abstract: tourism, consumption and other industries have been seriously affected by the epidemic, and the government’s fiscal revenue has shrunk accordingly, while the continuous investment in epidemic prevention and control has also increased fiscal expenditure. the 50 pilot city projects of the 2016-2020 xueliang project ended, and the number of hardware became more and more dense, which meant that the previous growth reached a peak, and then the expansion rate will gradually slow down…
According to Omdia’cps.com.cn s Global Security System Integration Report, the market value of security system integration (design and consulting, installation, maintenance and security equipment) has reached $71.7 billion in 2020 and is expected to grow to $98.8 billion in 2023.
in contrast to 2019, new projects and the transformation of existing safety systems around the world have been significantly delayed due to the impact of the covid-19 pandemic. total security integration market revenue decreased by 1.1% in 2020.
With the effective control of the epidemic and the orderly recovery of postponed projects, the market in 2021 showed a slight rebound. Although the future is still full of uncertainty due to the repeated epidemics, looking at the development of the global security market, 2022 is expected to be a year of high growth. Omdia expects the Asian market to grow the fastest during this forecast period by 2025, while the growth of the Chinese security market is the main driver of growth in Asia. It is expected that by 2023, the revenue of China’s security market will reach 70% of the total revenue in Asia.
trends in china’s market segments
tourism, consumption and other industries have been seriously affected by the epidemic, and the government’s fiscal revenue has also shrunk accordingly, while the continuous investment in epidemic prevention and control has also increased fiscal expenditure. at the end of the 50 pilot city projects of the 2016-2020 xueliang project, the number of hardware is getting denser, which means that the initial growth has reached a peak, and then the expansion rate will gradually slow down. from the perspective of digital transformation of governments and cities, the government has digital transformation needs for environmental protection and resource utilization, and the projects involved are generally in their infancy, and the follow-up incremental business opportunities are broad. coupled with the potential maintenance and upgrading business opportunities in the stock market, overall, the government business will remain upward through 2025, and the average annual compound growth rate is expected to remain at about 8.6%.
the demand for networks and software in people’s livelihood service departments such as banks and financial sectors has increased, and the corresponding product and service quality requirements have increased. the outbreak has also accelerated the optimization of existing work models by the state, shifting more work from offline to online, reducing face-to-face contact between people, reducing the risk of cross-infection, and improving work efficiency and service satisfaction.
specific to the intelligence of security hardware, due to the low penetration rate, at present, the network camera embedded in deep learning analysis accounts for only 15.6% of the total output value of global security equipment. in the integrated project in the commercial field, the government began to lead and gradually promote the establishment of acceptance standards, such as requiring buildings to install various security systems, including fire protection, and advance the follow-up intelligent security linkage layout. in addition, with the increase in the number of devices, large data storage, and increased demand for front-end data pre-analysis and processing, responsive solutions will become subsequent market expansion opportunities for integrators.
affected by the epidemic and macroeconomic fluctuations, in the integrated market, the enterprise-side business has shown strong growth, such as advanced manufacturing, enterprise digital transformation, education, medical care, etc.
opportunities and challenges for traditional integrators
some head safety equipment hardware suppliers combined with the current supply chain tension in the market, the continuous increase in raw material prices, the increase in stock and other factors, decided that they will no longer take the initiative to engage in system integration business, but adhere to high-quality development, more focused on product upgrading iteration and program polishing.
under the background of technological innovation, product upgrade and cost optimization, the upgrade from a system integration plus product provider to a big data o&m service provider has become the mainstream development path of traditional integrator transformation.
Traditional System Integration Has A Clear Development Trajectory From The Initial Hardware Dominance To The Future Software Servitization And Service Productization. The Role Of Software In The Security Integration Market Is Also Becoming Increasingly Important. With The Transformation Of Market Demand And Technology, Whether Enterprises Can Integrate Products With Ai Technology Algorithms Into Competitive Advantages Will Fundamentally Determine Their Market Position In The Future. For System Integrators, The Biggest Competition In The Future Is The Competition Of Soft Power, Which Also Tests The Precision And Depth Of The Integrator’s Software Development Capabilities.
Post time: Apr-27-2022