History of Axis Communications

How it all starts

Axis Communications was formally founded in1984 by Mikael Karlsson, Martin Gren and

Keith Bloodworth. The previous year, Martin Gren and Mikael Karlsson established the

company Gren & Karlsson Firmware offering consultancy services to the Swedish IT

industry. In 1984 they met Keith Bloodworth and the three entrepreneurs founded Axis. With

its technology base and business concept of always selling indirectly via a two-tiered model

in place, Axis was able to broaden its operations in the early 1990s to cover print servers and

the TCP/IP protocol in local area networks.

By 1987 Axis was exporting 95% of its production and the company rapidly expanded to

become the second largest global player, initially in IBM print connectivity and later in

Network printing.

Ever since 1984, Axis has stuck firmly to the same business concept. This has made Axis into

the global leader in network cameras and video encoders.Today, Axis is driving network

video development and sales and the company is providing a variety of network video

products to the market, facilitating a smooth transition from analog to digital solutions.

The history of Axis Communications

1984 – 1990: IBM Mainframe and minicomputer print servers

The first product was a print server that enabled connection of PC printers to IBM

mainframe 3270 networks and later to AS/400 minicomputers. With a European focus,

Axis grew to become worldwide #2 in this industry despite being the last entrant to the

market. This was achieved by having innovative products based on ASIC technology and a

clear business model where the company was always loyal to its partners. During this

period, Axis opened its first subsidiary located outside Boston in the US. Axis remained in

the IBM connectivity business until it finished in 2004 but by then the company had

already changed product areas several times.

1990 – 1995: A leader in networking technology for printers

When the internet was emerging, Axis was a pioneer in network connectivity using the

TCP/IP internet protocol and recognized that this was going to be used on a broader scale

in networks. With a focus on TCP/IP printing and later multi-protocol print servers -

another Axis industry first - the company grew at a rapid pace. During this period, Axis

released its first ETRAX chip. Offices were established in Asia where the company was

now focused. Axis also became #2 in this industry and the company is still known for its

reliable network printing technology.

History of Axis Communications

1995 – 1998: Network access to everything

During this period, Axis began to focus on making networks smarter, enabling more and

more hardware to be connected simply and economically to IP networks. The company

also decided to only work with open standards and avoid proprietary protocols. For

example, in 1995 the company successfully launched a network optical storage solution

and became the world’s leading supplier in this category.

The US business grew and sales offices were opened in Europe and elsewhere in Asia.

1996: The world’s first network camera

As the concept network access to everything accelerated, Axis launched the world’s first

network camera, the AXIS 200. Developed by Martin Gren and Carl-Axel Alm, the camera

featured an integrated web server, allowing video to be viewed remotely from any browser,

regardless of its location. The camera was originally intended for remote monitoring. The

application of the product was quite limited at the time and it was not yet suited for

traditional surveillance. However, further development and the use of ASIC technology

turned it into an industry changer by transforming the video surveillance industry from an

analog business into a modern network structure. Equally important was Axis’ decision to

retain its indirect sales model revolutionizing the way the CCTV industry operates.

1998 – 2002: The world’s first video encoder

Axis continued to extend IP connectivity to more types of hardware, such as the first video

encoder (1998), which could be easily integrated into existing analog CCTV systems. Video

encoders enable the extension of the life of an analog camera and can easily be put into a

network camera video system.

One major milestone was the introduction of the world’s most popular network camera, the

AXIS 2100 Network Camera, which held the top spot for five consecutive years!

Investment in these areas and in geographical expansion was boosted by the company’s

listing on the Stockholm Stock Exchange (2000).

2002 – 2009: The network video revolution

In 2002, the company saw the decline in network print servers and began to focus on

network video. Axis has become the #1 supplier in the world in this field due to many

successful product launches and innovations as well as the company's business model.

Axis became a global player during this period thanks to all its international offices and

partners all over the world.

By 2003, Axis had successfully transformed itself from a connectivity specialist into a

world leader in network video. In the security market, Axis has been driving the shift from

History of Axis Communications

analog to digital systems - a process, which is still underway. Axis became the leader and

standard-bearer in the network video market based on its know-how of developing core

technologies and products for network connectivity combined with its strong sales

channels and key partnerships. To place even more focus on convergence, Axis introduced

Axis Communication Academy, an initiative with the mission of educating the market in

the benefits of network video.

In the early 2000s, Axis introduced a remarkable series of innovative developments:

The Axis partner program was launched (2002)

Axis introduces the first network camera equipped with Power over Ethernet (PoE)

and the MPEG-4 compression standard (2004)

The use of CMOS sensors, a light-sensitive component in digital cameras, which

have the same function as photographic film in analog cameras(2004)

The HDTV-resolution network camera (2004)

H.264 video image compression (2008)

SMTPE-compliant HDTV cameras (2008)

The world's first Thermal network cameras (2010)

The first Pan Tilt Zoom HDTV dome cameras (2010)

The focus on HDTV with high image quality is one of the drivers of the shift from analog to

digital video surveillance since the image quality has improved, making life easier for people

in the security industry

2010 to the present and beyond

Axis is the global market leader in network video, and continues to promote open standards

and to drive the shift to network video in the security market. Axis' network video products

and solutions are used in a wide variety of sectors including retail, transportation,

education, healthcare, government, industrial and banking & finance.

The list of innovative network product launches continues to expand. Axis' Lightfinder

technology, which enables the world’s most light sensitive cameras, creates new possibilities

for the security industry and the introduction of Axis Camera Companion is an excellent

solution for small systems.

In 2013 Axis entered the physical access control market by introducing a network door

controller featuring built-in web-based software. The network door controller is a

complement to Axis’ existing portfolio of innovative network video products and creates

unique integration possibilities for partners and end users. To date more than 30.000 partners

have received training via Axis Communication Academy and 800 people have completed

the Axis Certification Program, which was introduced some years ago.

The journey continues

Today, Axis offers intelligent security solutions that enable a smarter, safer world. As the

History of Axis Communications

global market leader in network video, Axis is advancing the industry by continually

launching innovative network products based on an open platform - delivering high value to

its customers and carried through a global partner network. Axis has long-term relationships

with partners and provides them with knowledge and ground-breaking network video

products in existing and new markets.

Axis has more than 1,600 dedicated employees in more than 40 countries around the world,

supported by a network of over 60,000 partners across 179 countries. Founded in 1984, Axis

is a Sweden-based company listed on NASDAQ OMX Stockholm under the ticker AXIS. For

more information about the company see www.axis.com

For further information, please contact: Margareta Lantz, Manager, Corporate Communications & PR, Axis Communications Phone: + 46 46

272 1892, e-mail: margareta.lantz@axis.com

More information about Axis can be found at www.axis.com