IMS Research

IMS Research looks at ACaaS in North America and Europe

Access Control as a Service (ACaaS) offers additional revenue and end-user penetration opportunities that traditional access control solutions do not, according to a recent study published by IMS Research (now part of IHS Inc. ), titled The North American and European Markets for Access Control as a Service (ACaaS). “ACaaS presents more of a plug and play type installation and has opened up the market to the wider installer community including locksmiths that have traditionally not installed access control hardware/ software solutions,” says Blake Kozak, report author and senior analyst at IMS Research.  “Other opportunities for ACaaS also exist with smaller end-users, e.g. those with less than 50 doors to manage and within large organizations that cover a wide geography such as utilities that own several hundred substations.” Facility managers pose a huge opportunity for suppliers of ACaaS. In large office buildings, it’s typical to see facility managers deploying access control equipment at the building entrance and within each office. Rather than having each office maintain a server or having the facility manager administer a server for each tenant, by utilizing ACaaS the manager could pay a fee to have the system managed/ hosted removing the need to maintain that system. Using ACaaS, each tenant maintains their own solution and works closely with the dealer/ provider when updates are required. For the facility manager, security concerns can be passed to a third party and the additional fees charged for ACaaS can be added to the ongoing monthly rent. In summary, ACaaS could be the answer for suppliers looking to increase market penetration. Small, independent, family-owned businesses are now a real opportunity. The residential sector also cannot be ignored having seen a recent influx of home automation and smart home technologies. With wireless electromechanical locks also gaining in popularity, that can be connected wirelessly to home automation systems or other smart home applications, ACaaS could be the added RMR providers have been looking for. Contact  www.securitymarketintelligence.com

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NICE ranked as the leader in the global PSIM market by IMS Research

NICE Systems is ranked as the global leader in providing Physical Security Information Management (PSIM) software solutions, according to IMS Research (now part of IHS). The 2012 IMS Research Physical Security Information Management World Report counts NICE as the leading supplier of PSIM software based on revenues in 2011. This is the second consecutive IMS Research PSIM report that ranks NICE as the top vendor worldwide. “The PSIM market has high barriers to entry, since it is an area that demands the type of resources available only to well-established security solutions providers that have the ability to develop, customize, and deliver complex offerings,” said Niall Jenkins, manager of video surveillance and security research at IHS. NICE’s ranking as the leading PSIM provider is based on its situation management solution, NICE Situator, which met the following criteria: Capture and correlation of third-party systems and sensors – NICE Situator’s gateway library and open architecture allow for the seamless integration and management of third-party systems and sensors. Situator’s correlation engine filters the relevant information and presents a single incident to the operator. Active policy management and rules-based processes – Automatic tasks and adaptive workflows can be implemented based on pre-defined triggers and events for efficient collaboration and management of a situation. Visualization and mapping – Situator geographically maps out all systems and sensors for a comprehensive view of the situation in 2D and 3D. Post-event reporting and analysis – All activity managed by Situator is logged, allowing for the production of comprehensive “big picture” debriefing, analysis, and reporting. “The IMS Research market share ranking reinforces our position as a top provider of solutions that help enterprises and governments anticipate, manage and mitigate security and safety risks and improve operations. This is the second analyst firm that has recognized our leadership in the PSIM market,” said Yaron Tchwella, Security President and EVP Business Operation at NICE. “What differentiates NICE is the ability to transform big data into operational intelligence through correlation, adaptive workflows, and trend analysis, which promote a high level of situational awareness and effective responses.” NICE’s Security solutions help organizations capture, analyze and leverage big data to anticipate, manage and mitigate security and safety risks, improve operations, and make the world a safer place. The NICE security, intelligence and cyber offerings provide valuable insights that enable enterprises and governments to take the best action at the right time by correlating structured and unstructured data from multiple sensors and channels, detecting irregular patterns, and recognizing trends. NICE Security solutions are used by thousands of customers worldwide, including transportation systems, critical infrastructure, city centers, banks, enterprises and government agencies. Contact www.nice.com

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Demand for Cargo screening equipment to grow in 2013

In its latest study of the $2.6 billion market for explosives, weapons and contraband (EWC) detection equipment, IMS Research, now part of IHS Inc., found recent political and economic events are causing extreme volatility in demand for cargo and vehicle (C&V) scanning equipment at the world’s ports and borders. IMS Research estimates C&V sales to North America alone (this includes X-ray scanning equipment sold to the U.S. Department of Defense for subsequent deployment in the Middle East) fell by 20.9 percent to $178.0 million in 2011. The main cause for this decline was the disengagement of America’s armed forces from conflicts in Iraq and Afghanistan. The bigger surprise however, was the sudden drop-off in activity from the Chinese market, particularly as China saw its physical trade volumes grow significantly in 2011. According to report author and IMS Research analyst Michael Arluck, “The most plausible explanation is that there is an overcapacity of scanning equipment at China’s ports and borders. This is to say that the local customs and trade officials may have ‘over-bought’ C&V equipment in previous years.” Fortunately for industry suppliers, 2012 is shaping up to be a much better year. Based on recent order books, IMS Research is forecasting C&V sales to grow by 5.3 percent to $561.7 million through year end. “While the U.S. market remains slow, we are seeing strong growth from emerging economies in Latin America and Asia,” noted Arluck. “What a difference a year makes, especially in this business.” The World Market for Explosives, Weapons, and Contraband Detection Equipment, now an annual publication, is in its fourth edition. The study is the most detailed and comprehensive of its kind, and is read by the leading decision makers in the marketplace. Contact www.ihs.com Contact www.imsresearch.com

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EWC market set to reach $768.9 Million in 2012

In the $2.6 billion market for Explosives, Weapons, and Contraband (EWC) detection equipment, technological innovations and controversies surrounding airport body scanners continue to grab headlines. But according to a new report by IMS Research, now part of IHS Inc., developments in the service side of the EWC business should receive closer attention. In its latest EWC study, IMS Research estimates revenues from the service, maintenance, and installation of EWC detection equipment will grow to $768.9 million in 2012. This represents a 7.7% growth in service revenue over the prior year, and trumps the increase seen from pure product sales. “The uptick in service business is being driven by a number of factors,” notes Michael Arluck, the report author and analyst. “For one, service revenues are inherently more stable, and more predictable than product revenues. Recognizing this, industry suppliers have begun to place greater emphasis on service business as a means of reducing earnings volatility.” In addition, there is a growing desire on the part of end-users to reduce overhead by outsourcing the screening function itself. This is referred to as ‘turnkey screening’ or ‘screening-as-a-service.’ The latest example of this trend is a six year, $900 million agreement recently announced between Rapiscan Systems and the Mexican customs agency. Under the terms of the contract, Rapiscan will build, own, and operate an inbound EWC screening program at the US-Mexico border on behalf of Mexican authorities. “Given the sheer size of the Rapiscan deal, we are likely to see a number of other suppliers making a play at turnkey deals,” notes Arluck. “It will be interesting to see how this unfolds.” The World Market for Explosives, Weapons, and Contraband Detection Equipment, now an annual publication, is in its fourth edition. The study is the most detailed and comprehensive of its kind, and is read by the leading decision makers in the marketplace. About IHS (www.ihs.com) IHS (NYSE: IHS) is the leading source of information, insight and analytics in critical areas that shape today’s business landscape. Businesses and governments in more than 165 countries around the globe rely on the comprehensive content, expert independent analysis and flexible delivery methods of IHS to make high-impact decisions and develop strategies with speed and confidence. IHS has been in business since 1959 and became a publicly traded company on the New York Stock Exchange in 2005. Headquartered in Englewood, Colorado, USA, IHS is committed to long-term, sustainable growth and employs more than 6,000 people in more than 30 countries around the world. About IMS Research (www.imsresearch.com) IMS Research, recently acquired by IHS, is a leading supplier of market research and consultancy to over 2500 clients worldwide, including most of the world’s largest technology companies. Established in the UK in 1989, IMS Research now has dedicated analyst teams focused on the factory automation, automotive, communications, computer, consumer, display, financial & ID, LED & lighting, medical, power & energy, solar PV, smart grid and security markets.  Currently publishing over 350 different syndicated report titles each year, these in-depth publications are used by major electronics and industrial companies to assess market trends, solve marketing problems, and improve the efficiency of their businesses.    

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Vietnam fastest growing video surveillance market in South East Asia

In its first edition report on the South East Asia video surveillance market, IMS Research (recently acquired by IHS Inc.) forecasts that the Vietnam is fastest growing market between 2010 and 2015, at a CAGR (Compound Annual Growth Rate) of 22.3 percent. However, it should be noted that the market in Vietnam was estimated to account for less than 10 percent market share in this region in 2010. South East Asia is comprised of not only developed markets like Singapore, but also new emerging markets like Vietnam and Indonesia. In these emerging markets, the government is continuing its investment in infrastructure and industry development. For example, Vietnam recorded a year-on-year GDP growth rate of 7.7 percent for the industry and construction sector in 2010. Its aim is to become an industrialized and modernized country by 2020. Cheryl Li, report author and research analyst at IMS Research comments, “The highest priorities for Vietnam are transportation, energy, irrigation and urban development projects. For example, about 600 kilometers of roadway construction is planned by 2015; the existing railway will be upgraded; and several international airports and electrical plants will be developed. All these projects create huge demand for security products and systems.” Li continues, “Import tax has been as high as 30 percent – 35 percent in Vietnam; therefore many European and American manufacturers did not focus on this market. After entering the World Trade Organisation (WTO), Vietnam has reduced import tax, which has attracted more companies to this market. Most of the governmental projects use network video surveillance systems; therefore the network equipment market is forecast to exceed the analogue market by 2012 in Vietnam.” Contact  http://imsresearch.com

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Chinese video surveillance market worth an estimated $2.6 billion

In its fifth edition report on the Chinese video surveillance market, IMS Research (recently acquired by IHS Inc.) estimated that the market was worth  $2.6 billion in 2011, an increase of more than 30 percent over 2010. A key driver of this growth was the network security camera market. City surveillance and transportation are the largest end-user industries in China. However, as economic growth slowed in 2011, investment in city surveillance also declined. In the second half of 2011, a number of high-speed railway construction projects were stopped or delayed due to financing difficulties caused by the global financial crisis. As a result, growth in the analog video surveillance equipment market started to slacken.Cheryl Li, report author and research analyst at IMS Research comments, “Due to the increasing demand for high resolution images, network security products, especially network cameras, gained market share in 2011. In fact, network camera revenue increased 130 percent in 2011. In addition, the growth  also benefited from the increasing number of participants in the market. It should be noted that competition also reduced pricing, which is an important element in the market.” Li continues, “High definition is a definite trend for the video surveillance market in China over the next few years. Besides network security products, HD-SDI products also gained greater attention. However, HD-SDI products are still expensive, and lack of a complete HD solution in the market. As a result, we estimated that it only had limited shipments in 2011.” China’s GDP growth is targeted at 7.5 percent for 2012, marking the first time the figure has dropped below 8 percent in the past eight years. However, the government is continuing its investment in the western area, which may create new opportunities in end-user industries, such as city surveillance, airports and railways. In this latest China video surveillance market research, IMS Research forecasts  that the market will grow at a relatively high compound annual growth rate (CAGR) of 20 percent over the next five years. Contact www.imsresearch.com  

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Brazil’s network surveillance market set for growth in light of FIFA World Cup and Olympic Games

In its recently published, second edition report on the Latin American video surveillance equipment market, IMS Research (recently acquired by IHS Inc.) estimates that the analogue equipment market accounted for nearly 60 percent of total video surveillance equipment revenues in 2011. One of the key reasons for this is that Brazil is slightly behind the curve in the transition from analogue to network video surveillance, with its analogue market representing a larger proportion of its total video surveillance equipment market than in any other region in Latin America. IMS Research Market Analyst and report author, Oliver Philippou, states; “A key element of the market in Brazil is the numerous local manufacturers that primarily supply analogue cameras, and service the replacement market for the country ’s large analogue installed base. Furthermore, a forecast decline in analogue video surveillance equipment revenues means the Brazilian market is not predicted to grow as quickly as some of the other regions in Latin America over the next five years. ” Philippou continues, “However, network video surveillance equipment is set to be used for the majority of the world’s two largest sporting events; the 2014 FIFA World Cup, and the 2016 IOC Summer Olympics Games; a large number of major infrastructure projects within Brazil; and several extensive city surveillance projects. Consequently, Brazil ’s network video surveillance market is forecast to see strong growth compared to other countries in Latin America. ” Mexico, conversely, is slightly ahead of the curve, and has one of the highest percentages of network video surveillance equipment in proportion to total market revenues. While Mexico ’s network video market growth is not forecast to be as strong as Brazils, its small analogue market means that the country will see larger overall market growth. Other countries, such as Chile and Colombia, will also follow a similar pattern to Mexico. Both of these countries are forecast to tip (the point when network video surveillance sales overtake analogue video surveillance sales) in favor of network equipment this year. This is mainly due to large infrastructure projects in city surveillance, government, traffic monitoring, and railways. Contact www.securitymarketintelligence.com  

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