IP cameras stream their data onto the network. Any device on the same network with the proper information (IP address of the camera and login credentials) can view/record that data. It's much easier to "share" an IP camera feed than it is to share an analog camera feed where you physically have to split the analog cable into multiple outputs.
PS - this is part of the reason why the "best practice" is to isolate any IP cameras from the rest of the network. Not only do we want to prevent the IP cameras from communicating with outside devices, we also want to limit access to the cameras as well.
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