I'd be interested to see what the op ex is for a company running this sort of business. You're storing lots of video, which isn't exactly cheap, and need to do so in a way that allows for cataloging, backup, and durable references to the data. On top of that, these cameras are transmitting data in a way that doesn't have a huge antenna sticking off of them, so there's almost certainly some sort of data plan to work with Verizon, AT&T, or T-Mobile in play, transmitting some sort of video data over the network, either as a file transfer or streaming depending on the use case. That's another expense.
For every big city that's signing one of these contracts, there are probably a dozen small towns or villages also signing one with significantly more pressure on the government to keep budgets small. I suppose the big cities could be subsidizing the small towns.