Security

Majors in the Security Business are Losing Share, Confidence and Ambition Whilst They Sit on Their Cash

The third quarter results of the major security players reported this month would suggest that the market for electronic security products and systems has not yet bottomed out. The decline in security sales, where reported, was around 15% compared with the same period last year. As also noted last month it is evident that the specialist suppliers such as Axis, L-1 Identity Solutions, Milestone and many others are still producing remarkable growth in sales given the present difficult trading conditions. These medium sized focused and well established companies have seen their growth decline but have confidently pressed on with expansionist plans. By comparison the major traditional global suppliers have cut back heavily on expenditure and have built up their cash reserves. We can deduce from this that the majors must now be losing market share whilst the market is becoming more fragmented, for there is no progress in consolidation which not surprisingly is well down […]

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