How OEM Camera Manufacturers Build Custom IP Cameras

Table of Contents

Introduction

A security brand usually does not make their own camera hardware. Most brands partner with ODM and OEM manufacturers who design and build the hardware for a particular product. According to IHS Markit’s video-surveillance market research, approximately 70% of IP video surveillance products sold worldwide are built on OEM or ODM platforms rather than developed entirely in-house. If you are a security brand planning on launching a new IP camera, this fact makes the process of understanding the implications of this particular solution critical.

This article explains the process of making a custom IP camera from start to finish and what you should consider before teaming up with a manufacturing partner. It also explains the role of an OEM camera manufacturer.

What Is an OEM Camera Manufacturer?

An OEM camera manufacturer designs and builds cameras or camera components that are sold under another company’s brand. This approach is particularly useful when a brand needs hardware designed around specific performance, connectivity, or deployment requirements, as explained in how OEMs develop custom camera hardware.

How OEM manufacturing differs from ODM and white label manufacturing

Although these terms are similar, OEM, ODM, and white-label manufacturing are different business models. An OEM camera starts with the end user’s specifications. By contrast, an ODM (original design manufacturing) camera starts from a generic design that is then altered for the end user. Finally, white label cameras are ready to ship, off-the-shelf cameras that get branded with a new logo and packaged in end user specific branding.

The main difference between these models is the level of customization they offer. An OEM camera manufacturer can modify both the hardware and software to meet the customer’s requirements. With white label cameras, flexibility is very limited due to the design that cannot be altered.

Why businesses choose an OEM camera manufacturer

Most major brands outsource their OEM camera manufacturing. Building an in-house engineering team and firmware framework would be expensive and time-consuming. The reason many successful Brands Choose this model, and an imaging manufacturer who is experienced with image sensors, ISP (Image Signal Processor) tuning, and embedded vision can shorten an otherwise long and arduous design process, measured in years, to a much shorter cycle measured in weeks or months.

Industries that rely on OEM camera manufacturers

Security integrators, smart cities, industrial automation, health tech, and retail analytics each use OEM camera manufacturers. All rely on a custom, purpose-built IP camera that meets their need far beyond something generic off the shelf.

Build a Custom IP Camera for Your Brand
From camera hardware and sensors to firmware, ISP tuning, and embedded vision, get an IP camera engineered around your exact requirements.

What Is a Custom IP Camera?

A custom IP camera is designed to address specified needs rather than a standard camera which is built on a fixed, unmodified design. Customizable features on a camera may include the choice of sensor, optics, enclosure, firmware, and the capability for AI processing.

Key components of a custom CCTV camera

A custom IP camera typically includes an image sensor, lens, image signal processor, system-on-chip (SoC), firmware, AI-processing capabilities, PCB, network interface, and mechanical enclosure. Depending on the required resolution and processing capability, the design may use different types of embedded vision camera modules.

Standard IP cameras vs custom-built IP cameras

A standard IP camera has firmware and resolution built for a broad audience. This type of camera is best for general lighting and AI cases. A custom IP camera is built for a specific deployment with detailed lighting, a particular AI case, a specified connectivity, and a regulation case for a given region. This involves a tradeoff. Standard IP cameras will save you money, but you will have so much competition. Custom IP cameras will cost you more initially, but you can focus on your advantages after deployment.

Common customization options for OEM customers

OEM customizations of security systems usually involve making changes to in-built sensors to modify resolution and low-light behavior, lenses of various focal lengths and field of view, range of IR illuminators, on-board AI for license plate recognition or people counting, the protocols they support (ONVIF, RTSP, proprietary), the material from which the housing is made, as well as the ingress protection rating (IP66, IP67), and the power supply design (PoE and battery operated).

How OEM Camera Manufacturers Build Custom IP Cameras

These stages are usually coordinated through a complete camera design engineering workflow that connects hardware design, firmware development, sensor integration, ISP tuning, AI processing, prototyping, and production validation.

Understanding customer requirements

To begin, review customer requirements, which include the deployment environment, necessary image quality, network infrastructure, AI integration, flexible budget, and anticipated production level. These elements determine engineering directions. As such, manufacturers who rush this step build a camera in need of costly reworks.

Hardware platform selection

Next, the manufacturer selects the hardware platform based on an SoC (System on a Chip) offered by one of the following vendors: Ambarella, Hisilicon, Innofusion, or other similar vendors of embedded vision chips. The selection depends on the required video-encoding formats, AI-processing performance, and overall power budget.

Camera sensor and lens selection

Image quality is determined by sensor and lens selection. Manufacturers consider sensor size, pixel size, dynamic range, and low-light performance. These factors must be evaluated together with the selected lens because the sensor and lens directly influence one another. Sensors and lenses are paired together, so the range of options for sensors and lenses are considered together.

PCB and mechanical design

Manufacturers design the PCB and mechanical housing while addressing thermal management, vibration resistance, and weatherproofing requirements.

Firmware and software development

Firmware development includes the control logic that allows the camera to respond to configuration commands. It includes the design of the boot sequence, video encoding pipelines, network stack integration, and even the logic of how the camera communicates with a host over the network. Many of an IP camera’s behaviors, and thus, differentiating design features, are defined here.

ISP tuning for image quality

The Image Signal Processor (ISP) converts raw sensor data into a usable video stream. This processing pipeline applies adjustments such as white balance, noise reduction, exposure control, and wide dynamic range. Poorly tuned ISPs can cause cameras using the same sensor to produce images with significantly different levels of quality. Professional image tuning and camera testing services can help validate image quality across lighting conditions and real-world deployment scenarios.

AI and embedded vision integration

The camera manufacturer integrates embedded-vision modules into the SoC to enable on-device motion detection, object classification, and other forms of analytics.

This work is a balance between the trade-offs of the hardware under consideration that determines the models’ accuracy.

Prototype development and testing

Design work is completed, and prototypes are manufactured and tested on production requirements for image quality, networking stability and performance, and thermal and mechanical durability with real-world testing.

Mass production and quality assurance

During this last step, the validated design is moved to mass production with quality assurance checks at component sourcing, PCB assembly, firmware loading, and final functional testing before units are shipped.

Ready to Build Your Next Custom CCTV Camera?
Partner with an experienced OEM camera manufacturer to turn your requirements into a production-ready IP camera solution.

Key Features Businesses Can Customize

An OEM camera manufacturer typically allows customization across the following areas:

Image sensor and resolution

Sensor resolution determines image detail, and the amount of data needed to be transmitted. Utilities that use facial recognition or license plate viewing require a higher sensor resolution and a larger sensor than general area viewing.

Lens options and field of view

Depending on your choice of lens, you get to choose how much of an area you want to view, and the level of detail you get with that viewing. A wide-angle lens would be useful for an open area, while a lens with more focal length and magnification would be better for perimeter viewing and detail in the area viewed.

IR night vision and low-light performance

Performance in low light situations is dependent on how well the components of the camera (IR LEDs, sensitivity of the sensor, and noise in the ISP) work together as a unit. A custom IP camera built for nighttime outdoor viewing must be analyzed together as a system.

AI analytics and edge computing

Edge-based AI enables cameras to perform detection and classification with minimal latency while reducing or eliminating the need to transmit video to a remote server. This is a game changer on its own, but when coupled with the time-sensitive nature of many real-time applications like detection of criminal intrusion, Edge-based AI analytics Solutions can provide enormous value.

Connectivity and networking options

Customizations allow for selection of protocol compatibility (ONVIF, RTSP) and cloud integrations along with the selection of physical connectivity including PoE, wireless, or even cellular as a failover for sites with unstable/no wired infrastructure.

Weatherproofing and enclosure design

Each deployment environment dictates the design of the enclosures. Outdoor deployments usually require not only an IP66 or IP67 rating but also the use of material and components that can withstand the UV exposure and maintain operational integrity over the lifespan of the enclosure.

The Role of Embedded Vision in Modern IP Cameras

Embedded vision has shifted much of the intelligence in an IP camera from centralized servers to the device itself, changing what a custom IP camera is capable of on its own.

What is embedded vision?

Embedded vision refers to running computer vision algorithms directly on a camera’s onboard processor rather than sending video to an external server for analysis. This requires the SoC to handle both video encoding and AI inference within a limited power and thermal budget.

Benefits of embedded vision for smart surveillance

Analyzing data locally consumes less bandwidth and reduces the time it takes for a real-time alert. Additionally, a device can process data locally to respond to alerts while the network is not stable. Local data analysis reduces the reliance on cloud computing (and the associated costs) for large-scale deployment.

Embedded vision applications across industries

Retailers use embedded vision for foot traffic analysis and shelf monitoring. Manufacturers use it for defect detection and safety compliance on production lines. Cities use it for traffic flow analysis and incident detection. Healthcare facilities use it for patient monitoring and access control. In each case, the underlying requirement is the same: analytics running close to the point of capture rather than after a network hop.

Advantages of Working with an OEM Camera Manufacturer

Faster product development

An established OEM camera manufacturer already has validated hardware platforms, sensor libraries, and firmware frameworks. Reusing this foundation cuts development time significantly compared to starting a camera design from a blank sheet.

Lower development costs

Sharing engineering infrastructure and supply chain relationships across multiple clients lets an OEM camera manufacturer offer lower per-unit development costs than a brand would face building an internal hardware team from scratch.

Brand ownership and product differentiation

Even when OEM manufacturing is involved, a brand still owns its product identity. Behaviors of firmware, features, and even the industrial design can be modified to ensure that the final custom IP camera is not a copy of a template.

Scalability for global deployments

Brands do not have to build or manage relationships with factories once a manufacturer with established production lines is able to move towards prototype runs and even mass productions of tens of thousands of units.

Industries Using Custom CCTV Cameras

Each industry has distinct requirements for CCTV technology, from ruggedization to advanced AI features.

  • Smart cities and public safety
    LPR, crowd analysis, and long-term outdoor durability across different climates are some of the features municipal deployments are looking for in their cameras.
  • Industrial automation and manufacturing
    In order to withstand the high levels of vibration in a factory environment, cameras are often used in combination with machine vision for quality control and safety monitoring along production lines.
  • Retail and commercial security
    In commercial and retail settings, raw image resolution isn’t as important as people counting and loss prevention. They are also looking for systems that integrate their point of sale (POS) systems.
  • Healthcare and hospitals
    Healthcare systems require access control and patient monitoring systems while also addressing medical system needs for privacy and data safety.
  • Transportation and logistics
    Transportation and logistics systems are looking for cameras designed to withstand weather and temperature extremes, combined with GPS and fleet management systems for use on vehicles.

How to Choose the Right OEM Camera Manufacturer

When choosing a manufacturer, brands must consider the balance between the quality of the product and the time it takes to produce a custom IP camera.

  1. Evaluate engineering and R&D capabilities
    Include potential manufacturers’ in-house capacity in hardware, firmware, and ISP tuning. Outsourcing core engineering work extends both coordination and time needed for required iterations.
  2. Check manufacturing and quality standards
    Ensure certifications, audit factory records, and statistically process control with defect data. Production consistency is better governed by these indicators than a sales pitch.
  3. Assess software and firmware expertise
    Firmware quality determines long-term product reliability and how easily new features can be added after launch. Ask examples of past firmware customization work, not just hardware specs.
  4. Look for embedded vision and AI capabilities
    If AI analytics are part of the roadmap, confirm the manufacturer has direct experience integrating and optimizing vision models on the specific SoC being considered, not just general AI familiarity.
  5. Consider long-term support and customization
    Camera products need firmware updates and support well past launch. Confirm the manufacturer offers ongoing engineering support rather than a one-time build-and-ship arrangement.
Conclusion

Choosing the correct OEM camera manufacturer can determine the speed and quality of a custom IP camera in the marketplace. Along with sensor selection, each engineering decision relating to firmware and embedded vision will impact the overall reliability of the camera. Silicon Signals collaborates with clients as a camera design company offering design and development of cameras, hardware, firmware, and embedded vision.

About the Author

Picture of Mitul Tank
Mitul Tank
Mitul Tank brings 12+ years of product development expertise, specializing in embedded vision and camera systems. He delivers solutions across architecture design, image pipeline optimization, BOM cost reduction, and multilayer PCB design taking products from concept to mass production.