Why is it called an IP camera?

IP cameras gets this name because it uses the special Internet Protocol (IP). 

Regular old cameras are a bit silly. They just shoot a raw video signal through a wire, and a separate computer box has to do all the thinking. But an IP camera has a tiny, microscopic computer brain hidden right inside its plastic shell.  Because it has its own brain and speaks the native language of the internet, people named it an "IP camera." It's basically a tiny computer with a giant eyeball lens attached to the front!

Find out how this network setup operates offline by reading about whether an IP camera can work without internet.