The private security sector is one of strong growth potential, especially in relation to wireless M2M communications.

 

In fact, this area comprises services and solutions like manned guarding, alarm system integration and monitoring, cash and valuables handling as well as various other services, is expected to grow between six and eight percent in Europe and the United States.

According to recent report from Berg Insight, key applications for wireless M2M communication in the security industry includes alarm systems and vehicle tracking systems for passenger cars and commercial vehicles. Alarm systems are categorized into local alarms and monitored alarms.

Of the alarm systems in Europe, roughly 20 percent are monitored by an ARC and are dependent on reliable communication networks. Berg Insight has identified that there is a significant untapped potential in the residential market segment that could be met with the latest generation of monitored alarm systems with GSM/GPRS or dual signaling technology.

For vehicle tracking and recovery, devices that combine GPS and GSM.GPRS technologies offer enablement of monitoring services for any mobile object. The main target market includes passenger cars and commercial vehicles, although niche markets such as construction equipment, plant machinery leisure vehicles and boats could all serve as promising opportunities.

Telematics solutions are offered by only a handful of car OEMs in a few markets in the EU. According to Berg Insight, additional brands will launch OEM telematics solutions on the European market as a response to the eCall initiatives within the EU. The eCall will be a standard feature in all new cars by 2014 as established by the European Commission.

Berg Insight also anticipates that vehicle tracking and recovery will also become key components for many OEM telematics systems in the next few years, especially in the premium car market. A number of niche applications for wireless M2M continue to emerge and are identified as offering substantial opportunities.

One niche identified as offering potential growth is that of personal security for lone workers as they can wear integrated tracking and wireless communication devices for protection. In addition, various forms of electronic monitoring of offenders are gradually being rolled out across Europe in an effort to reduce the cost of prison and to contribute to efforts in the rehabilitation process. 

According to forecasts by Berg Insights, shipments of wireless M2M modules for security applications will grow from 2.3 million in 2009 to nearly 22 million in 2014 in the European market. The number of alarm systems and tracking devices monitored from an alarm receiving center is expected to grow from 10 million in 2009 to 34 million by the end of 2014.

In other Berg Insight news, the company anticipates mobile will account for 11.7 percent of digital ad spend in 2014. As the digital convergence blurs the differences between devices the definition used for mobile advertising is that it is the digital media exposed on a mobile handset screen.