Transcript
INDUSTRY WATCH
India Security Market Growth & Opportunities The IP surveillance market is witnessing buoyant growth today and, more importantly, the demand for CCTV and Surveillance products is going to be sustained with very consistent and high growth rates over the next 4 to 5 years. SHIKHA NAGPAL
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lectronic security pertains to leveraging technology in safeguarding assets by preventing unauthorized access to key data or assets. The government has been the traditional consumer of such security services. Corporations rank second in the usage of such devices for their employees and critical data infrastructure and now one can witness its implementation in areas like household security and small mom-and-pop stores. The Indian security market is in an interesting
growth phase on the back of renewed interest on existing security and surveillance measures in the country mainly due to terror threats in recent times. Today we are moving from security in closed spaces to security and surveillance of public places. So we foresee spending on this industry both from the government and the private sector. The sector has not only seen interest from domestic players but also foreign companies are looking to enter the market. The market is also evolving presently and one can witness various shifting trends. So what are these trends that are driving expansion in the market? For example IP CCTV cameras are much in demand presently so we have seen a shift from analog video surveillance to IP video surveillance. Another trend is that there is more traction now for an integrated solution as opposed to standalone security products. Areas like sensor based detection, biometrics, in line baggage scanners are expected to gain popularity and increased spending will happen in these areas in the coming years. Also government and military institutions are expected to increase their investments especially in video surveillance systems and other related security measures. Sudhindra Holla, Country Manager, Axis Communications India, “The security and surveillance market in India is growing at a swift speed. The Indian market for network video surveillance equipment is estimated to be worth $37.4 million in 2011 and is estimated to grow to $223.8 million in 2016, a CAGR of 43% for the next 5 years. Today, surveillance is not just restricted to security; with the advent of embedded applications in security products, surveillance is now emerging as a tool for gathering business intelligence.
INDUSTRY WATCH
Sudhindra Holla Country Manager, Axis Communications India
"With the advent of embedded applications in security products, surveillance is now emerging as a tool for gathering business intelligence." The market is moving from the closed circuit analog system to digital surveillance system, thanks to the features offered by the digital surveillance system. With specialized video surveillance devices, intelligent video will continue to emerge as a tool to improve business efficiency. The addition of video analytics software to the surveillance solutions enables businesses to adopt these solutions to get a new perspective in to their business. The growing need for real time security and surveillance is also creating opportunity for the IP surveillance system integrators. The scope has widened to an extent that analog integrators are now being trained to become IP integrators. With enterprises looking for a single network being to integrate building management, access control and physical security along with a surveillance network on the same IP platform, it has become important for channel partners to build additional skill sets. Therefore, more and more vendors are training and educating their partners on the benefits of IP surveillance products and solutions”.
Opportunities Huge opportunity for electronic security system will emerge from Small Office Home Office (SOHO) and Small and Medium Enterprise (SME) markets across India. The market for these products and services was very dynamic in 2011-2012. Main contributor was the Police Department, whose swift action on various day-to-day crimes, gangwars or terror- related crimes based on CCTV recordings from various sources, helped to
curtail such crimes. The Media being the other major contributor, gave wide publicity to advantages of electronic surveillance in resolving crime cases. Both these added to spreading awareness of security needs, thus boosting the demand for surveillance systems. Usage of electronic surveillance is moving beyond the ambit of pure security, towards other needs like productivity management and performance management. These factors have boosted demand for security product from various verticals including small stores, mid-sized enterprise, large corporate, national retail chains, Banking, Financial Services and Insurance, Logistics, Residential and Commercial Building Segments. With Government increasing its thrust on infrastructural development and continuing momentum in ITES facility construction, the sale of electronic security products and services which are closely associated with such developments are also expected to grow steadily. There is also an urgent need to built infrastructure for asset protection and business continuity. This will provide a momentum to sales growth in electronic security products and services for next 10 years. The thrust on infrastructure growth, growing public private partnership projects and stringent fire infrastructure regulations are expected to drive market for fire security and safety in India.
IP based surveillance The need for intelligent security systems, increasing terrorist strikes, dwelling infrastructure, rising criminal activities are the few factors that have resulted the demand for reliable and intelligent security systems. The advantages of surveillance systems over physical security such as ability to allow remote monitoring, etc., has resulted for their wide deployment across India. Traditionally controlled by analog based surveillance systems, the Indian market is now shifting towards digitized i.e. IP based surveillance systems. These surveillance systems are finding their space across industry verticals, namely, government & transportation, banking & financial, retail, commercial, industrial and residential. Network video or IP-based surveillance technologies are maturing and improving due to a higher level of integration. Moreover, the possibility of accessing video remotely with IP cameras has helped spawn innovative applications. The IP surveillance market in India is growing rapidly. Recurring terrorist activities are
INDUSTRY WATCH necessitating round-the-clock intelligent surveillance of public infrastructure, sensitive installations, enterprises as well as residential communities. Today, due to advances in technology, video surveillance cameras are better than ever and can be used along with computers to handle complex situations. Going by the current trend, the deployment of IP surveillance systems is growing significantly as compared to that of conventional analog CCTV security camera installations. The advantages of IP surveillance include better performance, ease and versatility of use, flexibility and, of late, costbenefits. Unlike traditional analog CCTV systems that transport analog signals to a centralized video recording device, IP surveillance employs a decentralized data encoding system that sends binary data over a wired or wireless Internet Protocol (IP) network. According to 6Wresearch, the India Video Surveillance market is expected to reach $952.94 million by 2016, with a CAGR of 32.49% from 2011-2016. In 2011, though analog based surveillance systems have accounted for majority of the share i.e. 67.80% in the overall market but IP based surveillance systems are expected to grow with relatively higher CAGR of 41.78% from 20112016. “Cloud technologies and cloud based surveillance is a key driver for IP technology adoption. Cloud storage has proven beneficial for both big enterprises and SMBs, by reducing the cost of the overall systems. Increased awareness about the benefits of implementing IP Surveillance solutions, including remote monitoring, encouraging ROI, reliability and security of the deployment is another factor”, says Sudhindra of Axis Communications India. “With the addition of video analytics software to the surveillance solutions, enterprises are adopting these solutions to get a new perspective in to their business. With growing number of industry verticals and changing business trends the adoption of surveillance cameras is increasing. Intelligent applications incorporated in them like facial recognition, people counting, vehicle license plate recognition etc. will allow users across segments like city surveillance, retail, banking etc. to benefit from the surveillance products by gathering additional details from these cameras. These factors will drive demand for surveillance equipment”, he adds.
Home Security The home and office security system market in India is growing at 25 per cent annually. It is being primarily driven by the office segment, with even small and medium companies having made safety and security of employees a priority. The home segment, a small part of this market, is relatively slow to grow, with adoption of security solutions more in premium high-rise buildings and apartments. However, analysts say the home segment should also be growing swiftly, since cases of theft, murder, etc are on the rise. According to Sudhindra Holla, Country Manager, Axis Communications India, “Surveillance technology at home is mostly deployed by people whose families are away for work most of the time or if children are left alone at home with care takers. This sort of arrangement enables parents to monitor and keep an eye on their children. The cameras also enable users to monitor a site seamlessly from a remote location by allowing them to pan, tilt and zoom the camera to gain a 360° view. Video clips and snapshots can be easily exported to family members and authorities, and the system supports third-party apps for viewing live and recorded video on leading smartphones and tablets. With advanced technology features and HDTV network cameras, it is easy to install and a home owner can receive images as well as video intrusion alerts on their email and mobile phones which, is a particularly helpful feature in large buildings, luxury independent homes and residential apartments. The cameras can be positioned depending on the need of the household, if someone wants to monitor the garden area and house premises, then one camera can be located at the entrance to monitor and get a 360° view. If the focus is to keep a watch on the interiors of the house especially when there are old people or kids alone at home then deployments can be made accordingly. Most importantly in a connected world, remote surveillance using IP surveillance cameras provides us with the peace of mind that our near and dear ones are secure and gives us the added advantage of checking on their well being from anywhere in the world”. Adding on market growth for home security, he says, “Today, security and safety have emerged as areas of prime concern in the society. With the increase in nuclear families and urban living with double income households, there is a growing need for security of residential properties. We have
INDUSTRY WATCH Axis Solutions Axis recently announced its Axis Camera Companion, an entry-level IP video solution for small installations. Consisting of a free software client and Axis network cameras or video encoders with SD-card support, the solution is designed for systems from 1 to 16 cameras. This is ideal for residences and small businesses that need easy-to-use and future-proof video surveillance with HDTV quality. This solution allows home owners to use HDTV network cameras to help them clearly identify intruders, and monitor other incidents. Video can be viewed live and recordings played back from anywhere – at home or remotely over the Internet. The system supports motion detection and pan/tilt/zoom control. Video clips and snapshots can be easily exported to family members and authorities, and the system supports third-party apps for viewing live and recorded video on leading smartphones and tablets, such as iPhone, iPad and Android. AXIS M50 series is a new addition to the product line, it is the world’s smallest, ceiling mount pan/tilt/zoom dome cameras. This camera offers users a highly discreet and affordable solution for remotely monitoring indoor and outdoor areas such as halls, bedrooms, corridors etc to more effectively manage one or more locations and improve security. AXIS M50 cameras have a sleek and compact design, thus enabling discreet, high-quality 360° surveillance in HDTV. A built-in microphone also allows monitoring for unusual noises during off-hours to trigger a security alarm. This is one of the most suitable solutions for families who are away for work most of the time. Also, if children are left alone at home with care takers, this sort of arrangement enables parents to monitor and keep an eye on their children. The cameras also enable users to monitor a site seamlessly from a remote location by allowing them to pan, tilt and zoom the camera to gain a 360° view. AXIS P33 series (the indoor AXIS P3367-V Network Camera and the outdoor-ready AXIS P3367-VE model), are both vandal-resistant and are suitable for any application that requires video surveillance coverage of a large area or extremely high image detail in a limited area such as residential compounds especially in large apartments. witnessed that awareness and demand for security solution deployments in residential set-ups has increased over the past few years. We have numerous surveillance solutions available for home owners. However, the trend is now towards digital, network enabled cameras, rather than the older analog ones”. As per the IMS report 2011 the Residential surveillance deployment market is estimated to be $1.7 million in 2012 and is likely to go up to $7.1 million by 2016 with a CAGR of about 44.8% in India.
Challenges Even as growth is inevitable there are many challenges in the sector presently. Government spending in the sector has been slower than expected. There are also language and infrastructural issues that is a constraint for the industry. State Governments also have to show keener interest in setting up security systems in their
respective cities. Also homeland security mission is a critical, but complicated tasks. Terrorist threats are ever changing and fluid which makes the task of homeland security that much more difficult and challenging. Other associated challenges involve workforce capability, local level preparation and readiness to accept and trust modern integrated security systems.
Future The future in this market is for integrated security solutions where in a solution is created by integrating multiple systems, including video, intrusion, video analytics, fire, access control, HVAC, chemical and biological sensors, etc. Such systems must offer actionable intelligence and decision support to the organization implementing the security solution. So despite various challenges the security market is poised to grow in India – it’s not a question of when but how much growth will be achieved.
