Closed Camera VS AI NVR VS Port Forwarding (Hybrid vs Cloud Only)
With video surveillance generating up to 20GB of data per camera each day, selecting the right storage approach is critical for balancing cost, security, scalability, and AI capabilities. This guide breaks down the pros and cons of cloud-only, hybrid-cloud, and AI NVR systems—helping you make smart, future-proof decisions for your security infrastructure.
Data Storage Considerations
Before diving into the specific approaches, it's important to understand the data storage requirements for security cameras:
A typical IP camera with 2000 kbps bitrate generates approximately 20 GB of data per day
With optimizations like motion-based recording, this can be reduced to 10-15 GB per day
Most businesses require 30-day storage, though some industries need 60-90 days
Storage location affects cost, security, and accessibility
Cloud-Only Solutions
Pros:
No on-premises hardware to maintain
Easily accessible from anywhere
Automatic updates and feature additions
Simplified deployment
Potentially unlimited storage capacity
Cons:
Significant storage costs: Cloud storage can cost approximately $0.023 per GB per month, which adds up to $10+ per month per camera for 30 days of storage
High bandwidth requirements (15+ GB per day per camera)
Depends on reliable internet connection
Ongoing subscription costs
Data security and privacy concerns
Latency issues for real-time AI compute
Limited by upload bandwidth constraints
Hybrid-Cloud Solution
Hybrid-cloud approaches that provide the best of both worlds:
Low-cost, low-bandwidth video storage on-premises
Optional cloud backup for important cameras
Unlimited cloud archives for critical video clips
Flexibility to choose storage duration (30/60/90+ days)
AI compute can be scaled with local hardware
Closed Camera (Hybrid Cloud)
example:
closed camera (hybrid cloud) example
Pros:
camera is fully self-sufficient, you don’t need any middle man such as NVR
for smaller locations, you have to justify the cost of NVR.
we control the hardware
fast firmware upgrades
Cons:
if we choose this approach, we are creating a lock in mechanism that makes it hard for using existing cameras
you have to work with SD cards which, could be removed from the cameras at any given point.
we can end up in a situation where you need to replace camera to get additional features
camera needs to be more expensive when it needs AI chips and not only ONVIF compliance.
Needs firmware engineering experience or SDKs.
Examples: Verkada, Rhombus Systems
Port Forwarding (Cloud Only)
This approach involves configuring a router to forward specific ports to the camera, enabling direct access to the camera's RTSP stream from the internet
Pros:
No additional hardware required beyond existing cameras and router
Works with a wide range of camera models that support RTSP (ONVIF)
Cons:
May not work with all types of internet connections (carrier-grade NAT issues)
Requires ongoing management of dynamic DNS
Some ISPs or corporate networks may block necessary ports
Scalability issues as each camera needs its own unique external port
Introduces latency for AI-heavy features
Example: CamCloud, Reolink
AI NVR (Hybrid Cloud)
Storage control: you have the full control over storage →can sync/upload to cloud with full timelines
Streaming quality: you can have higher quality streaming
AI compute: generally we should have sufficient hardware for 8 cameras with some reserve in compute for expensive application. If you need more cameras or compute, you can buy additional hub or rack.
Existing IP Cameras: If you already have ONVIF-compliant IP cameras, then using an NVR that can support any IP camera will be more cost-efficient.
Pricing: Closed camera systems are typically more expensive than ONVIF-compliant IP cameras
AI NVRs offer better upgrade paths without replacing cameras
Cons
You have to justify higher up front cost
Examples: Coram Point, Coram AI
Hardware Options:
Mini: Supports up to 4 camera streams
Medium: Supports up to 8 camera streams
Large (L1): Supports up to 16 camera streams
Large (L2): Supports up to 24 camera streams
Large (L3): Supports up to 32 camera streams
Core Features of Modern AI Video Surveillance
Advanced systems should offer:
Multi-camera playback from both local and cloud storage
Easy switching between recorded footage and live feeds
Metadata overlay on video timeline
Search capabilities by face, time, and attributes
Future capabilities like text-based search and person tracking
Data protection options
Efficient bandwidth usage
Conclusion
When selecting a video surveillance approach, consider:
Existing infrastructure: If you already have ONVIF-compliant IP cameras, an AI NVR approach is more cost-efficient
Scale: For small deployments, closed camera systems may be simpler, while larger installations benefit from AI NVRs
Computing needs: AI capabilities require substantial computing power, which AI NVRs provide more abundantly
Future-proofing: AI NVRs offer better upgrade paths without replacing cameras
Cost structure: Balance upfront costs against ongoing subscription fees
Data security: Consider where your data is stored and who has access to it
Feature / Aspect
Closed Camera (Hybrid Cloud)
AI NVR (Hybrid Cloud)
Port Forwarding (Cloud Only)
Hardware Requirements
Camera with built-in storage (SD card)
NVR device + standard IP cameras
Existing camera + router configuration
Camera Compatibility
Only vendor-specific cameras
Works with any ONVIF-compliant IP camera
Works with any ONVIF-compliant IP camera
Initial Cost
Higher per-camera cost
Higher upfront cost for NVR hardware
Lowest initial cost
Ongoing Costs
Cloud processing fees only
Optional cloud backup fees
High Cloud processing fees
Cloud Storage (8 cams/month)
Local: 0$ (SD cards) Cloud: $110
Local: 0$ (HDD) Cloud: $110
Local: N/A Cloud: $110
Cloud Compute (8 cams/month)
Local: 0$ (limited AI TOPS) Cloud: $17.2
Local: 0$ (scales with hardware) Cloud: $17.2
Local: N/A Cloud: $17.2
AI Processing Power
Limited by camera hardware
High
High but limited by latency
Storage Location
On-camera (SD card) + cloud
Local NVR + optional cloud
Cloud buckets, HDDs
Typical Storage Capacity
Limited by SD card
30/60/90+ days locally, unlimited cloud
Unlimited cloud only
Future-proofing
Requires camera replacement for upgrades
Add new AI features without hardware changes
Limited real-time AI features
Scalability
Easy to add new (vendor-specific) cameras
Medium (depends on hardware)
Each cam needs unique port; limited scalability
Remote Access
Cloud and local
Cloud and local
Cloud only
Security Risks
SD card can be removed
Secure with proper network setup
High risk if misconfigured
Bandwidth Requirements
Optimized for lower bandwidth
Flexible (local optional)
Varies widely
Vendor Lock-in
High (proprietary)
Low (standard IP cameras)
Low (standard protocols)
Best For
Small sites (≤4 cams), non-technical users
Medium to large sites, existing IP cameras
Technical users
AI Features
Basic face detection, person tracking
Advanced object/face detection, tracking
Depends on external processing
Video Quality
Limited by bandwidth
Higher quality (local storage)
Depends on camera + connection
If you are looking for a system that meets all of these criteria - take a look at our AI NVR here! https://cuid.tech/nvr