frost & sullivan - asia pacific physical security trends & dynamics
TRANSCRIPT
Asia Pacific Physical Security Trends and Dynamics
Susan Sahayan
Research AnalystResearch Analyst
Automation and Electronics
October 13, 2011
Asia Pacific
Physical
Security
• Overview of Physical Security
• Introduction to the Asia Pacific PhysicalSecurity Market
• Opportunity Analysis of the Asia PacificPhysical Security Market
Focus Points for Today
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Security
Trends and
Dynamics
Physical Security Market- Tracing the Market Shifts and Trends
• Future Outlook
Economic growth in the region has attracted various global threats.
Why Security ? - Increasing Threats Pose a Need for Enhanced Security Measures
2008/ 2011 Mumbai Terror Attacks
2006 Train Bombings in Mumbai
2009 Hotel Bombings in Indonesia
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Source: Frost & Sullivan
Indonesia
2011 Bombings in Thailand
Security as One of The Global Trends - Driving Our Future
Key Takeaway: Threats to our lives, identities and freedom seem to arise from more sources than ever before. As a result, individual and collective focus on security is expected to drive the trends of the future.
5
Source: Frost & Sullivan
Mega Trends of the Future
The rise of smart cities
In the Future, Security Systems will Likely become an Integral Part of Building Management Systems and Day to Day Lives
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Source: Frost & Sullivan.
Geo socialization in 2020 will make online authentication and verification through biometrics a standard
Security Convergence as an Integral Part of the Evolution Towards Smart Cities
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Source: Frost & Sullivan.
Challenges in Physical Security
Failure to approach security from an organizational level
Treating security as an expense/
sunk cost
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Security as pure technology and not as business issue
Purely technology/product-based approach
Failure to integrate people, processes, and products
Source: Frost & Sullivan.
Market Dynamics – Drivers
These factors provide high demand for security :
High Growth Verticals
Generating Demand
Government
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Source: Frost & Sullivan.
Technology Advancements
Shift Toward Security Integration
Government Initiatives
Market Dynamics – Restraints
These factors deter the demand for security :
Issues in Integration
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Source: Frost & Sullivan.
Lack of Awareness
Large Capital Requirements Deter Investment
Limited Network Environment
OPPORTUNITY ANALYSIS OF THE ASIA PACIFIC
PHYSICAL SECURITY MARKET
- TRACING THE MARKET SHIFTS AND TRENDS
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- TRACING THE MARKET SHIFTS AND TRENDS
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Opportunities in the APAC Video Surveillance Market
• APAC Video Surveillance Market
• 2010 - estimated at US$ 1.5 to 2.0 billion
• 2011 – estimated at US$2.2 to 2.4 billion
• CAGR 2010 – 2015 : Approximately 23%
• APAC video surveillance market segments :
7.0%Analog Cameras
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Source: Frost & Sullivan
22.9%40.0%
13.0%
26.8%
4.2%
9.0%
7.0%
IP Cameras
DVR
NVR
Video Encoders
Surveillance Software
APAC Wireless Video Surveillance Market – Largely Government Driven
City surveillance
Transportationsystem
� City monitoring
using the wireless
video surveillance
� Centralized
� Covers a whole city
� Used at the railway
and highway
� Effective in controlling
the transport
management system
APAC Wireless Video Surveillance Key Applications
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Construction
• Monitoring the construction
site
� Easy and effective because
of the flexibility of wireless
video surveillance
� Benefit to the site
inspection
� Increases security and
safety awareness Source: Frost & Sullivan
Opportunities in the APAC Electronic Access Control Systems (EACS) Market
• Electronic Access Control Systems (EACS) Market in APAC :
2010 – estimated at US$ 650- 700 million
2011 – estimated at US$ 750- 800 million
CAGR 2010 – 2015 : Approximately 24%
• APAC EACS market segments:
4%Smart Cards and Readers
13%2%
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Source: Frost & Sullivan
18%
31%31%
17%
4% Readers
Proximity Cards and Readers
Biometrics
Controllers
Others
18%
23%
45%
13%2%
2010 2015
Note :Others include keypads, magnetic stripe cards and barcodes
Opportunities in the APAC Electronic Access Control Systems (EACS) Market
Revenues
High
q xxx
Video Surveillance
Biometrics
Manpower security
Keypads
Contactless smart cardsand readers
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Source: Frost & Sullivan
2010 2015
Low
Growth Rate (2010-2020)Low
Proximity cards and readers
High
New Technologies for Biometrics Likely to Evolve
Fingerprint Voice
Physiological Behavioral
Types of Biometric Technology
Iris Signature
Facial Keystroke
Hand Geometry *Gait
73%
14%
6%4%
2%
1%
Fingerprint
Facial
IRIS/Retina
Palm Scanner/Vein Scanner
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Source: Frost & Sullivan
Hand Geometry *Gait
Palm *Typing
*Nail *Accent
*Lip
*Ear
*States the emerging type
ScannerVoice
Others
APAC Radio Frequency Identification
• APAC RFID Market :
2010 – approximately at US$ 900.0 million
2011 – estimated at US$ 1.0 billion
** includes all applications : Security & non-Security e.g. transportation, logistics and supply chain, animal tracking, healthcare, others etc
CAGR 2010 – 2015 : Approximately 24%
• APAC RFID market segments :
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Source: Frost & Sullivan
55%
19%
26%Tags
Readers
Middleware/Software
Security, Asset Tracking, and Access Control
Transportation
Healthcare Pharmaceuticals Baggage HandlingSports Timing
Prisoner Tracking Laundry Postal and CourierCasino Chips
Traditional Applications Emerging Applications
Shift from Traditional to Emerging RFID Technologies
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Livestock
Supply Chain Management
Oil and Gas Documents Bill Boards Vending Machine
APAC Intrusion Detection Market
• APAC Intrusion Detection Market :
2010 - estimated at US$ 300 – 330 million
2011 – estimated at US$ 350 – 380 million
CAGR 2010 – 2015 : Approximately 17%
• APAC intrusion detection market segments :
11.0%
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Source: Frost & Sullivan
39.8%
33.4%
15.8%
11.0%
Panels
Detectors
Keypads
Accessories
Emerging Technologies Will Sustain the Future Growth of the Security Industry
Key Takeaway : Increased migration toward network based security systems and convergence in applications are already creating shifts in the market and business models.
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Key Verticals to Maintain Healthy Levels of Growth and Remain Attractive
Key Takeaway : These verticals are likely to have security requirement at the personal as well as organization level, using one or more of the many security technologies available.
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Source: Frost & Sullivan
Distribution Channel Trends
PASTDistributor
End
UsersManufacturer
WholesalerSystem Integrator/
Reseller
Key Takeaway : System Integrators will play a key role in ensuring the success of the large-scale projects in terms of interoperability and convergence of security systems/
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End-
Users
Manufacturer
FUTURE
PRESENT
End UsersManufacturer
System Integrator
/ Reseller
Value-added
Distributors
Value-added
Distributors /
System Integrators
Competitive Points for Success in the Physical Security Market
Feature-rich Products Interoperability
ConvergenceROI
25
Source: Frost & Sullivan.
Improved Storage
Price / Performance
Shift to network based systems
Frost & Sullivan
• The Growth Partnership Company
• Founded in 1961
• Over 1,700 employees across 35+ global
locations
• 10,000+ clients worldwide including emerging
companies, the Global 1000, and the investment
community
26
community
• Offer the exclusive Growth System including:
• Growth Partnership Services
• Growth Consulting
• Growth Team Membership
Europe Americas
Asia Pacific
Hong Kong
Delhi
Colombo
Chennai
Bengaluru
Beijing
Bangkok
Auckland
Regional Presence – Strong APAC Footprint
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Africa & Middle East
Tokyo
Sydney
Singapore
Shanghai
Seoul
Mumbai
Kuala Lumpur
Kolkata
Jakarta
Hong Kong
AEROSPACE & DEFENSE
AUTOMOTIVE & TRANSPORTATION
CHEMICALS, MATERIALS &
FOOD
ENERGY & POWER SYSTEMS
Cross Vertical Industry Expertise
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HEALTHCARE ICTAUTOMATION & ELECTRONICS
ENVIRONMENTAL & BUILDING
TECHNOLOGIES
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For Additional Information
Donna Jeremiah
Corporate Communications
Asia Pacific
(6) 03-6204 5832
Jessie Loh
Corporate Communications
Asia Pacific
(65) 6890-0942
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Parul Oswal
Research Manager
Automation and Electronics
(65) 6890-0974
Susan Sahayan
Research Analyst
Automation and Electronics
(6) 03-6204 5826