2025 Security Industry Predictions: Matt Barnette, CEO and President, PSA
PSA leader Barnette looks at what’s ahead for the security industry in the coming year in our continuing series of prognostications.
Matt Barnette
Today’s entry in our ongoing 2025 Security Industry Predictions series is Matt Barnette, chief executive officer and president of PSA Security Network.
Security Sales & Integration: Without getting into any specific vendors or branded solutions, what technology category or solution area do you see as 2025’s ripest, most profitable growth opportunity for security dealers, installers and integrators? Explain your reasoning.
Matt Barnette: Some market fundamentals don’t change overnight. I think that is the case here. The two major business drivers in the integrator market are access control and video. Cameras traditionally outsell card readers 10 to 1.
Cameras, and the systems that management them, will continue to prolificate and outsell access control. And the features of new cameras and the systems they are connected to are increasing exponentially. For example, the picture quality and video performance of a five-year-old camera versus a new version today is massive.
The average camera is installed for 10-plus years, especially outdoor models. The upgrade potential for integrators is significant. And all that video needs storage, so let’s not forget that component of the sale. A majority of end users will buy the storage as a package from the integrator to avoid having to support it, so make that pitch!
SSI: These days, we’re all hearing a lot about the cloud migration, AI/machine learning, crime deterrence vs. crime reactiveness, etc. Which of these “hot topics” do you think is overplayed? Which ones do you think will truly transform the practice of security integration in the coming years?
Barnette: I think artificial intelligence/machine learning is a bit too hot right now, drifting into the overhyped category. Machine learning, especially in video, has been around for years in our industry. It’s only become a hot topic because of ChatGPT and the focus major tech companies are placing on it.
Don’t get me wrong, AI will have an impact on our business and market, but it’s still early days. Keep informed, play with it and start to figure out how to utilize AI to make your business more efficient, hence more profitable.
SSI: On the business and operations side, which single factor (e.g., interest rates, talent-related issues, geopolitical stressors) poses the biggest challenge for the security industry right now? How can business owners mitigate their downside risk?
Barnette: While we can’t ignore interest rates and inflation, I consider that more of a silent “killer,” meaning those issues are working against you in the background and you need to understand the financial impacts they are having on your business and adjust for it.
What most of the channel tells me is that they are still starved for talent and this is their limiting factor. PSA is partnered with the Security Industry Association (SIA) and we’ve jointly released the Careers Guide. You can download it for free and we are hoping to have a industrywide initiative to attract more people to the incredible opportunities the electronic security industry has to offer.
SSI: What’s getting better about the security industry these days? What seems to be getting worse and worse?
Barnette: The industry is getting more diverse with the many initiatives over the years. The makeup of the industry has definitely changed and there is more work to do. What has potentially gotten worse is all the consolidation of both manufacturers and integrators.
This is an indication that the market is maturing and it is good to see investment in the industry. This will lead to change in the business and we need to be open to what’s next.
SSI: What’s liable to catch some security dealers, installers and integrators off guard in the coming year?
Barnette: I sense there will be a lot of M&A activity in the space so dealers, installers and integrators need to be prepared to be overwhelmed with opportunities to sell their business. There is no right or wrong decision, but their could be right or wrong deals.
My advice: if you are interested in selling, take the time to prepare in advance so you can get the best deal. Hiring a reputable company to support you and don’t feel pressured. A knowledgeable person that has the right help can maneuver through the process and has a higher likelihood for a better outcome, both financially and emotionally.
SSI: What’s the single most pressing issue that professionals in the security industry should look to tackle right now?
Barnette: When I attend industry meetings, shows, etc., I’m often struck by the average age of the industry. We are approaching the end of a generation of industry people that helped elevate the industry. For that, we should all be thankful. But we need to bring more people into this space to continue to be viable, so concerted efforts need to be made to recruit outsiders into this space.
SSI: Finish this sentence: 2025 will be remembered as the year that the security industry…
Barnette: … goes hybrid.
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