CHICAGO, Aug. 5, 2022 /PRNewswire/ -- Video Encoder Market is estimated to reach USD 3.3 billion by 2027 from USD 2.3 billion in 2022 with a CAGR of 7.6% from 2022 to 2027, according to a new report by MarketsandMarkets™. The major factors driving the growth of the video encoder market include ease of connecting analog cameras to networks, the use of cloud services to store a large amount of data, and the adoption of high-efficiency video coding (HEVC) standards for video encoding. Key players in the market focus on research and development (R&D) to enhance the functionalities of the video encoders offered. The growth of mobile-streaming videos and the optimization of network bandwidth for cable operators are also creating immense opportunities for the video encoder market the video encoders market has been segmented based on number of channels, type, application, and region.

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Rack-Mounted Video Encoders Expected to Register Higher CAGR During Forecast Period

The market for rack-mounted video encoders is expected to grow at highest CAGR between 2022 and 2027. The adoption of standalone video encoders has increased in recent years, as they are cost-efficient and beneficial in situations that only need a few cameras to be connected. However, the rack-mounted video encoders segment accounts for a larger market share. This segment is also projected to register the highest CAGR during the forecast period. These video encoders are useful in instances where large installations with analog cameras are required.

1-Channel Video Encoders Expected to Hold Largest Market Share Throughout Forecast Period

The market for 1-channel encoders is expected to hold the largest share of video encoders market throughout the forecast period among security robot end users for UAV. Single-channel encoders are integral components of broadcast equipment, especially in the case of events with a large viewing audience. As the trend is shifting from standard-definition (SD) toward high-definition (HD), ultra-high-definition (UHD), and 4K, the significant demand for highly advanced video encoders is expected to sustain in the coming years. With the adoption of the HEVC standard, the cost of broadcast video encoders may increase further. This is expected to contribute to the large share of the segment, by value, during the forecast period.

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Video Encoders Market in North America Expected to Hold Largest Market Share Throughout Forecast Period

The market in RoW is expected to grow at the highest CAGR during the forecast period. The adoption of security cameras is increasing to enhance safety in these regions. Globalization has increased the demand for high-quality security services but with limited investments. Thus, using video encoders for the existing analog systems is proving economical and creating several growth opportunities for the video encoder market in RoW. However, in 2022, North America is estimated to be the largest market for video encoders. Major drivers for the video encoder market in this region are collaborations between the government and network arenas, institutional partnerships between video encoder manufacturers and research collaborations, and large-scale investments in cloud-based services. The large economy, strong high-tech and media sector, strong connectivity, and highly educated population are some of the other factors driving the video encoder market in North America.

Major companies operating in the video encoders market include Hikvision (China), VITEC (France), Harmonic (US), Motorola Solutions (US), and CISCO (US).

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