Our recent report on Physical Security found that the world market for Intruder Alarm & Perimeter Protection products reached $6.62 Billion in 2016 and is grow at approximately 3.3% (CAGR) to 2022. This is a mature sector of the Physical Security market and is more dependent upon the fortunes of the industrial market. In terms of growth, it has lagged behind Video Surveillance and Access Control over much of the last 15 years.
However the significant growth of new LED lighting systems in outdoor industrial complexes is helping to pull demand through for retrofitting new intruder alarm systems. These lighting systems are being installed to reduce electricity consumption and the wireless networks being set up are also being used for intruder security sensors.
Video Surveillance systems have targeted Perimeter Defense Solutions particularly in the enterprise market. A good example of this is the Axis Perimeter Defender, which uses edge-based video analytics. These types of applications are becoming a growing and increasingly important part of the intruder alarms and perimeter protection market.
The main driver for growth in the next 5 years will be the increase in investment in industrial complexes particularly in Asia and BRIC countries, advances in sensor technologies, wireless technology and radar; And also the integration with Video Surveillance, Access Control and outdoor lighting.
Advances in sensor technology such as Long Range (SLR) passive infrared (PIR) detectors will increase demand for intruder alarms. Radar technology will also increase its penetration of perimeter security. Three companies that specialize in this business are Blighter Surveillance Systems and Navtech Radar respectively based in Cambridge and Oxford UK and Thermal Imaging Radar LLC based in the USA.
Blighter Surveillance Systems offers an electronic-scanning radar and sensor solution. It has supplied a number of its Blighter B400 long-range ground surveillance radars to Siemens for installation at a national infrastructure site in Europe. These radars combine solid-state Passive Electronic Scanning Array (PESA) technology with advanced Frequency Modulated Continuous Wave (FMCW) and Doppler processing.
TIR’s Thermal Radar now makes wide-area detection of people and vehicles much more cost-effective using a rotating FLIR thermal sensor which provides detection over a one kilometer diameter. It geo-spatially locates intruders in a 3D space using a completely passive system, and it is not an ITAR restricted device, as radar systems often are, making it a much friendlier and strategic solution for intrusion detection in both isolated and urban areas. This could have a significant impact on how the video surveillance business is applied to perimeter protection.
Perimeter security has become a much more important issue for critical infrastructures such as utilities, transportation, government and defense establishments because of the increasing number of threats which could disrupt operations and also lead to huge losses across the whole economy.
Recent demonstrations at nuclear power sites and border protection have shown the importance of getting an early warning backed up by physical presence. For this reason most of these installations will now integrate all three aspects of physical security systems comprising intrusion detection systems, video surveillance systems and access control; And more recently better lighting.
The growth of new LED lighting systems in industrial complexes across the globe will also help to pull through demand for both retrofitting existing installations and installing new Perimeter Protection systems. It is important for Intruder Alarm manufacturers to closely examine the growing influence of lighting and its control particularly as wireless technology is a strong component of growth for both services.
Integration of these two services may offer customers a more cost effective solution. In addition video and access control can also be part of the total physical security system and this is likely to result in the purchasing decision role for the Intruder alarms & Perimeter protection moving away from the traditional route. For this reason product manufactures will need to engage with these other supply routes.
Growth of Intrusion Alarms and Perimeter Protection has lagged behind Video Surveillance and Access Control for the last 15 years but the need for total integrated solutions and a move towards Internet of Things Technology will give it the opportunity for steady growth over the next 5 years.
This article was taken from Memoori’s 8th edition of their Annual Report - The Physical Security Business 2016 to 2021.
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