Spot AI is building a platform to extract more value from organizational security video
Video surveillance cameras are an integral part of how many companies monitor their workplace spaces for security or operational reasons. One startup is emerging from stealth with funding for technology designed to make the video these cameras produce more useful.
Spot AI has built a software platform that "reads" this video, regardless of the type or quality of the camera that captured it, and makes the footage searchable for anyone who needs it, both by words and by individual frames. The company has been quietly growing its technology and customer base since 2018 and now has hundreds of customers and thousands of users.
Notably, its customers go well beyond early technology adopters, from SpaceX to the transportation companies Cheeseman, Mixt and Northland Cold Storage. Now that Spot AI is releasing its product more broadly, it is disclosing $22 million in funding.
The market gap Spot AI aims to fill is created by some of the older technologies organizations use today: for example, the huge number of video surveillance cameras, estimated at 70 million in the US alone in 2019, though that figure also includes public surveillance. Cameras today are used in workplaces, installed around building entrances, inside office complexes, in factories and on campuses to track both the movement of people and the state of inanimate objects.
The problem is that many of these cameras are very old analog systems, and whether the equipment is old or new, the video it produces is very basic in nature. They are built for single-purpose use, are not indexed, and older footage is erased. Indeed, surveillance camera footage is so ignored that people usually only realize how poorly something works when they actually need to look at specific moments. Some of the most sophisticated solutions available are very expensive and are unlikely to be adopted by the broader market.
On top of all this, video surveillance cameras have a very bad reputation. The backlash stems from how they are used in public spaces (as silent observers recording absolutely everything) and from how private security video is handled. Spot AI is entering the market with good intentions. The startup's thesis is that surveillance cameras matter, and the goal is to figure out how to use them better for more productive purposes, covering not only security but also health and well-functioning operations.
“If you make the video data produced by these cameras more useful and accessible to more people in the workplace, you turn it from a surveillance idea into a video analytics idea. This can help you make a wide range of important decisions”
Currently, the Spot AI system consists of three parts:
- A camera kit that the company offers as an option to any of its customers for free. These are five-megapixel IP devices designed to improve the quality of video streams. But the system can actually work with footage from any camera if needed.
- A network video recorder that captures video from all installed cameras. These are edge computers equipped with artificial intelligence chips that process, read and classify recorded video, turning it into data that can then be searched.
- A dashboard that lets users search the company's video by keywords or processes, as well as create frames and alerts on live streams to flag when something happens in the frame (for example, a door opening or a person entering).
The idea is that this part of the video service will become more sophisticated over time and add more features. Although there are a number of ways designed to help monitor connected devices, Spot AI's foundation is that its system is better suited to how connected and unconnected objects move through physical space.
“We don't deal in hardware. Our sole goal is to simplify access to video and its use. We charge only for software and give away all the hardware and cameras free if customers need them. We are betting that if we can help more customers get more from video, we can earn more from their business through software subscriptions”
When it comes to security, the company has its own approach built on a zero-trust architecture, which separates access between customers and requires multi-factor authentication for any access to systems.
“Like other technology companies, we constantly review, test and improve our cybersecurity. Our goal is to build an excellent web-based control panel that lets customers choose what suits them best. For example, cloud video backup is an additional feature that customers can use at no extra charge. The product works fully with private and local storage, already included in the subscription. This is especially useful for healthcare customers who have HIPAA requirements”
It is worth noting that Spot AI does not currently intend to sell public safety or government services: the company focuses exclusively on private enterprises and on the opportunity to rethink their investments in using surveillance cameras. For investors, the main message is how the company has built a technical platform useful enough to earn support to the greatest extent possible, including among non-technical customers.
“A stream of new users and companies is emerging that make decisions daily with their cameras. In an industry crowded with vendors, Spot AI's software-focused model is certainly the easiest choice for customers”
