The Global Physical Security Market, By Components (Hardware (Intrusion detection and prevention, Access control and Others), Software (Physical Security Information Management (PSIM) and Management Analysis and Modeling Software) and Services (Video Surveillance as a Service (VSaaS), Remote Management Services, Technical Support, Public Safety Answering Point (PSAP), Security Consulting, Public Alert and Warning System and Others)), By Application (Transportation and Logistics, Government and Public Sector, Control Centers, Utilities/ Energy Markets, Chemical Facilities, Industrial, Retail, Business organizations, Hospitality and casinos and Others) and by Region (North America, Europe, Asia Pacific, Latin America, Middle East and Africa) - Global Forecast to 2027, is expected to be valued at US$ 500.2 million by 2027, exhibiting a CAGR of 18.9% during the forecast period (2020-2027), as highlighted in a report published by Coherent Market Insights.
Physical security is physical and electronic measures for safeguarding personnel, prevention of unauthorized access to infrastructure, equipment, material, information, and installations against vandalism, sabotage, theft, and terrorism. The two primary concerns of physical security include prevention and protection serving the security interests of people, equipment, and property. The security of individuals, property, and information has become a critical global issue, in the recent past.
The global physical security market is estimated to account for US$ 500.2 Mn in terms of value by the end of 2027.
Increasing adoption of physical security systems in business organizations is expected to propel the global physical security market growth over the forecast period
Safeguarding financial information, intellectual property, and the company’s brand image has become an essential part of business strategy. However, with increasing number of threats and the complexity of attacks, safeguarding the information, personnel and property has become a formidable challenge. As a result of this, companies have started increasing their expenditure on security measures. Moreover, many companies have improved their security budgets particularly for surveillance, access control, and intrusion detection and prevention systems. According to the data from The World Bank, the number of ATMs per 100, 000 adults has been increasing over the years. Such high-security concerns are expected to propel the global physical security market growth over the forecast period.
Stringent government regulations regarding increased security levels can present lucrative growth opportunities in the global physical security market
The American Planning Association (APA) has laid strict guidelines pertaining to security challenges and security systems in position in the U.S. This has led to the development of concepts including defensible spaces and Crime Prevention Through Environmental Design (CPTED) among others. Governments have imposed mandatory security measures and several guidelines have been issued for its implementation, owing to the critical nature of security needs. This, in turn, has increased the demand for physical security products and solutions. The ISPS (International Ship and Port Facility Security) Code has defined comprehensive measures for enhancing the security around ship and port facilities.
Vulnerability of devices is expected to hinder the global physical security market growth over the forecast period
Although physical security solutions offer various advantages, devices used for this are highly vulnerable to hacking and unauthorized access. Such unauthorized activities can lead to data breaches and a potential threat to confidential information. Thus, such factors are expected to hinder the global physical security market growth over the forecast period.
Organizations produce millions of event logs from a variety of user activities such as access to computers and applications and access to buildings or rooms. Often these events are highly relevant for protecting an organization’s privacy, confidentiality, and security. This trend has been further pushed ahead with the digitalization of physical security data. Further, an increasing number of security events fall outside the immediate scope of security infrastructure. For instance, access to office computers cannot be perceived as an immediate threat to security; however, it demands to monitor. Combining event and systems information with security management would result in cost savings, better visibility, and higher efficiency.
Key companies are focused on research and development activities, in order to enhance the market presence. For instance, in September 2013, Axis introduced the new HDTV 1080p/3-megapixel model AXIS M30 fixed mini dome cameras. In May 2013, Bosch Security Systems Inc. introduced the new FLEXIDOME micro 2000 IP and micro 2000 IP for its advantage line cameras. Moreover, in September 2013, Morpho SA launched the MorphoAccess SIGMA Series for fingerprint identification terminals.
Global Physical Security Market - Impact of Coronavirus (Covid-19) Pandemic
Globally, most of the countries are affected by COVID-19 and most of the countries have announced lockdown. There is an increase in phishing ransom and malspam attack, as attackers are using COVID-19 as bait to impersonate company brands by misleading employees and customers. Not only businesses are affected by these attacks, end users who download COVID-19 related information are also being targeted through downloading ransom ware disguised as legitimate applications. Cybercriminals are launching COVID-19- themed attacks in the form of phishing mail with a malicious attachment that will disrupt the system and steal important credentials. This, in turn, increases demand for physical security market.
Key players operating in the global physical security market are Axis Communications AB, VidSys Inc., Bosch Security Systems Inc., EMC Corporation, Morpho SA, Tyco International Ltd, HikVision Digital Technology Co., Ltd., Assa AB, Genetec Inc., Honeywell Security Group, Cisco Systems Inc., and Pelco Inc.
Key market players are involved in mergers and acquisitions, in order to gain a competitive edge in the market. For instance, in August 2017, Honeywell Security Group acquired Nextnine Ltd., a provider of industrial cyber security.