1.10.23 – SIW – John Dobberstein
Here is a compendium of predictions and security trends to watch out for this year cover biometrics, physical security, video surveillance, third-party risk management and residential security.
With waves of security threats and attacks on infrastructure and data, and constant technology shifts and evolution churning up the seas even more, security officers in field have a lot to figure out this year. And security executives in the marketplace had plenty to say about how they see 2023 shaping up.
Here is a compendium of predictions and security trends to watch out for this year cover biometrics, physical security, video surveillance, third-party risk management and residential security.
Do you have an important topic or issue you think SecuritInfoWatch.com should be covering or looking into this year? Send us an email.
Surveillance and public safety security solutions company i-PRO Co. shared a number of predictions for the physical security industry in 2023.
Trend 1: AI-based analytics become standard at the edge
2023 will see significant adoption of AI-based analytics in cameras and video management systems (VMS) as more manufacturers provide this feature within their standard camera lines. There are simply too many camera streams for humans to monitor effectively, so AI-based analytics will be a catalyst that enables security departments to do more with less.
“This evolution will drive a significant shift in stance for physical security by enabling organizations to become more proactive in response to real-time events instead of reacting to past events,” the company said. “Focus will shift from capturing video to gathering data. The challenge will be in how effectively organizations are able to utilize this data not only for security, but also for cross-departmental operations to increase efficiencies and revenue. Processing at the edge will become more of the norm as the edge itself continues to get more powerful, i-PRO adds.
New ways of harnessing distributed IoT power via containerization technologies will continue to gain traction. Container technology, like Docker and Kubernetes, and the concept of shared resources across multiple devices will increase the speed of processing, improve analytic plug-in integration, and increase the speed of firmware updates and the deployment of new analytics.
Trend 2: Open AI platforms provide maximum flexibility
As artificial intelligence (AI)-based technologies continue to advance, the industry will continue to see specialized tools being created by expert developers with a focus on solving unique challenges, the company says.
Open platforms provide best-in-class developers with access to large markets. Much like today’s successful app-based economy for computers and smartphones, this proven model will continue to take shape and offer integrators and end users the level of customization they’ve come to expect from technology.
“The future of the industry will be led by those who embrace open strategy as a best-in-class business practice,” i-PRO says. “Creating flexible infrastructures for AI analytics developers to easily plug-into will further aid the democratization of AI in several industries outside of security as well.
Trend 3: Privacy Protection Key Issue with Renewed Momentum
With GDPR setting the example in Europe, concern over personal privacy continues to grow with varying degrees of compliance required by industry. 2023 may see the U.S. enact a GDPR-like data privacy law at the federal level.
Although there are already laws in some states that have adopted GDPR language and practices, there appears to be strong bipartisan support for the proposed “American Data Privacy and Protection Act”.
According to the United Nations, more than 70% of countries worldwide have enacted data protection and privacy legislation. As governments try to appease citizens’ pleas for more rights over their data, these laws continue to evolve. Having the ability to obscure faces while maintaining a secondary protected data stream for evidentiary purposes will be a sought-after feature in the near future.
As always,” i-PRO says, “the industry must focus on making it easy for our customers and end users to comply with any new laws as well as GDPR. Prudent manufacturers are already acting to build data privacy into their processes as a best practice.”
Trend 4: Cybersecurity Awareness, Zero Trust
While security professionals are highly aware of the geo-political risks posed by untrustworthy state-owned manufacturers, the continued push to secure networks by IT professionals and network vendors will create even more cybersecurity awareness in 2023, i-PRO predicts.
“We expect to more European governments to follow the USA NDAA example in 2023 that prevents authorities from installing Chinese state-owned surveillance systems in sensitive sites,” the company says. “Through a recent executive order, the White House has mandated federal compliance with zero-trust architecture and design by 2024. This will result in a huge federal shift in US policy for 2023 with ripple effects to any businesses doing business in the US.
“We anticipate continued adoption of zero trust practices which validate every transaction between devices and people. Cybersecurity as a pillar of corporate responsibility will become an emerging trend as businesses seek to safeguard business continuity for their customers.”
Trend 5: Supply Chain Issues Persist
While supply chain issues for technology will persist into 2023, the hard-fought lessons are driving mandates to prevent the kinds of collapse that we’ve seen from occurring in the same way again, i-PRO said.
However, most proposed solutions are early in deployment and may not come online in the next 12 months. Manufacturers and integrators will need to carefully orchestrate and manage expectations in the channel. Look for manufacturers with trusted supply chains and a level of transparency on product availability and lead times for the best chance to fulfill contracts.
“2023 promises to be an impactful and transitional year for security professionals as businesses seek stability while also having less resources to work with,” said Norio Hitsuishi, global head of product management for i-PRO Co. “The physical security industry has the potential to step up and help companies do more with less by providing a wealth of data and insights not only to help protect people and assets, but also to help the bottom line.”
Third Party Risk Assessment
Alastair Parr, senior vice president of global products and delivery, and Brad Hibbert, chief operating officer and chief security officer at Prevalent, shared 3 predictions to guide organizations in their 2023 TPRM strategies.
Trend 1: ‘Annual and Manual’ Approach Will Become an Exception
Given the continual onslaught of third-party vendor and supplier-originated security incidents (for example, the ransomware attack at Kojima Industries that stopped production at Toyota), organizations are trying to better predict disruptions and mitigate them when they do happen.
As if this wasn’t challenging enough, increasing regulatory pressures in the areas of data protection and supplier due diligence are requiring these same organizations to more regularly assess the business resilience of their vendors and suppliers, Parr and Hibbert said.
This means organizations must be more proactive, continuous and agile in assessing their third-party vendor and supplier resilience, ditching manual methods once and for all.
“Threats, regulatory requirements and legislation won’t allow the bare minimum third-party vendor and supplier due diligence reviews anymore,” the authors say. “Simply put, TPRM can’t be an annual, manual check-the-box exercise.”
To accommodate this shift, they expect TPRM offerings to deliver better machine learning (ML)-based automations and analytics and stronger correlation against prior assessment findings. This evolution will help organizations more easily spot and respond to incidents and more efficiently gauge vendor and supplier resilience on an ongoing basis.”
Trend 2: TPRM Will Evolve Into Third-Party Lifecycle Management
It’s all about supplier resilience now, and that means looking at risks from the beginning to the end of the vendor relationship, the authors say.
Looking at risks at a single point in the supplier relationship, for example only at the time of onboarding, is the wrong approach. Risks continually present themselves throughout a supplier relationship long after the contract is signed.
Yet, according to a recent TPRM trends report, fewer than half of companies are tracking third-party risks as the relationship progresses through maturity.
In 2023, the authors believe that organizations will begin to look at third-party risks as a lifecycle with uniquely tracked and managed risks during sourcing and selection, onboarding and contracting, ongoing management, and offboarding.
This evolution will be driven by the need for better program oversight as professionals seek to capture information from colleagues adjacent to them in areas such as procurement, legal, compliance, audit, and risk. To facilitate this, data must become more accessible across teams and processes consolidated around a consistent set of workflows.
Trend 3: Geographic, Political Insights Will Become Increasingly Accessible in TPRM Solutions
“If there was anything that the Russian invasion of Ukraine taught us, it’s the need to consider geo-political concerns in making supplier decisions. This is inherently a non-IT risk,” the authors say.
“It is notoriously difficult to identify the regional sites of a third-party supplier that may be impacted by a geographic event such as adverse weather or geo-political issues. While the head office is commonly identified during the contracting phase, the regional sites such as manufacturing plants are often not readily available.”
Considering the ramifications of the Russian invasion of Ukraine, in 2023 organizations will seek to capture more geographic information so they can report immediately to executives once a major event hits the media, identify potential challenges in the supply chain quickly and efficiently, and adjust accordingly.
Supplier risk management solutions will help facilitate the collection and analysis of this information through passive scanning and the creation of a comprehensive supplier profile.
In 2023 Trends in Video Surveillance, Eagle Eye Networks experts predict what will impact the video surveillance industry in the coming year and suggest ways business leaders can take advantage of these industry shifts to improve their operations.
Trend 1: Businesses Budgeting for AI-Ready, Future-Proof Video Surveillance Platforms
Successful businesses are preparing their operations for the future and want a video surveillance system that is AI capable and has the flexibility to run advanced analytics. Dynamic shifts over the past few years in the way the world does business forced companies to use technology in new ways. Video surveillance systems, once only used for security, are now a tool to help optimize business operations. Businesses want an AI-ready video surveillance system that will generate useful insights from gathered data.
Over 50% of businesses are using AI in some way, with more than 25% reporting widespread AI adoption within their company, according to a 2022 AI business survey by PriceWaterhouseCoopers. The survey shows that businesses that are not already using AI know that new, modern technologies will automate their systems and processes in the future and are budgeting for the infrastructure now.
Video surveillance systems capable of running AI help businesses scale their ability to analyze and act on data. Advanced uses include systems that can automatically detect and send real-time alerts of security threats and gather data to provide useful information like peak foot traffic or customer wait times.
Trend 2: Businesses Want Solutions That Reduce Operating Costs
The cost of doing business continues to rise and many companies are taking a hard look at their finances as profit margins narrow. Inflation is at a 40-year high, industries are still grappling with global supply chain issues, ongoing semiconductor chip shortages, and a tight labor market.
Companies are taking steps to prepare for an uncertain economic future and want options to reduce operational costs, including their video surveillance systems. Operational technology costs, many of which are not in plain sight, can significantly raise the cost of technology ownership. However, cloud-based technology offers businesses substantial economies of scale.
Moving the computing and video storage infrastructure to the cloud results in a lower total cost of ownership compared to a typical onsite system. The lifetime savings generally range between 20-50% compared to costs for hosting the VMS (video management system) applications in a corporate data center.
Some VSaaS (video surveillance as a service) providers now offer discounts and protection from future inflationary price increases for years to come with multiyear subscriptions. Customers are incentivized to sign up for a yearly or multiyear subscription to take advantage of today’s prices that won’t increase for the duration of the subscription.
While some customers rely on the flexibility of a monthly bill, more businesses prefer paying once a year for subscription services that have already been budgeted. Discounted service agreements and flexible billing will continue to be a sticking point for businesses until the economy stabilizes.
Lastly, businesses are buying higher resolution cameras as they become more affordable. There has been a three-fold increase in high resolution IP security cameras over the past 5 years, according to the 2022 Eagle Eye Networks Cloud Video Surveillance Camera Worldwide Statistics report. As the resolution increases, the ability to implement video analytics solutions also increases, ultimately making systems more effective.
Trend 3: Parking is Being Universally Automated
There is tremendous growth in the automated parking system market. Businesses that manage a parking component – from multifamily housing and business parks to commercial buildings and medical complexes – want a convenient solution. The automated parking system market is expected to grow at a CAGR of 15.1% through 2030 according to a 2022 report from Emergen Research.
The market value is predicted to grow by $3 billion in that time. A continuous increase in vehicles on the road plus land scarcity and consumer convenience is contributing to market growth. In an Eagle Eye Networks poll of security integrators, 50% of respondents said that their prospective customers inquired about improving security and operations for their parking areas.
Meanwhile, 27% of prospective customers asked about security for their parking areas, while 23% of prospective customers did not specifically ask about parking.
Many automated parking systems are expensive to implement, so adapting existing video surveillance systems to include automated parking is a marketable solution. Businesses are looking to their video surveillance system to improve and automate their parking. Ideally, video surveillance systems integrated with parking applications can use camera infrastructure to monitor traffic flow and guide drivers to available parking spaces.
In general, data gathered from video analytics can be used by business owners and operators to make informed decisions about parking areas – when to limit entry, raise prices, or ready staff. The right video surveillance system should provide a viable solution for parking automation.
Trend 4: Schools Are Experimenting with Security Technologies to Enhance Safety
Improving school campus safety continues to be a priority, particularly in the U.S. As a result, a variety of security technologies are being adopted.
School districts continue to experiment with security systems to make schools safer using designated funding from bonds or government initiatives. While no single solution has proven to solve all school safety and security issues, compatible systems are best positioned to serve the needs of school campuses.
In the summer of 2022, U.S. lawmakers passed $1 billion in funding for schools to “create safe and healthy learning environments for all students” with an additional $300 million for training and equipment for school threat deterrence.
What schools want are solutions to improve incident deterrence, detection, and response. Video surveillance for education must integrate easily with other security applications to extend the power of the system. The ability to combine access control applications with video surveillance will distinguish systems in the education market.
School administrators and IT teams require a system that is easy to use and reduces the amount of onsite equipment and maintenance. Cloud video surveillance provides an ideal platform, allowing for centralized management of all facilities from one single dashboard.
School districts are also looking for advanced options such as video analytics that can send automatic alerts when people enter campus properties like parking lots or fields during off-hours.
Districts also want a convenient way to access and share video surveillance with first responder agencies during critical incidents. Some video surveillance systems allow administrators to pre-assign access to first responders so that live video can be immediately accessed in an emergency.
Trend 5: Convenient and continuous customer support saves time and manpower
More businesses are realizing the value of customer support and training services as part of their purchasing decision. Customers expect immediate and convenient 24/7 customer service and this is becoming a differentiator among security solutions.
More than 9 in 10 businesses are currently using cloud technology in some way, including email, phone, backup, applications, and increasingly, video surveillance.
As businesses shift to SaaS (software as a service) models, they consider the corresponding support and training as part of their investment. IT leaders are making more SaaS purchasing decisions and customer service solutions can impact staffing needs. With cloud-based systems where technical support can access a system and remotely solve a problem, businesses do not need to have their own experts on staff and can save on operational overhead.
Cloud video surveillance, and generally SaaS products, have a higher customer retention rate than traditional surveillance systems. Convenient and effective technical support becomes key to keeping customers content and loyal beyond the length of a subscription.
Negative reactions to phone trees, outsourced call centers, and ineffective customer support can damage a service provider’s reputation. Conversely, convenient access to support through in-app chats and SMS support will enhance reputation and customer appreciation. In addition to support, customers today expect robust training services and easy onboarding for new employees.
There’s also plenty going on in the residential security market. A Parks Associates Research report commissioned by the Electronic Security Association and sponsored by Resideo outlined 5 top residential security trends to watch for this year, noting the millions of households that have come aboard due to the explosion of DIY offerings and COVID-19.
In 2022 though, home security system adoption slowed with home security ownership dropping from 2021 levels, ESA said. The industry’s top players, however, are achieving record revenue in 2022 and that shows no signs of slowing. The rebound of professional installation since 2020 and recent solar system and service offerings have generated robust revenue growth.
In fact, several of the top residential security companies reported double-digit YoY growth while also recording record-high total revenue, ESA noted. Parks Associates research on security dealers found they have expected steady growth in their revenues since 2020.
Only 15% of security dealers in 2020 expected a 10% or more revenue increase in 2020 compared to 38% in 2022. Top player revenue increases over the past year point to new services such as solar and vehicle services offered by security companies as drivers to growth.
Trend 1: Raising Rates
In 2022 inflation broke a 40-year high. There are few indications that consumers or businesses can expect inflation relief in the cost of goods and services in the near future. Security companies must find ways to increase revenue to compensate for the higher prices in materials, overhead increases, wage inflation, and the possible attrition of customers who need to “tighten the belt.”
A good portion of the security industry is raising professional monitoring fees or including new services for consumers or both. Five of the 12 major home security players Parks Associates tracked in Q2 increased their monthly professional monitoring fees. The average price hike for these 5 companies was about $12 per month.
15% of security dealers expected a 10% or more revenue increase in 2020, while 38% expect a 10% or more increase in 2022.
Some companies raised the price of its basic self-monitoring service, but also enhanced basic plan features. Other companies enhanced revenue by adding new service, such as professional monitoring. Price hikes for security monitoring may impact adoption rates throughout the rest of 2022 and into 2023, but security solutions have a track record of maintaining demand even in uncertain times.
Trend 2: Home Security for the MDU Market
According to the National Apartment Association (NAA), demand for apartments is at an all-time high. The demand is driven by a number of young adults aged 18 to 24 who are delaying home ownership and an aging population sometimes choosing to live in apartments.
Technology product and service providers, including home security providers, increasingly target the multifamily space, offering services to both MDU residents and rental property owners. Parks Associates research finds that 80% of property managers plan to implement smart home devices within the next 12 months, demonstrating a strong demand for automation and operational efficiency in the MDU space.
Additionally, safety and security benefits top Parks’ tested value propositions among MDU residents. 64% of MDU residents said it would be highly valuable to receive notifications from connected devices about safety issues, and 62% rate activity monitoring outside of their door as highly valuable.
Trend 3: Manufacturers Continue to Innovate Video and Deterrence Solutions
Smart cameras and video doorbells have some of the highest adoption rates among smart home devices; industry players have noticed. In July 2022, 14% of US Internet households report owning a video doorbell, and 13% report owning a smart camera.
Security system owners adopt these products at much higher rates than the average household. These are also the most common devices that security owners add to their systems if they did not include them at purchase. Recent camera product announcements in 2022 illustrate how manufacturers fighting for an edge in this competitive market.
Whether for a video doorbell or freestanding camera, manufacturers are improving pixel quality, night vision, thermal vision, camera view, camera durability, battery life, and A.I. detecting capabilities. These new features are vital for improving intruder deterrence and porch pirates; they also improve a customer’s experience by better identifying what conditions merit alerting the customer.
Companies are also innovating by putting video in new places of the home. For example, Lockly and Eufy have recently come to market with smart locks that also provide video, and Chamberlain has a garage door opening system that includes video inside the user’s garage.
Trend 4: Adoption of Vehicle Security and Solar Systems
Vehicle security and energy management both present opportunities to home security providers. For example, a recent Parks Associates survey find 45% of security system owners or intenders want their security system to detect and prevent theft or damage to their vehicles.
With the FBI reporting a rise in motor vehicle theft in 2020-2022, adoption of vehicle monitoring services is on the rise. Like the potential opportunity in the MDU market, some companies are building a mutually beneficial service that allows both brands to benefit from their partner’s reputation.
Smart home/security providers have identified the usefulness of solar, storage, and battery solutions; they have or are developing models for integrating their existing smart home ecosystem(s) with solar technology.
There already is evidence of solar’s revenue power. In Q1 of 2022 A top security company generated $192 million for the security company, installing 5,500 solar systems, which was an 80% increase over a smart energy companies performance in Q1 of 2021. This demonstrates that the residential security market can overlap with the smart energy market, making solar a natural add-on service for security companies.
While security system sales have dropped in 2022, revenue for the top providers continue to increase. Security companies are tapping significant opportunities for revenue growth through solar. Given the strong early success from offering solar system services and the consumer demand for vehicle monitoring more security providers will follow the major players in providing these add-on services.
Trend 5: Package Theft Solutions Opportunity for Home Security Providers
12% of U.S. internet households have experienced package theft, and the number is likely to rise. In 2021, the four major parcel deliverers in the US (USPS, UPS, FedEx, and Amazon) shipped 21.2 billion parcels, and e-commerce is expected to continue to increase.
Pitney Bowes forecast projects a 5%-10% growth rate from 2022-2027, meaning many consumers will want package theft protection. Swiftlane’s research has found that almost 50% of apartment or townhome residents report having a package theft, while over 60% of condominium residents report having a package stolen. The rates for MDU thefts are much higher than for thefts in single-family homes.
Overall, Swiftlane estimates $6 billion worth of packages were stolen in 2020. Package theft is a glaring issue for consumers, and the home security and access control industries want to provide solutions. In Parks Associates Q2 2022 residential security tracker, Canary (also known as the Smartfrog Group) announced its acquisition of the smart lock and in-home delivery platform company Glue.
Canary will leverage the Glue technology to provide an in-home delivery platform that facilitates quick and secure delivery of goods (parcels, groceries, flowers, pharmaceuticals, etc.) and services (dry cleaning, home cleaning, handyman, facility manager, etc.) to homes by allowing access via an app that is SSL encrypted to permit one-time keys and is fully insured.
The technology also provides instant notification of deliveries to its users. Smart garage door openers also provide solutions for package security. The Chamberlain Group companies (Chamberlain, Liftmaster, and Craftsman) and Genie are partnered with Walmart and Amazon to integrate Walmart+ InHome and Amazon Key services into their myQ and Aladdin Connect platforms. This allows Walmart and Amazon delivery drivers to enter the user’s garage to ensure a secure package delivery.
Also, Genie and Walmart provide porch box solutions for customers; these are permitted to be unlocked by the delivery people so they can place packages in the porch box. The boxes autolock once shut. Camera and video doorbell manufacturers are also providing solutions to help in secure package delivery. In 2022, several manufacturers produced cameras that have package detection and/or porch pirate deterrents with features such as flashing red and blue lights, spotlights, and sirens.
In addition, Amazon has integrated Alexa to notify customers through an Echo smart speaker and/or a smart display Fire TV if a package has been detected from a compatible video doorbell or camera. The makes customers aware that a package is at their home. As e-commerce continues expansion and package theft continues to rise, several players will provide solutions for package security and seek a slice of that market’s revenue.
Here is what security officials from Alcatraz AI had to say about trends they expect to see in biometrics this year, pointing out that while all advances in security are designed to help, it can be hard to know which trends to take seriously in the long term and which ones to skip.
Trend 1: Frictionless Technology Keeps Gaining Momentum
Before the pandemic, the market was moving toward frictionless options, but COVID accelerated the need for touch-free technology. Today, the frictionless user experience is here to stay, the company says, because it delivers highly secure access using biometric identifiers that are unique to each individual, have greater ease of use, and can reduce the spread of germs.
The three primary technologies used to create a frictionless experience are iris scans, facial recognition and facial authentication. Iris scans have proven to help boost security, but adoption has lagged, given the disruption it creates for movement into secure areas. Facial recognition, primarily used in mass surveillance, has shown promise, but privacy concerns have slowed adoption.
Facial authentication utilizes the same underlying technology as facial recognition, but the use case is completely different. This technology is only used to match an individual who has opted-in and is actively consenting to interact with a system, thereby reducing privacy concerns.
And, with the introduction of facial authentication in everyday consumer products such as the iPhone, it is becoming the go-to technology to create a frictionless environment, Alcatraz AI says.
Trend 2: Regionalization of Privacy and Legality
One rapidly moving trend the company is following shows that biometrics privacy and legal regulations are becoming more localized.
Today, cities, states, and countries can all have unique laws, so it’s becoming more critical to know how to navigate the various laws and regulations from one region to the next.
Between the European Union’s General Data Protection Regulation (GDP) and the California Consumer Privacy Act (CCPA), as merely two examples, privacy and following the prescribed processes and regulations have become paramount when implementing biometrics.
Since local and U.S. state regulators often drive legislation, navigating a complex web of laws requires responsible systems, proper privacy policies and compliance. Certain states, such as California, Maryland and Texas have opt-in and opt-out choices for active facial recognition. Other states, like Illinois and New York, have written policies for it.
Staying in compliance with how data is gathered and used is especially important when working with remote employees across the U.S. whose states have different laws.
Most companies will need to enact a fundamental, three-tiered approach for biometrics that includes: notifying staff that biometric data is in use, establishing policies for its use and storage, and ensuring compliance with opt-in requirements. Though it might seem daunting, most of these regulations are easy to comply with when partnering with a biometric provider that prioritizes privacy and proactively follows the regulations/laws.
Trend 3: Growth of Multi-Modal Authentication
Multi-modal authentication has grown recently, especially with changing work environments and enhancements in technology. These changes are driving new approaches, including the need to develop zero-trust security measures to address rises in cybersecurity breaches and workplace incidents.
This shift in the modern workplace has boosted the value of multi-modal authentication, enabling employees to access secure areas with various modes such as facial authentication, PIN codes, fingerprints, and others for greater security and flexibility.
Many companies are opting to use facial authentication as part of their multi-modal strategy because of the added benefits it offers.
Iris and fingerprint technology, which can be temperamental, are known to cause more friction at the access point. Facial authentication reduces unnecessary friction and improves the speed at the access point – essentially providing the benefits of two-factor authentication (2FA) at the speed of single factor.
In addition, when facial authentication is coupled with intelligent systems, not only can someone receive real-time security alerts when unauthorized access to restricted entrances occurs, but they also get actionable data to modify user behavior.
Facial authentication is a more safeguarded method for access control, while also providing a user-friendly, frictionless method that makes it easier for authorized staff to gain entry.
Trend 4: Acceleration of Cloud Adoption, Edge Computing
Security professionals have been slower than other industries to adopt cloud technology, but that adoption is now accelerating as they recognize its importance in meeting new business needs, Alcatraz AI says.
The cloud offers a range of benefits, including enhanced remote management, video-sharing capabilities, space-saving equipment and built-in cybersecurity. The ability to remotely manage security and access-control systems is handy, especially in hybrid environments.
The cloud also provides automatic updates, ensuring you always have the latest security patches and product enhancements. And with built-in cybersecurity, it’s also more difficult for hackers to gain access or information since cloud based-systems provide encryption, monitoring and two-factor authentication, the company says.
Enhancing a company’s cloud-based biometric solution with edge computing (within the device) enables more rapid authentication and ensures secure access when cloud assets might be unavailable.
The combination of cloud and edge processing gives companies the benefits of traditional premise-based solutions and the scalability and continuous improvements offered with cloud-based offerings.
Adopting this strategy, the company believes, allows for more scalability, access to analytics, and immediate alerts to anything pertinent via text message or email. There is more customization and optimization with the cloud compared to traditional premise-based alternatives, making it a viable option that organizations should deploy for accurate, real-time data.
Additionally, cloud storage of biometrics data on the edge ensures easy setup and profile management. Companies should partner with an access control provider that offers flexible options, including hosted cloud, native cloud and on-site options hosted within the customer’s IT infrastructure.
ESA’s recommendations, implications for security dealers
The security industry is innovating rapidly to provide new solutions that drive revenue and customer loyalty. Product features that are cutting edge today will be expected features in base model products. Dealers need to keep abreast of the latest innovations to source products that customers will start to demand, including video, lighting, and other solutions that offer not just intrusion protection, but deterrence.
* Amidst a growing market of DIY solutions, security dealers will benefit from focusing on use cases and segments that leverage the strengths and value of professional installation and monitoring.
* Energy solutions, including home battery storage, solar, and EV charging installation and support are an attractive new service area because they are less likely to become DIY solutions.
* Small- and medium-sized business customers are an attractive segment because they acquire systems and services like consumers, but need a premium tier of monitoring and support.
* Multifamily properties are attractive because property managers have strong needs of a local and reliable service provider to support both staff and tenants.
* Vehicle monitoring is an attractive upsell, and extends dealers’ current business to a new use case.
In the current unstable economic era home security adoption is slowing as prices of goods and services have increased across the board. The industry is innovating to offer new services and improve their products with new features at a rapid pace to create a better value proposition for rate increases and continue revenue growth.
The impact on security dealers looks to be a net positive, as the major players in the home security space are currently seeing record highs in revenue despite slowed growth and times of economic uncertainty.