Presented by Scott Schnell, President and CEO, VideoIQ Intelligent Video Surveillance – In Action

Challenges of Conventional IP and Intelligent Video Surveillance  Bandwidth requirements  Storage costs and management  Network or storage issues mean permanent video loss  High false alarm rate  Some have dozens per day  Calibration / tuning required – with seasonal adjustments Network BurdenFalse Alarms

Challenges of Conventional IP and Intelligent Video Surveillance  Mixture of cameras, storage systems, management software, network routers, analytics equipment  Equipment often from different vendors  Proprietary systems become future limited  Typically double the cost  Massive bandwidth required to support conventional systems puts strain on budgets Challenge to ManageCostly

Yesterday’s Reality  Most video surveillance systems have no one watching  High on-site costs  Video only viewed after crime  Review is tedious  Human guards incapable of watching cameras  In less than 20 minutes, human attention to video monitors degenerates to an unacceptable level  Events missed as guards look away, perform other tasks or fall asleep  Less than 5% of surveillance cameras monitored today  1 in 1000 crimes solved using video Passive Recording Difficult Investigation

Today’s Opportunity: Video Surveillance + Analytics = Prevention  Analytics-enabled cameras act as “digital guards”  Proactive and responsive  1st line of detection and crime prevention  Detection over 99%  Prevents crime better than guards alone  Costs a fraction of a guard  Enables local and remote monitoring

Why Video Analytics are Important Finding the 1% of Video that Matters The Power of Preventing Crime – Not Just Recording It The Cost of Network Bandwidth and Storage

Keys to Reducing Crime Number One Need for Crime Prevention: Early Warning  Detect intruders before they start climbing the fence  Before they are committed  Red line defines the region of detection desired

Keys to Reducing Crime Number One Need for Crime Prevention: Early Warning  Detecting early warning behaviors:  Crowd Formation  Loitering  Illegal Parking  Trespassing Burglars spotted on roof of shopping mall

Proactive Security Stops Crime The Second Need for Crime Prevention: Immediate Response  Intervention before the crime  Stopping incidents before they escalate into violence or theft Remote Guarding Center

Video Analytics VideoIQ Confidential  True object recognition  People  Vehicles  Boats  Suspicious objects  Powerful rules toolbox  Trespass  Direction of travel  Virtual tripwire  Crowd detection  Vehicle dwell time  Loitering alert  Multiple active rules per camera  Intelligent Video Breakthroughs  No calibration or tuning ever needed  Reliable accuracy even in difficult environments  System-wide object search

Remote Guarding is a Game Changer  Video analytics “watch” the site through surveillance cameras  Monitors all cameras, all the time  Detects people and vehicles as they cross the perimeter and into protected zones  Instantly transmits “marked” video alarm clips to remote monitoring station for verification and action  Live look-in with streaming video  Remote guard confronts intruders via two-way audio  Remote guard escalates to police if required, with live situation support Video analytics automatically identify suspect and highlight him in the video alarm clip Actual capture from a monitored car lot

Cost-Effective Proactive Monitoring  Traditional video: One operator watches cameras  With Intelligent Video: One operator watches 1,000+ cameras Remote Guarding Center in NJ

Storage at the Edge  Puts smart storage at/near the source – the camera  Minimum bandwidth and storage issues  “Smart” selection of storage resolution based on content  Maximum scalability and fault tolerance  Lowest bandwidth, cost, risk  Reduces single point of failure VideoIQ Confidential

Storage at the Edge Lowest Bandwidth, Cost, Risk Conventional IP Cameras PC IP NetworkCentralized NVR Old architectures have bandwidth issues, system-wide network and storage failure risks !! Edge architecture eliminates bandwidth bottlenecks and failure risks Intelligent Video Surveillance with Edge Architecture View Monitoring Station IP Network

Real-World Cases

Champions Auto Ferry  24 x 7 ferry, St. Clair River, Mich., close to Canadian border  Challenge:  Increase safety onboard, count cars travelling on ferries and help authorities identify people entering U.S. Illegally  Remote location on river, icy and wet conditions  Solution:  Intelligent video cameras installed on both mainland and island  Running on wireless mesh network  Cameras work in all weather conditions, day or night

Champions Auto Ferry  Result:  Installation completed in day and a half  Intelligent video cameras helping staff do daily audits of passengers, cars travelling on ferries  Storage at the edge architecture means minimal storage and bandwidth requirements  Cameras providing high resolution images in outdoor/day- night environment, including in bad weather  Enabling faster investigations for homeland security purposes

Malmo, Sweden Schools  School district in city of Malmo, Sweden  Challenge:  $6.5M (SEK) in damages over 5 year period; 600 panes of glass broken in 1 incident alone  Vandalism and arson attacks on rise since 2001 – unacceptable to city  “Archaic atmosphere” reduced safety and academic performance  Solution:  Video analytics deployed as part of video surveillance implementation  Analytics system serving as “front line” for schools which have no on-site security guards  Continuously searches for threats and instantly alerts remote guards

Malmo, Sweden Schools  Result:  Reduced costs by an astounding 90%, saving over $3M SEK  False fire alarms also dropped dramatically  Improved classroom performance and sense of safety

Onondaga Central School District  Elementary school district in update NY  Challenge:  Provide proactive protection for students and staff in light of increasing school violence nationwide  Wanted a solution that did not require a lot of overhead  Wanted all-in-one-solution that didn’t require specialists to implement and maintain  Wanted something that worked with existing network infrastructure  Solution:  School administration applied for COPS (Office of Community Oriented Policing Services) grant offered by U.S. Department of Justice to help improve school security throughout the country  Successfully obtained grant to cover 50% of cost of security system  Intelligent video cameras installed across all of district’s schools

Onondaga Central School District  Result:  Cameras monitor for security threats and sends video alerts to school personnel’s and cell phones so they can immediately evaluate and respond  Object Search feature lets school personnel search for a person or car in seconds  Built-in DVR provides simplicity and all- in-one solution  Minimal storage requirements saving money and valuable resources  Plans to increase number of cameras in coming year due to success of project

City of Birmingham Case Study  Largest city in Alabama  Challenge:  Decrease crime in city and outdoor public places  Solution:  2008: Systems integrator hired to install surveillance cameras across city  Trained professional agents remotely monitor cameras from their control center  Remote guards cost-effectively extend reach of existing security staff  Systems integrator installed intelligent video cameras  Ability to monitor for and detect crowds  Built-in audio over IP – remote guards can use loudspeakers to inform intruders they've been detected – driving them off and preventing crime  Ability to capture images and store them at the edge network

City of Birmingham Case Study  Result:  Video analytics instantly detect security threats, notification sent to remote guards  Remote guards evaluate the situation and dispatch police immediately to prevent crime and keep city streets safe and secure  System expansion in 2009 due to success  Birmingham Overall Crime Rate Drops 16% (Q1 2009)  Homicides dropped 25%  Auto theft dropped 21%  Statistics from The Birmingham News, April article

Chemical Plant  Originally used 55 guards for traditional manned surveillance – annual cost of $3.5 million  Wanted to protect plant perimeter, hazardous material  220 intelligent video cameras installed – total cost < $1 million  Guard force reduced to 5  Saving $3 million annually & improving protection

Auto Dealerships  Remote Guarding protecting 60 auto car lots  60%-70% paid for on-site guards previously  All had continual problems with theft and vandalism  Remote Guarding reduced their monthly costs by 75%+  Not a single case of theft or vandalism (over 3 years)

Illegal Dumping  Goodwill Industries problem  $M’s spent to get rid of dumped garbage or spoiled donations  Analytics used for detection of vehicles and people  First level warning via automated audio model  If people don’t leave, second level alarm reports to remote guard  Initial results show audio reduces problems by 80-90%  3-store system now rolling out to 20+ in one region alone

Construction Sites  Over $1B in losses annually, with less than 10% ever recovered  Copper theft growing rapidly  Arson can cause huge losses  Major and small equipment theft, and even diesel fuel theft  Analytics detect intruders and remote guards respond immediately – powerful and effective solution

Changing the ROI Equation for Video  Prevent crime at ¼ the cost of site-based guards  Investigation in ½ the time  Better quality video recording for important events  Solve bandwidth & network problems for IP cameras  Finally a practical solution for outdoor protection  Lower maintenance costs than conventional video  Intelligence at no added cost  As easy to use as traditional motion detection Better intelligence, quality and reliability at the price of a conventional system 28

Q&A

Contact: Scott Schnell President and CEO, VideoIQ Thank You