1. Camera Technology Presentation This information is confidential and is not to be provided to any third party without Vicon Industries Inc. prior written consent.

2. Topics for discussion • What do we see in the market? • Hot topics • Vicon Products • Discussion on what can the transition to IP

3. Analog versus network Cameras • The majority of manufacturers report 90% of camera sales are still analog • High end projects are experiencing the largest shift towards IP

4. Market Trends • IP video surveillance product sales will increase by 200% total between 2010 and 2012, significantly disrupting and overtaking analog CCTV sales. • Mainstream 720p/1.3MP cameras cut into the cost advantage of analog cameras • Mainstream hybrid DVRs remove the barriers of legacy deployments to migrate to IP • Maturing IP camera standards will cut costs and reduce complexity

5. Megapixel Cameras • Megapixel camera growth has been estimated by IMS to be over 100% per year between 2009 - 2012. • All major providers of cameras now have megapixel cameras in their portfolio • Megapixel cameras allow users to cover more area with a single “VMS camera” license. • Significant drops in pricing reduces gap between VGA and HD cameras.

6. Resolution Comparison 5MP- 16.4x 3MP- 10x 2MP- 6.25x 1.3MP- 4.25x Analog

7. Megapixel versus Analog

8. Cropping of the image on the sensor Horizontal • Pixels can be cropped off at the sensor • Only required data is sent conserving bandwidth and storage Vertical Original

9. How many pixels do you need?

10. Hot Topics: H.264 • There is a lot of hype surrounding H.264 • Decoding • MPEG4 versus H.264 • VGA versus Megapixel

11. Hot Topics: H.264 versus MPEG-4 H.264 MPEG4 JPEG

12. Hot Topics: Decoding H.264 • Typical PC can decode only two H.264 D1 30 fps streams simultaneously. • The same PC can decode 10 MPEG4 D1 30 fps streams

13. Hot Topics: On Board Storage • Key Benefits • Network fault tolerance • Redundant video storage at the edge • Rapid access to critical video evidence • Automated video recovery • These benefits can only be realized if the VMS is integrated with the camera archives

14. Hot Topics: On-board analytics • Camera manufacturers are starting to embed analytics into the cameras • People Counting • Virtual Trip Wires • License Plate Recognition • Unfortunately these capabilities are not integrated into the video management system

15. Hot Topics: PSIA and ONVIF • With the rapid expansion of IP camera offerings by incumbent manufacturers and the ongoing development of industry specifications (ONVIF/PSIA), the video surveillance industry is changing. • Over the last few months, public validation and momentum has been swinging towards ONVIF

16. Hot Topics: Complex software license schemes • The majority of NVR solutions sell “per camera” software licenses • Each camera requires a complex licensing procedure • Replacement cameras typically require technical support from manufacturer in order to replace the defective unit. • Vicon cameras do not require a license to operate within ViconNet.

17. Vicon Network Cameras

18. Network Block Cameras NEW

19. MP955IR Bullet Network Camera • 1.3 Megapixel (1280x1024) • 8 fps at full resolution • 3.3 to 12mm lens • POE • 24 IR Illuminator (66 ft effective range) • MPEG4 and JPEG Compression formats

20. 900 Series Network Dome Cameras • Network cameras specifically designed for use in ViconNet projects. NEW NEW

21. 2 Megapixel Cameras NEW NEW • 2-megapixel CMOS Sensor • 3~9 mm Vari-focal, Auto-iris Lens • Removable IR-cut Filter for Day & Night Function • Real-time H.264 High Profile, MPEG-4 and MJPEG Compression • Multiple Streams Simultaneously • Video Cropping for Bandwidth Saving • Built-in 802.3af Compliant PoE NEW NEW IR LEDs (Special Order)

22. 2 Megapixel Camera Sample Image • Electronic Pan/Tilt/Zoom is a useful feature when there is enough detail in the source video. Outdoor Dome 4x

23. Network Roughneck Dome Cameras • High-impact dome cameras designed for extreme environments • Advanced feature integration with ViconNet Video Management Software • 30 FPS at 4CIF (NTSC) MPEG4 • In-ceiling and pendant mount adapters available Surface Mount Roughneck

24. Surveyor Dome Cameras • Subset of PTZ camera line • Analog (Coax/UTP/Fiber) and Network models • Comprehensive range of mounting accessories • Clear, smoked, chrome, and gold domes

25. Surveyor Mini PTZ DomeNEW • Message • The Surveyor Mini is the smallest, high performance PTZ dome on the market that offers the robust features and functionality of a SurveyorVFT in a compact, cost effective package. • Sales Bullets • Small Profile • High Performance • Low Cost

26. Surveyor Mini Specifications • Auto-focus, high resolution, day/night camera 10x optics • 570 TVL Lines (maximum) resolution • Full Frame Rate, 30 IPS at 4CIF: H.264 or MPEG4₁ • Auto Flip Dome Rotation • Privacy zone masking - 32 • 24V AC Power • Built-in surge protection for lightening strikes • Outdoor, indoor, pendant, surface, and flush mount modules • -40⁰ to 132⁰ F temperature range • Aesthetically similar to SurveyorVFT Series Note 1: Vicon uses an optimized version of MPEG4.

27. Vicon Open Platform integration with 3rd party cameras • Seamless integration of analog and IP technologies into a single interface • Integration of 3rd party cameras is fundamental component of Vicon strategy • Vicon will provide deeper integration of features into house brand cameras.

28. Discussion • What types of capabilities do you see important for adoption of network cameras • What feature(s) do you want Vicon to offer you in future products? • What obstacles prevent your customers from using network cameras?