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Analysts See Growing Pains, Gains Ahead

For starters, marketplace expansion is expected to be stunted as it emerges from the recession. Still, IP video, systems integration and home controls are among industry growth areas. SSI speaks with half-a-dozen analysts to get their take on what’s in store for the electronic security industry in 2011.

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Among the transactions, in December Motorola Inc. bought 4Home, which provides connected home services such as energy management, security and monitoring, and media management. AT&T acquired Xanboo, which was one of the original home automation players, providing energy management and monitoring services. And in November, competing broadband home management providers iControl Networks and uControl agreed to merge. Both companies offer home monitoring, security and energy management products accessible through the Internet and mobile phones.

“What this all points to is IP-based connected home services is starting to happen,” says Ablondi. “We are expecting some announcements early in 2011 from some of these firms. Comcast is already in the market with an offering [in Texas]. We know that there are others seriously exploring the opportunity as well.”

Regardless of the looming threat from outside vendors, traditional alarm dealers are well positioned to begin offering similar services as well, Ablondi says.

“Dealers have a relationship with consumers. If they take heart and adopt new technology they can expand their market. This is something new they can put in their portfolio and go and sell,” he says.

ADT recently entered the mass-marketed home control ranks with its Pulse offering, which is based on a platform by iControl and offers remote management of security cameras, thermostats and limited lighting controls.

Parks Associates research suggests the traditional residential security market could be expanded by as much as 5 to 10 percent during the next five years by layering on these new types of offerings.

Rodney Bosch is Managing Editor of SECURITY SALES & INTEGRATION Magazine. He can be contacted at [email protected].

Readers Share Views on Key Trends for 2011

Roy Fleshman
Northside Security Inc.
Clarksville, Ind.

“The economy recovering will be the most important factor. This will help the industry as a whole, and especially help in getting small businesses back on their feet and do more hiring by midyear. It will provide more money for expansion as well.”

David Boisvert
North Attleborough, Mass.

“The implementation of the iPad. The ability of a client to be able to not only control their security system from the iPad, but also view what is going on at their home or business is a huge plus and a difference maker when comparing systems.”

John M. Feeney
VinTech Digital Security

“Streaming video (analytics). We need to start using the video content for other uses, either for predictive measures or marketing.”

Robert El Lakkis
Alarm Tech Plus Inc.
New York City

Security and media integration will have the biggest impact. People love new gadgets!

Ted Dick
American Detection Specialists Inc.
Springfield, Mo.

Migration from analog cameras to megapixel cameras. More affordable megapixel cameras are going to offer potential sales to replace or expand CCTV systems, as well as bring on completely new clients.

Brian Havekost
Signet Technologies Inc.
Beltsville, Md.
Convergence of physical security and IT/IP security will gain greater ground in a few areas. 1) Military will push systems onto secure networks by utilizing DIACAP [DOD Information Assurance Certification and Accreditation Process]; 2)TWIC/CAC/PIV/PIV-I will hit a tipping point of number of credential holders, quality of readers available, and integration software or middleware available; 3) IT is accepting the view of PoE controllers and IP cameras as edge devices.

Lee Bernardo
Complete Control Inc.
Port Edwards, Wis.
IP Systems (CCTV, access control) and more systems integration, all of which will be driven by more features and leveraging existing infrastructure.


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Article Topics
Business Management · Video Surveillance · Access Control · Fire/Life Safety · Intrusion · Systems Integration · Vertical Markets · Fire/Life Safety 2 · Features · Freedonia Group Research · Frost & Sullivan Research · Gold Book · Imperial Capital · IMS Research · All Topics

About the Author
Rodney Bosch
Although Bosch’s name is quite familiar to those in the security industry, his previous experience has been in daily newspaper journalism. Prior to joining SECURITY SALES & INTEGRATION in 2006, he spent 15 years with the Los Angeles Times, where he performed a wide assortment of editorial responsibilities, including feature and metro department assignments as well as content producing for Bosch is a graduate of California State University, Fresno with a degree in Mass Communication & Journalism. In 2007, he successfully completed the National Burglar and Fire Alarm Association’s National Training School coursework to become a Certified Level I Alarm Technician.
Contact Rodney Bosch: [email protected]
View More by Rodney Bosch

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