The global physical security equipment market will be worth nearly $64bn in revenue in 2022, equivalent to a staggering expansion at over 10% CAGR.
That’s according to a report from Future Market Insights (FMI), which pinpoints demand for surveillance equipment a sa key driver of the growth.
FMI says a major trend in the market is the emergence of thermal cameras, which it says are quickly becoming an indispensable part of physical security equipment in monitoring unique/large-scale outdoor environments.
The firm points out that several institutions and critical infrastructures are being offered grants by governments for purchasing efficient surveillance equipment.
In addition, the requirement for sophisticated security systems that help in ensuring safety of data has led the organisations to adopt data analytics, along with cloud-based data storages.
The report points out that the nature of the global physical security equipment market is highly fragmented, with presence of various large- as well as small-scale vendors competing for market share.
These vendors, it says, are concentrating on providing innovative and highly-efficient security solutions coupled with customised security services. In addition, they are also providing integrated systems – Global leaders in the market are adopting strategies such as M&A, and are acquiring niche players, in a bid to enhance their product portfolio.
Other key factors from the FMI report include:
- Asia-Pacific excluding Japan (APEJ) is anticipated to remain the fastest-growing market for physical security equipment. By the end of forecast period, APEJ will become the second most lucrative region for growth of the market. Government agencies in APEJ are increasingly deploying physical security equipment in public and transportation security, especially in China and India. In addition, a soaring IT sector, coupled with rapid industrialisation in APEJ countries will further drive the market growth.
- Sales of physical security equipment in the government vertical segment are projected to register the highest CAGR through 2022. In addition, although the healthcare vertical currently accounts for relatively lower revenue share of the market, it will exhibit an impressive expansion over the forecast period. BFSI is expected to remain the second largest vertical in the global physical security equipment market.
- Consumer video surveillance will continue to be the most attractive physical security equipment, followed by thermal cameras and wireless infrastructure. Revenues from consumer video surveillance, thermal cameras and wireless infrastructure will collectively account for nearly two-thirds of the market throughout the forecast period.