This idea (a throwable ball with imaging and other sensors) and several prototypes have appeared on HN before, the first one around 2 years ago. This exact product has reached the HN front page in the beginning of 2013 [1].
I find it strange that none of the prototypes have actually managed to reach a production stage, given that the potential market - military, LE, emergency responders is (supposedly) there. Maybe the price point doesn't make much sense, given the usual (low) prices for fixed-focus camera modules - there is no need for very high resolution here, and the balls better be semi-disposable.
There are a few other designs (and patents associated with the concept) - [2], [3] and [4].
My opinion is that it's significantly more difficult for a startup to sell to military/fire departments/etc than to the general public. What could likely happen is that some big company with "good connections" will end up developing a similar product and get the market.