May 15, 2025
10
min read

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:

  1. Existing infrastructure: If you already have ONVIF-compliant IP cameras, an AI NVR approach is more cost-efficient
  2. Scale: For small deployments, closed camera systems may be simpler, while larger installations benefit from AI NVRs
  3. Computing needs: AI capabilities require substantial computing power, which AI NVRs provide more abundantly
  4. Future-proofing: AI NVRs offer better upgrade paths without replacing cameras
  5. Cost structure: Balance upfront costs against ongoing subscription fees
  6. 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

Blogs you may like

In our enterprise demo call our experts will advise you on

How you can reduce your security operations overhead cost by 80%
How we can prevent 90% of incidents for your end-customers
How we reduce operational burden and help you optimize
Book a Demo