI has been selected as the AI-driven video surveillance platform for the upcoming Subic Sun Resort, Convention & Casino in the Philippines. The system will optimize camera placement, enable real-time analytics, and enhance security, operational efficiency, and guest experience.

REPORT COVERAGE

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Report Scope & Segmentation

ATTRIBUTE

DETAILS

Study Period

2019-2032

Base Year

2024

Estimated Year

2025

Forecast Period

2025-2032

Historical Period

2019-2023

Growth Rate

CAGR of 16.6% from 2025-2032

Unit

Value (USD Billion)

Segmentation

By Component, Deployment, Technology, Application, End-User, and Region

By Component

·         AI Cameras

o   Wired

o   Wireless

·         Software

By Deployment

·         On-premises

·         Cloud

·         Hybrid

By Technology

·         Computer Vision

·         Deep Learning

·         Edge AI

·         Cloud Analytics

·         Others (Multi-Modal Sensors, etc.)

By Application

·         Intrusion Detection

·         Facial Recognition

·         Vehicle/Number Plate Recognition

·         Crowd Analytics

·         Retail Analytics

·         Industrial Infrastructure Monitoring

·         Others (Smoke Detection, etc.)

By End-User

·         Government & Public Facilities

·         Commercial

·         Industrial

·         Military & Defense

·         Others (Transportation, etc.)

By Region

·         North America (By Component, By Deployment, By Technology, By Application, By End-User, and By Country)

o   U.S. (By End-User)

o   Canada (By End-User)

o   Mexico (By End-User)

·         Europe (By Component, By Deployment, By Technology, By Application, By End-User, and By Country)

o   U.K.  (By End-User)

o   Germany (By End-User)

o   France (By End-User)

o   Italy (By End-User)

o   Spain (By End-User) 

o   Russia (By End-User)

o   Benelux (By End-User)

o   Nordics (By End-User)

o   Rest of Europe

·         Asia Pacific (By Component, By Deployment, By Technology, By Application, By End-User, and By Country)

o   China (By End-User)

o   India (By End-User)

o   Japan (By End-User)

o   South Korea (By End-User)

o   ASEAN (By End-User)

o   Oceania (By End-User)

o   Rest of Asia Pacific

·         Middle East & Africa (By Component, By Deployment, By Technology, By Application, By End-User, and By Country)

o   Turkey (By End-User)

o   Israel (By End-User)

o   GCC (By End-User)

o   North Africa (By End-User)

o   South Africa (By End-User)

o   Rest of Middle East & Africa

·         South America (By Component, By Deployment, By Technology, By Application, By End-User, and By Country)

o   Brazil (By End-User)

o   Argentina (By End-User)

o   Rest of South America



Frequently Asked Questions

Fortune Business Insights says that the global market value stood at USD 5.64 billion in 2024 and is projected to reach USD 18.33 billion by 2032.

The market is expected to exhibit a CAGR of 16.6% during the forecast period of 2025-2032.

The government and public facilities segment led the market by end-user.

Rising need for security and public safety to propel the market growth.

Axis Communications AB, Bosch Security Systems, Honeywell International, and Motorola Solutions are some of the prominent players in the market.

North America dominated the market in 2024.

The commercial segment is expected to grow with the highest CAGR over the forecast period.

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