Digital camera specialist Canon announced Friday that it is acquiring open platform video surveillance software company Milestone Systems. Canon Europe picked up the Denmark-based startup to diversify its offerings, specifically carving out a niche in the surveillance market. The company said that buying Milestone will “significantly enhance Canon’s software capabilities” in the sector. Milestone Systems was founded in 1998 and has since risen to a significant market share thanks to its XProtect software platform. The management software has been installed in over 100,000 systems worldwide, and is compatible with hardware from 150 vendors. Milestone posted revenues of $73 million in its 2013 fiscal year.
Some consolidation afoot in the world of enterprise video. Imaging giant Canon is buying Milestone Systems, a startup from Denmark that has developed software for video surveillance systems. Terms of the deal are not being disclosed, the companies say. Milestone, founded back in 1998, had raised $25 million from Index Ventures, and according to its latest financials, it posted net income of €4.6 million ($6.2 million) on revenues of €54.6 million ($74 million). The acquisition is being made through Canon’s European subsidiary. While publicly traded Canon has a recognisable brand in the consumer market for things like cameras and printers, it also has a strong line in enterprise products, covering things like imaging devices for particular verticals like the medical industry. The Milestone purchase will be used to build out a new market in this latter category. “Canon is aiming to take a leadership position in network video surveillance and we are making an important strategic investment today to realise our objective to expand in this market,” said Rokus van Iperen, President & CEO, Canon Europe, Middle East and Africa. “Together with Milestone, we can accelerate our growth by delivering new advanced products and solutions for new sectors, through new channels, to offer greater customer value. We are very excited about working with such a talented and innovative company and we welcome Milestone into the Canon Group.”
