Owing to the low-price competition initiated by Chinese players, ASP (Average Selling Price) of Taiwanese IP cameras - both professional and consumer IP models - slipped to US$107 in 2014, down 17.8% year-on-year. Despite the decrease in ASP, the industry's shipment value however still managed to grow at 9.8% year-on-year in 2014.

"Two major factors affecting the development of Taiwanese IP camera makers in 2015 are the rising threats from Chinese competitors and growing popularity of smart home solutions," says Hsu.

"And consumer IP cameras are expected to be major engine of growth for the industry."

Hsu estimates that the shipment value of the industry in 2015 will stay around the same as last year, given the fact that ASP is going to slip further this year.

Figure 1