A&s international jul 2015 (trial version) by Messe Frankfurt New Era Business Media Ltd. Taiwan Branch

Jul. 2015 Product ExPloration

ViEwPoint

Survival of the Fittest: A Day in the Life of an Axis Camera

Internet of Things in Buildings: The Security Industry’s Biggest Challenge and Opportunity

sPEcial rEPort

The Sky’s the Limit for Cloud-Based Security Surveillance

POS and Video Integration — A Way to Stop Sweethearting?

industry rEPort

What’s Molding the Industry?

sPEcial FEaturE BusinEss talk

Is Security “Good” Business? Calculating ROI on Security Investment Discussing return on investment (ROI) in the security domain is a tricky subject — manufacturers boast it to increase their sales and managers seek it to justify investments. Traditionally seen as a cost center, security managers need to show that investment in security can bring positive value to the organization.

asia cornEr

Australia Prepares for the Next Wave of Growth

sMaHoME

VErtical MarkEt

JUL 2015 ● www.asmag.com

Stadium Security: Keeping the Eye on the Ball There are several unique factors that come into play when securing large sports events. For systems integrators, this means incorporating different kinds of technology and devices to ensure smooth operation at the right time.

P. 14

Deviating From the Norm — secutech 2015 Exhibitor Highlights

Born to Empower — Platform Benefits all Players in Smart Home Area

Contents....................................... P.14 Editor’s Note ................................ P.16 Corporate News ........................... P.18 Products of the Month ................. P.26 Show Calendar ............................. P.81 Companies in This Issue ............... P.89 New Products ............................... P.90

a&s International, published by Messe Frankfurt New Era Business Media Ltd., is a monthly professional publication for channel players in the worldwide electronic security industry since 1997. It updates importers, distributors, OEM/ODM searchers, system integrators and other product purchasers on product sources and identifies developments in CCTV, Digital Surveillance, Access Control, Biometrics, Intrusion Alarm, Intercom/Video Doorphone, Home Automation and other fields relevant to electronic security.

ISSN 1997-6267 中華郵政北台字第1571號執照登記為雜誌交寄

Waves of Industry Consolidation: From Video to Access Control he recent security industry has been quite vibrant. After some notable acquisitions on the video surveillance side, now the trend is going toward access control. Some significant access control mergers and acquisitions (M&As), influencing the whole global market, include Vanderbilt acquiring Siemens Security Products, the merger of Dorma and Kaba, and Allegion acquiring SimonsVoss Technologies. If we take a further look at regional markets, there has also been a lot, for instance, acquisitions by Assa Abloy. From the macro perspective, these M&As symbolize how vital globalization is for a company. The staggering progress of the European market recovery may explain why those European companies want to find good buyers in the U.S., unifying each other’s strengths, or increase their investments in emerging countries in regions like the Middle East and Asia. From the micro perspective, access control, in the past, was quite like a standalone system using proprietary technologies. Now, IP-based access control is pushing access control technologies to become more open, more standardized, and more versatile for multiple applications, which has naturally resulted in many of the recent M&As. Finally, another interesting trend is the series of M&As involving cloud-based video surveillance and access control companies, mostly seen in the U.S. These M&As forecast how cloud-based technologies will influence the security industry in the future.

Special Announcement of a&s International's th Issue

200

JUL 2015 ● www.asmag.com

&s International’s 200th issue is coming up next month, which demonstrates how a&s International has been recognized by the global security market for the last 16 years. The a&s editorial team has planned a series of featured articles to recap the most significant security events, technologies, and industry changes, from 2007 to 2015 to celebrate the 200th issue. Hope you won’t miss it!

Parson Lee Joseph Lee John Shi

Publisher & Managing Director General Manager General Manager

Editorial

General Press Jill Lai Alf Chang Eifeh Strom William Pao Lisa Hsu Prasanth Aby Thomas Weiting Chen

Editor in Chief Senior Consultant Senior Editor Reporter Reporter Reporter Coordinator

as-pr@newera.messefrankfurt.com jill.lai@newera.messefrankfurt.com alf.chang@newera.messefrankfurt.com eifeh.strom@newera.messefrankfurt.com william.pao@newera.messefrankfurt.com lisa.hsu@newera.messefrankfurt.com prasanth.aby@newera.messefrankfurt.com weiting.chen@newera.messefrankfurt.com

Executive Designer Designer Designer

gaven.lee@newera.messefrankfurt.com mao.chang@newera.messefrankfurt.com arthur.wu@newera.messefrankfurt.com

Art Design

Gaven Lee Mao Chang Arthur Wu

Circulation & Subscription

Michelle Shih

Coordinator

michelle.shih@newera.messefrankfurt.com

Corporate Management

Collins Yuan Thomas Pin Chihung Lee

Group Manager Account Manager IT Manager

collins.yuan@newera.messefrankfurt.com thomas.pin@newera.messefrankfurt.com chihung.lee@newera.messefrankfurt.com

Assistant Manager

jerry.wu@newera.messefrankfurt.com

Manager Trade Fair Manager Project Manager

peggy.wu@newera.messefrankfurt.com echo.lin@newera.messefrankfurt.com eva.tsai@newera.messefrankfurt.com

asmag.com

Jerry Wu Secutech

Peggy Wu Echo Lin Eva Tsai

International Advertising [Headquarters]

Juihui Lin Kay Yang Audrey Fang

Manager Operation Officer Coordinator

juihui.lin@newera.messefrankfurt.com kay.yang@newera.messefrankfurt.com audrey.fang@newera.messefrankfurt.com

[Branches & Representatives]

Bobbie Ferraro Carolina Pattuelli Tenzile Cavus Evris Consolos Muris Hadzic Manish Gandhi Iris Lai Y. C. Suh Takashi Komori Nguyen Thu Ha

USA/Canada Europe (Italy) Europe (Turkey) Europe (U.K.) Southeast Europe India China Korea Japan Vietnam

bobbie@globetrottermedia.com produzione@ethosmedia.it tenzile.cavus@asturkiye.com evris@kemainternational.com management@asadria.com manish@abcindia.biz iris.lai@newera.messefrankfurt.com ycsuh517@naver.com komori@asj-corp.jp project1@vietfair.vn

Messe Frankfurt New Era Business Media Ltd. Taiwan Branch: 2F, No. 8, Lane 360, Sec. 1, Nei-Hu Rd.,Taipei 114, Taiwan Phone/886 2 2659 9080 Fax/886 2 2659 9069 Website/www.mfnewera.com Messe Frankfurt New Era Business Media Ltd., a company formed by Messe Frankfurt (HK) Ltd. and former A&S Group in 2009, is an integrated media service provider in the security industry. Our service covers magazines, Web sites, events and trade shows. The portfolio of a&s magazines includes a&s International, a&s Asia (above published in English), a&s China, a&s Installer, a&s Solution, and a&s Taiwan (above published in Chinese). a&s Turkiye, a&s Adria, a&s Italy, a&s India, a&s Japan and a&s Vietnam are licensed editions. For changes of address or subscription problems, contact us at mfne-circulation@newera.messefrankfurt.com Copyright© 2015 Messe Frankfurt New Era Business Media Ltd. All rights reserved. No part of this magazine may be republished, reprinted or redistributed in any forms, including electronic, without written consent from the publisher.

Advertisers are responsible for their own advertisement content. The publisher is not liable for any legal, image, patent or trademark disputes from advertisements or among advertisers. Legal consultant: Julia S.H. Yu, Attorney at Law, First Law & IP Offices

jill.lai@newera.messefrankfurt.com 16

Corporate News

Hikvision’s System Foils Attempted Readymix Chooses LogiTag’s RFID Solution Robbery at Abu Dhabi Money Exchange to Safeguard Employees

ogiTag Systems, a provider of RFID cloud-based technology for managing supplies, devices, and equipment, announced the selection of its active RFID solutions by Readymix Industries Group, Israel’s producer and supplier of raw materials for the construction industry. The solution is installed on the plant’s forklifts, and safeguards hundreds of staff and visitors from life-threatening accidents. The plant is the first pilot location that employs over 150 staff operating approximately 30 forklifts. Readymix’s manufacturing plant, part of CEMEX Enterprise, was facing several industry challenges when it came to ensuring the safety of its employees, specifically with the forklift operations. Despite tough standards, nearby workers were at risk of being struck or crushed by the vehicle as it weighs several thousand pounds. Forklifts are built differently from normal vehicles, with the front wheels static and back wheels capable of turning at 90-degree angles. Drivers rely on the mirrors to steer them while driving in reverse, which in many cases is not enough, especially in a busy environment of production. Each forklift has an active reader and two antennas, while the staff wears an active RFID tag that supports a panic button. The hardware is capable of operating under tough environment conditions — water, dust, pressure washing, and intense vibrations. In addition, the solution can connect the alarm mechanism with the forklift’s breaks in order stop the vehicle’s movement as soon as a person is in close proximity to the vehicle.

JUL 2015 ● www.asmag.com

ikvision Digital Technology and their Abu Dhabi partner Opal Protection Systems have played a major role in preventing an attempted robbery at a money exchange in Abu Dhabi, U.A.E. A comprehensive video surveillance system captured the moments when a robed figure threatened employees with a pistol and alerted the Abu Dhabi police operations room, which immediately despatched officers to arrest the suspect. Footage of the unfolding drama has been posted to YouTube and proved an online sensation with over 3 million hits. All the money exchanges in Abu Dhabi benefit from highly advanced security technology, which is installed by authorized dealers under the strict surveillance of the police. Each is video linked to a 24/7 specialist police department, which can respond in a matter of minutes to any alert. The security system in the money exchange center involved in the attempted robbery consists of 13 Hikvision easy-to-use IP cameras connected to a Hikvision network video recorder.

AMG Implemented Across Major Motorways to Ensure Safe Traffic Flow During Roadworks

MG, a British manufacturer of transmission solutions, announced that they have completed the supply of a range of hybrid transmission systems for P&D Specialist Services, which covers the M1, M3, M60, and M62 motorways. In total, the new AMG transmission installations cover a distance of 99 kilometers across all four motorways. The M1 implementation consists of 78 cameras deployed between junctions 15 and 19 (33 kilometers) and the M3 implementation consists of 109 cameras deployed between junctions 2 and 4a (31 kilometers). Finally, the M60/M62 installation consists of 142 cameras deployed over a 35-kilometer stretch of road, as part of the Manchester “Smart Motorways Scheme.” A new project on the M1 junctions 32 and 35a, a stretch — of 23 kilometers, commenced April 2015. The M1 project will introduce a stretch of “managed motorway” between Junction 32 and Junction 35a. This will help relieve congestion by using the hard shoulder as a running lane and using technology to vary the mandatory speed limits. Starting with 30 cameras, the M1 roadworks solution will grow to 60 cameras over the project period.

Corporate News

IP-Based Video Solution From Bosch Secures Three Production Plants in Turkey

osch Security Systems has delivered a centrally managed video surveillance solution for three production plants of Naksan Holding. Through its subsidiaries, Naksan Holding manufactures and markets plastic packaging products, fabrics, and carpets. The company operates three factories in Gaziantep, Turkey, close to the Syrian border. For security reasons, it required video surveillance solutions for all three plants but wanted to centrally manage them to benefit from efficient operations. The primary goals were to ensure perimeter security and to monitor entry and exit points for people and vehicles as well as production areas. Together with its local partners Ateksis and the installer Netplus, Bosch developed a networked video surveillance solution with more than 250 fixed IP dome and box cameras across three sites. To guarantee optimal image quality, only day/night cameras with full HD resolution were used. All cameras are managed through a central enterprise edition of the Bosch video management system and video recording manager. They support distributed storage and intelligent video analysis, so that operating personnel can be alerted when an alarm condition is met without having to constantly watch the monitors. The use of intelligent dynamic noise reduction greatly reduces the bitrate of transmitted video, saving network bandwidth and storage cost without compromising video quality. Images are stored on redundant iSCSI systems to ensure continuous operations even in case of a failure.

Grundig Protects the National Archives of the United Arab Emirates

he National Archives of the United Arab Emirates was established in 1968 and is a collection of valuable, historical material of public and scientific relevance, housed in a purpose-built site in Abu Dhabi, U.A.E. It is imperative that a building and archive of such national and regional significance is well-protected. Many of the items stored are irreplaceable, including maps, photographs, documents, and books. Telectron, a well-respected and experienced security integrator with a long-standing reputation in U.A.E. security, was chosen to design and install a new, networked security and video surveillance system to protect the building, its contents, and staff. The brief was to install an intelligent security system that provided alarm notifications of significant events, from a change in scene to active intrusion; provided 24/7 visual surveillance; and recorded and stored all video data. The system also had to be viewed from a number of remote locations, as well as be monitored centrally from a dedicated facility. Telectron installed 140 Grundig IP cameras; 2-megapixel indoor dome cameras positioned within the building; 2-megapixel, vandal-resistant, external dome cameras around the building exterior and site perimeter; 5x cameras in the elevator; and additional 20x 3-megapixel box cameras for high-resolution images and recording. The cameras were positioned around the entire site, including the museum areas, entrances, public areas, and server room. A Milestone corporate-level VMS system, using Cisco network switches, manages and controls the system.

Salford City Council Selects Synectics for Surveillance Upgrade

JUL 2015 â&#x2014;? www.asmag.com

alford City Council, which operates one of the largest publicspace surveillance systems in the U.K., is to upgrade its central control room with Synecticsâ&#x20AC;&#x2122; command and control platform. The upgrade is the latest phase in Salfordâ&#x20AC;&#x2122;s pioneering use of video surveillance, which in the last quarter of 2014 saw the highly trained team direct police to 220 incidents and make 64 arrests. Council staff monitor around 200 cameras across the city, 24 hours a day, 365 days a year. The upgrade will enable IP and analog cameras

from two separate systems, covering public and business areas, to be monitored and controlled in a single unified environment. The system will also enable the control room team to benefit from HD viewing on their display wall for the first time. Other factors that led to the decision to upgrade were the improved mapping capabilities, to aid incident response, and the enhanced reporting capabilities.

Corporate News

DVTel Ensures Multi-Agency Collaboration During 2015 Boston Marathon

VTel, a video surveillance solutions provider, announced that its technologies helped drive enhanced cooperation, strong security measures, and robust communication between multiple agencies Source: wikicommons during the 2015 Boston Marathon. DVTel latitude network video management system (NVMS) and associated cameras were used to safeguard more than 30,000 runners and nearly one million spectators along key race points and spectator viewing areas along the 26.2-mile course. The enterprise-class NVMS was chosen to merge existing standalone DVTel video surveillance systems, typically used by various entities throughout the Metro Boston area for routine monitoring, scene recording, and investigations, into a single unified system to achieve new levels of intelligence, and allow race officials and authorized agencies to access comprehensive video footage across the marathon route. Officials monitored activity from multi-agency command centers to maximize efforts while ensuring collaboration between law enforcement, event organizers, and other aligned stakeholders. DVTel’s NVMS provided global situational awareness by linking separate camera networks into a single entity to deliver greater visibility, and provide more insight into safety and security operations. Since the deadly 2013 Boston Marathon bombing, officials at sports and special events throughout the country have elevated their focus on safety, and therefore, have increased investments in surveillance technologies to monitor suspicious acts, mitigate risk, and effectively manage and respond to incidents. Boston has invested in DVTel solutions, which are used to help public safety agencies take a more proactive approach to safety while boosting security for high-profile events, such as the Boston Marathon, other key sporting events, and the popular annual St. Patrick’s Day parade.

Iris ID Selected to Help Ensure Fair Elections in African Country

JUL 2015 ● www.asmag.com

ris ID, a provider of iris biometric technology, announced that its iris recognition solution has been selected by the government of an African nation to help create a fraud-free voter registration list and ensure fair 2015 national elections. The country’s election commission was tasked with completing a voter registration list in time for national elections this year. Of the country’s estimated 3.5 million residents, about 1.2 million are registered to vote. Initially, the commission planned to use a fingerprint biometric for registration. But after research and input from international election consultants, the Iris ID product was selected due to its accuracy at detecting duplicate registration attempts and its speed of enrollment. The system identifies registered voters based on the unique characteristics of the iris. During a 2014 trial program, the election commission found the Iris ID technology was able to accurately identify 457 instances of duplicate registrations seeded into a base of 1,062 registrations. Speed of enrollment also worked in Iris ID’s favor. Roy Dalle Vedove, an international elections specialist and election commission consultant, said data quality determines the reliability of a database — that’s especially true with biometrics. Obtaining good biometric data requires high quality acquisition hardware and software.

Sovereign Installs First-Ever Lift Destination System in Wales

overeign Fire and Security has recently completed a building management system at Ty Admiral in Cardiff, U.K. The new access control and lift destination system reduces time spent by staff queuing and improves the efficiency of people getting to their work floor. The system, which has been developed together with TDSi and the lift manufacturer OTIS, is the first one of its kind in the U.K. Admiral is one of the largest employers in South Wales and has recently moved to their new headquarters, Ty Admiral in Cardiff, with approximately 2,500 people. Admiral recognized there was a problem with staff waiting for lifts at break times, lunch times, and other busy times of the day in its previous Cardiff building. Therefore, Admiral commissioned Sovereign Fire and Security to install an access control and lift destination system into the design of their premises.

Senstar Selected to Secure NATO Rapidly Deployable Camps

enstar, a global manufacturer of perimeter intrusion detection systems (PIDS) announced it has been chosen by the NATO Support and Procurement Agency (NSPA) to provide perimeter electronic security systems for a number of NATO camps of varying sizes and will include the ranging fence-mounted sensor for intrusion detection, as well as video surveillance, access control, and public address systems. Senstar will also train NATO to assemble and disassemble the systems. The perimeter electronic security systems are intended to provide passive protection in a low-threat environment over a wide range of geographic environments and climatic conditions. Equipment requirements included the need to be robust and of high quality, as well as capable of being mounted and dismounted rapidly, under difficult environmental conditions.

Smart Security Gadget and Personalized Tech for ID Editor’s Note:

In the past, the process of IP camera installation or adjustment could be manpower intensive and time consuming. It usually took two people, a monitor, and controllers to finish the whole procedure. An IP camera tester provides a handy way for the installers to check camera details on their own smart devices by connecting to Wi-Fi and downloading the app. Setting up the camera has thus become easier and more convenient.

Genie WiPTeST iP Camera TeSTer

IPTEST is an IP camera tester with IP video transmission via Wi-Fi to mobile phone or tablet. It has one RJ45 connection and one USB DC charge port. The whole system consists of the WIPTEST, IP camera, and mobile app. The system connects the IP camera to the WIPTEST via the RJ45 connection.

Key Features • Simple device to view IP cameras on Apple/Android devices • Rechargeable lithium battery (1800 mAh) • Test button to show battery capacity status • Free Android/Apple app with QR code • USB output to allow charging of iPhones/Android devices DC5V 1A • Compatible with Genie IP and Wish IP cameras Supplier: Genie Security Solutions

URL: sales@geniecctv.com

Editor’s Note:

With high-end technology embedded on the card, users can easily verify the identification without using the electronic readers or checking the database. Various applications such as college campuses, private enterprises, and governments could open more opportunities for this ID card technology.

HiD vanGO One-2-One PerSOnalizeD viSual SeCuriTy FeaTureS

ID Global’s vanGO technology includes a portfolio of one-to-one visual security offerings that enable users to create personalized IDs that immediately validate the identity of the cardholder at the time of card issuance. vanGO allows users to increase the visual security of their cards by engraving the cardholder’s unique image onto a special metallic patch that is hot-stamped on each card as it is issued. This one-to-one personalization process creates a more tamperproof solution that makes it difficult to counterfeit the card and enables the cardholder’s identity to be quickly validated without special training or tools.

JUL 2015 ● www.asmag.com

Key Features • Creates one-to-one personalized images of the cardholder — creates a visual security feature that is to verify while being unique to each credential • Affordable tier 1 protection against counterfeiting — generates visual security features that are virtually counterfeit-proof • Upgrades users’ current system — can be easily incorporated into existing card programs • The vanGO visual security solution is created using a complete, easy-to-use desktop personalization solution Supplier: HID Global

URL: www.hidglobal.com

xis understands how cameras must stand up to less-thantranquil conditions and our cameras pay the price every day in our testing labs. We have some of the most demanding processes for preparing our products to withstand mechanical wear-and-tear, water and humidity, vandalism, extreme temperatures, vibration, and more. We are proud of the range and robustness of the testing we put each and every one of our products through. Our quality and test procedures touch every aspect of the camera, from each component that is selected through to the final assembly, packing, and shipping procedures. But it’s the environmental and impact testing that customers can most identify with because they see their cameras having to withstand many of the same conditions we subject our cameras to. Let’s take a look at “A Day in the Life” of a typical Axis camera as it endures one of the most rigorous testing procedures in the video camera industry.

Security cameras need to be able to operate in some pretty demanding conditions. Outdoor installations especially present severe challenges in terms of temperature, dirt, wind, weather, dampness, and visibility. Combine in accidental and intentional accidents, vandalism, and damage, and security cameras are subject to a lot of abuse. BY Johan Hallberg, R&D Director, Axis Communications

Survival of theFit te A Day in the st:

Life of an

Axis Camera

Let it Rain: WateRpRoof and dust tests

JUL 2015 ● www.asmag.com

Water can penetrate cameras that are exposed to rain, which can impair the way they function. In severe cases, cameras exposed to water can fail and expose the public to potential electrical hazards. Cameras mounted at construction sites, mining operations, transportation systems, and similar environments are subjected to high levels of dust and particles in the air. The dust can impair image quality or render a camera inoperable. For waterproof testing, Axis cameras are exposed to a high pressure water stream with a flow rate of 100 liters/minute (26 gallons/minute) onto the camera from a few meters or feet away. Following the test, the camera is opened and inspected for water ingress with special attention paid to its sealing gaskets. For dust protection, the camera is

placed in a dust chamber and subjected to extremely high levels of fine grain talc, at a pressure of 20 mbar (15 mmHg, 0.29 psi), for a period of 2 hours when the test is performed at Axis, and a further 8 hours when the test is performed at Underwriters Laboratories (UL). The dust level is high enough to present a severe health risk to anyone exposed to it for a prolonged period of time.

shake things up: VibRation tests A camera can be subjected to vibrations from many sources. Over time, vibration can cause a change in key camera functionalities, such as focus or mechanical properties. Also, the ability to keep focus under low-level vibrations is critical for the image quality of any camera. Axis cameras are tested thoroughly for vibration according to industry standard

The proven reliability of a camera can help to defer costly replacements during the system life cycle and improve utilization.

Strong gusts of wind accompanied by sand and dust during a sand storm can severely impair a camera's image quality and even render a camera inoperable.

should also be esthetically pleasing. The Axis logotype, for example, must be legible at a certain distance, and all colors must remain.

Running hot and coLd: cLiMate tests

processes. The total number of cycles in the vibration test, for a typical outdoor product, exceeds 1 million. In the shock test for a typical outdoor product, the camera is subjected to 600 shocks at 15 G. Following the test, the camera is closely examined for loose screws, mechanical defects, material failure, and other key mechanical properties. Vibration testing is also done to evaluate its impact on performance such as the image stability of a pan-tilt-zoom (PTZ) camera undergoing low-level vibrations, as well as vibration’s impact during shipping. A typical test simulates thousands of miles traveled by road and air.

don’t scRatch Me: abRasion tests Abrasion tests are performed in a lab to check whether the surfaces protecting the lens, such as polycarbonate windows or domes, are resistant to abrasive materials. The surfaces under test are scrubbed with an abrasive cleaning pad and soap water with a predetermined pressure against the tested surface. Each sample is subjected to 100 cycles. After the test, the product should still function properly, with maintained image quality. It

Security cameras are exposed to enormous variations in temperature — from the searing heat of the Middle East to the icy cold of Alaska. Consequently, temperature resistance is a critical aspect of any security camera. High or low temperatures can cause components to fail or freeze. Prolonged exposure to even moderately high temperatures reduces the lifespan of equipment. Axis performs lab tests at eight different facilities with a wide range of temperature conditions. Tests are made with an interval margin of ±15 degrees Celsius (±27 degrees Fahrenheit) at either

end of the operational temperature range. The humidity range spans from 0 to 95 percent. In addition, “live” test sites subject cameras to extreme temperature and climate conditions in Sweden, Thailand, and Russia. They provide better knowledge of product behavior and environmental effects of diverse climate scenarios in varied climate zones than lab tests do. Finally, we perform round-the-clock monitoring at Axis sites of every new product we launch — 44,000 hours in total — so we can know how the product ages and can improve it over time. Why does Axis spend some much time and effort testing our product? Quite simply, it’s about delivering a better overall experience to customers. Reliable products mean fewer repairs, less maintenance, and fewer service calls. The proven reliability of a camera can help to defer costly replacements during the system life cycle and improve utilization. In short, product quality and reliability can optimize capital, operations, and maintenance expenditures.

Internet of Things in Buildings:

The Security Industry’s Biggest Challenge and Opportunity

JUL 2015 ● www.asmag.com

The physical security industry is now moving fast to an all-IP driven business, which has vastly improved and extended the value propositions for its customers. However, the game now moves on and the challenge now is to deliver the Building Internet of Things, connecting all building automation systems on one common IP network platform, where all the building automation services can be monitored, analyzed, and controlled, without human intervention. BY Allan McHale, Director, Memoori Business Intelligence

ur report “The Transformation of BAS to BIoT 2015 – 2020” shows that whilst the Building Internet of Things (BIoT) has arrived, it is restricted to being installed in new prestige buildings where the energy control services are not too complex but are connected through an “open communications protocol” on a common IP platform across all of the devices within each building automation systems (BAS) service. Connecting devices through IP networks has been a major driver in delivering integration across all the nine BAS services that we have analyzed and an important development stage leading to full BIoT. The future of the BIoT business clearly depends on the size and scale of the BAS services market and the speed of adoption as it morphs into BIoT. Today, integration of the different BAS services is becoming a standard practice but it is not “open,” is

expensive to install and maintain, and is not fully automated. The potential market for BIoT is enormous and not surprisingly, major real estate companies are keen to get hold of these new toys. Sharing an open protocol for all the services may not be practical at present. For this reason the full implementation of BIoT in commercial buildings is going to take more than a decade before it gains a substantial share of the available technical market potential. We estimate the market for BIoT, including all the BAS services at installed prices, was worth approximately US$46 billion in 2014 and is forecast to grow to $155 billion in 2020. Growth is likely to accelerate further in the following five years as big data and cloud services increase their share of BIoT business. The value of BAS hardware associated with BIoT projects for some nine separate services, from energy controls to video surveillance, in 2014, accounted for approximately 55 percent. Enablement hardware took a 13

Market Share of BIoT Contract 2014 and 2020 BAS Services Enablement Hardware Network Communication Services IoT Services & Big Data

The most successful strategy to move forward fast will be to identify where the current technical obstacles have least impact and the benefits are most likely to be realized. The report shows that new construction projects and retail buildings fall into this category.

percent share, network communication services 17 percent, and Internet of Things (IoT) data services secured 15 percent. These numbers include IP connectivity across single and multiple BAS services but we have yet to identify any complex building that uses one single platform to connect all BAS services, particularly where distributed power and demand response are part of the system. However, we have identified LED lighting control systems in newly constructed prestige medium-sized office buildings that have achieved a full BIoT system across lighting control, energy control, and access control. At this time most of the initiative and investment in BIoTâ&#x20AC;&#x2122;s development is being made by the IoT contingent and if this continues they will become the dominant force in this business. They hold all the new technology to deliver the IoT for a fully automated building but in their quest to achieve massive volumes they will probably slog it out with their main competitors and finish up with a product that can deliver most but not all the requirements for automatically joining all the nine BAS services that our report details.

Sharing an open protocol for all the services may not be practical at present. For this reason the full implementation of BIoT in commercial buildings is going to take more than a decade before it gains a substantial share of the available technical market potential.

They know little about the design, installation, operation, and servicing of buildings, which is, still the ownership of the manufacturers of BAS systems and in addition BAS manufacturers have direct access to a vast heritage estate that will need to be retrofitted. These two camps need to work together to combine their expertise if the full benefits of BIoT are to be realized and meet the customersâ&#x20AC;&#x2122; buying proposition. The report shows that today most investment and progress in BIoT is being made in Europe and North America where IP networking is already well established across all of the BAS services. Asia follows behind but this could change rapidly as the Chinese government has confirmed that all new public VSS projects will be IP networked. This is a big boost to market growth in IP and progress towards the introduction of BIoT.

Impact of Iot on the physIcal securIty BusIness All three sectors of the physical security industry are now committed to using IP networking, with video surveillance almost accounting for 50 percent of its revenue across the world. So the industry is well placed to play a significant role in IoT. It is by far the largest BAS service if we take access control, intruder alarms, and video surveillance with IP network cameras together. It is already taking an active part in BIoT where video is regularly connected and converged with other building services, the business enterprise, and a number of smart city/safe city projects around the world. However video surveillance does have some additional technical challenges to overcome.

Allan McHale, Director, Memoori Business Intelligence

According to a National Retail Federation survey from 2010, at that time only 25 percent of retailers integrated POS and video. The problems preventing this integration were lack of standards, numerous different POS systems, and other compatibility issues between video and POS information. Five years down the road, this integration has gained much popularity and is now commonly used by retailers. a&s spoke with several companies to learn how POS and video integration help retailers with loss prevention.

OS VIdeO and

INTegRATION A Way to Stop Sweethearting? BY Israel Gogol, Freelancer

JUL 2015 ● www.asmag.com

ive years have passed since the aforementioned National Retail Federation (NRF) survey, and the POS industry is still very fragmented; however, POS and video integration is gaining ground and is now becoming an industry common practice. “We do integration with POS for 100 percent of our customers — that’s where the highest payback is,” described Charlie Erickson, Director of Product

Management at 3xLOGIC. “We have 100 different POS integrations, and employees completely dedicated to accomplishing these integrations. Difficulties arise because of lack of standards and different systems. We have one customer that has three different systems that we had to integrate with POS but ultimately it’s worth it: this is where we see the largest return for our customers.” Market segmentation is not the only problem facing the integration of POS data with other systems. Knowledge gaps as to what solutions are available to retailers, or even what this integration means are faced by solution providers. “One of the challenges is the lack of standards in regards to integration. We see this as well. We also see that the definition of POS integration is very broad. Each client interprets it differently, from text overlay on the video to more advanced solutions. Even end users don’t have a consensus on what it means. There is also a market education problem, some clients don’t even know what is possible,” mentioned Mike

Mike Compton, President, Digiop Charlie Erickson, Director, Product Management, 3xLOGIC

Compton, President of Digiop. Even when a client decides to go forward with POS-video integration there are internal hurdles to be overcome. “In some chains the IT department wouldn’t allow access to the POS data for fear of exposing customer payment information. In others, the providers of the recording technology didn’t have open standards or the framework to correlate the transactions with the associated video,” explained Scott Thomas, Global Director of Business Development for Retail and

Banking at Genetec. Today in the IP video world many of those challenges have been overcome. “At Genetec we have developed a custom framework that allows the stores to set the precise parameters of what information is seen by their loss prevention team. This means data like credit card numbers can’t be seen by investigators, but the rest of the transaction can be searched and viewed to identify fraudulent cashier activity at the register. This same open architecture framework allows Genetec to integrate with every register and POS system that moves data over the companies LAN or WAN,” Thomas added. With numerous POS vendors, data being handled differently from system to system, and no industry standard in sight, individual development efforts are required for each new integration. Digiop is taking a different approach, rolling out later in 2015 a universal driver for POS integrations. “Instead of having a separate driver for each POS system, we have a universal driver that can consistently collect data. This allows us to make sure the integration and interactive experience is identical for all end users,” explained Compton. Another example is Tyco, which has adopted the NRF’s UPOS standard. “The adoption of NRF’s UPOS standard has assisted in driving the integration of POS and video. Today we use UPOS as our preferred means for integration in POS and video, outside of XML and XLS format. In some cases direct integration is still required, but usually only between backend systems like exception reporting systems and video surveillance, and not at the device level,” said Justin Lee, GM of Asia at Tyco Retail Solutions.

The Sky’s the Limit for

Cloud-Based Security Surveillance By Prasanth Aby Thomas

Moving surveillance data to the cloud gives customers the freedom to not just scale-up their systems but also use services like advanced video analytics, which may require massive computing power. Clearly, it’s all good for the end user, but where do channel partners and systems integrators fit in this new market?

JUL 2015 ● www.asmag.com

ith improved technology providing more bandwidth and high-quality cameras beaming in large amounts of data, the latest trend in the security industry seems to be cloudbased security systems or video surveillance as a service (VSaaS). According to IHS, which defines VSaaS as a solution where customers pay a regular fee to view live or recorded video surveillance data remote from the location of the security camera, the industry was estimated to be worth US$759.5 million in 2013 and is forecast to reach $1.3 billion by 2017. The sector is not just expected to see rapid growth, but also bring other wings of security and automation together, integrating them into the cloud. “Increasingly, VSaaS solutions are being used in conjunction with other services to provide a more complete or customized solution,” said Aaron Dale, Analyst for Video Surveillance at IHS. “Examples of other services that are commonly integrated with VSaaS solutions include access control, point of sale (PoS), energy management, intruder alarm, and video analytics.”

The Ideal VerTIcals for cloud

Dean Drako, President and CEO, Eagle Eye Networks Matthew Connolly, Director, CudaEye Sales, Barracuda Networks

Cloud-based security surveillance service providers are increasingly offering services that take them beyond security, such as retail analytics.

So far, small and medium businesses (SMBs) have been the major adopter of cloud-based surveillance solutions, especially those that need to monitor a few small-scale areas spread over several locations. But a rapidly growing market is the residential sector, as some telecommunication companies have begun to provide this service and homeowners are increasingly concerned about security. According to Lee Odess, VP of Marketing at Brivo, verticals seeing significant growth include retail trade, professional services, health care and accommodation, and food services. Nafis Jasmani, Regional Business Development Manager of South Asia Pacific at Axis Communications agrees, but sees a strong potential for further growth in the retail segment. “The [cloud-based] solution is ideal for small business at single or multiple locations such as at convenience stores, gas stations, retail stores, and small offices,” Jasmani said. “However growth is highly potential from a typical end customer that is in the retail segment, for example an alarm subscriber and/or a business with small and dispersed sites.”

Other service providers are likewise optimistic that with the advancements in technology, more verticals would adopt cloud-based surveillance. Nicolas Dupre, CEO of Acoba believes that professional and retail markets are moving towards this new system aided by the increased prevalence of internet through fiber optics. Dean Drako, President and CEO of Eagle Eye Networks said that his company is seeing growth across verticals, offices, retail, residential buildings, campuses, manufacturing, banking, government, and restaurants.

GoInG Beyond securITy on cloud Video surveillance is no longer just about seeing what’s happening, but more about intelligent analytic solutions tailored to the end-user requirements. In the cloud-based industry too, service providers are making sure they provide some specific solutions. Dupre said his company works on license plate recognition, face recognition and retail statistics. Matthew Connolly, Director of CudaEye Sales at Barracuda Networks explained that they utilize onboard video analytics and proprietary algorithms to identify and capture important elements during recorded events, suggesting that these

Nafis Jasmani, Regional Business Development Manager, South Asia Pacific, Axis Communications Martin A. Renkis, CEO, Smartvue

Nicolas Dupre, CEO, Acoba Lee Odess, VP, Marketing, Brivo

help the end user beyond security. “CudaEye is an excellent solution for employee management and training, active monitoring of manufacturing and assembly lines, and remote viewing of geographically dispersed sites,” Connolly said. “CudaEye surveillance is routinely used by education and government customers for safety, and commercial customers for regulatory compliance.” Drako agreed that video analytics offers clear opportunities for expanding and customizing security applications, further elaborating on his company’s efforts to simplify access to the technology. “Eagle Eye Networks created an open RESTful API to reduce the infrastructure required, to encourage and accelerate innovation in developing new applications,” Drako said. To companies like Iveda, whose primary focus is cloud-management software platforms, analytics could be all the more crucial. Indeed, David Ly, Chairman and CEO of Iveda maintains that their approach to the industry is quite different from that of a traditional video surveillance company. “Analytics software needs to perform more efficiently than how they have been within the traditional security industry,” Ly said. “They also need to be simplified and more flexible and not complicated to configure or set up. It must also be designed to scale without limits if you really want to achieve mass market adoption.” Then there is also the Internet of Things (IoT), the next big thing the industry is all set to embrace. According to Martin A. Renkis, CEO of Smartvue, his company plans to capitalize on their expertise in the cloud by applying it to every-day devices, to strengthen presence in this new segment. “We also look at the IoT market for video (which we call IoTV) to enable phenomenal

Stadium Security:

Keeping the

Eye on the Ball

There are several unique factors that come into play when securing large sports events. For systems integrators, this means incorporating different kinds of technology and devices to ensure smooth operation at the right time. BY Prasanth Aby Thomas

JUL 2015 ● www.asmag.com

hen the MetLife Stadium in New Jersey, U.S., was being readied for the annual football tournament last year, the people responsible for security had decided to go for a shootout to find the most suitable solution, before selecting Arecont Vision’s products. Obviously, such large sports events are always a major security risk, not just because it’s a mass gathering but also because of the money at stake. The natural concern while preparing security systems for such events is that everything — every single device and component — should integrate and work together at the crucial time of the event. Moreover, the devices may not be used continuously once an event has concluded, so it’s essential that they are ready to jump into action whenever required. “Due to the security demands that accompany an event like hosting The Big Game, and keeping the fans in attendance safe and secure during the experience, the security team at MetLife Stadium wanted a solution that allowed them to see every face, seat, and

common area inside and outside of the stadium in perfect detail,” said Becky Zhou, VP of Sales for Asia Pacific at Arecont Vision. “Additionally, they wanted to use cameras that would allow them the ability to see everything but not be obvious to visitors to the stadium. By using Arecont Vision cameras to reduce overall camera counts, MetLife Stdium’s security team was able to achieve its goal of implementing an unobtrusive high-performance surveillance system.”

A PotentiAl VerticAl for SyStemS integrAtorS

Dan Donovan, VP, Sport & Entertainment, Guidepost Solutions Hagai Katz, Senior VP, Business Development and Marketing, Magal Security Systems Andre Leitao, Business Development Manager, Stadium and Sports Arenas, Bosch Security Systems

The technical complexities of managing large arenas, combined with the critical fact that every single device needs to be integrated for smooth operation, makes it vital that professional systems integrators (SI) handle this vertical. From an SI’s perspective, this is a good opportunity to diverge their business into, but unlike several other verticals, there are certain unique points to take note of. Given the international nature of large sports events, it is inevitable that SIs who work in this vertical have a multinational presence. Those SIs who might consider entering this vertical would be better off expanding their global footprint. SIs who are already in this vertical are keen to make sure that with each project they are able to leave a good impression that would help them expand their reference list globally.

Having the Resources to Meet the Needs But an extensive network is only the first step to this vertical. Considering the complex nature of integrating

Is Security “Good” Business?

ROI

Calculating on Security Investment

JUL 2015 ● www.asmag.com

BY Israel Gogol, Freelancer

Discussing return on investment (ROI) in the security domain is a tricky subject — manufacturers boast it to increase their sales and managers seek it to justify investments. Traditionally seen as a cost center, security managers need to show that investment in security can bring positive value to the organization.

n its essence, return on investment (ROI) is a simple concept: it allows a company to check whether or not investing money in a project is worthwhile. There are several financial methods to calculate ROI, but they all can be summarized into one principle, calculating the ratio between the return (benefit) we can get from the project and the project’s cost. However, discussing ROI for security investment can spur a heated debate. The costs involved in security investment are clear; it is the expected return that is not easy to define. Dr. Francesco Flammini is Senior Innovation and Security Engineer at Ansaldo STS, and co-editor of the book “Effective Surveillance for Homeland Security.” According to Flammini, “When designing

a security system, it is important to evaluate both the total cost of ownership (TCO) of the system and the expected ROI. Presently, many companies use rule-of-thumb approaches lacking systematic analyses.” Flammini stressed the importance of a data-driven approach. In his research, Flammini proposed a methodology and a tool to automatically evaluate the ROI provided by security systems based on input data. This data includes estimations regarding the frequency of different threats (or historic data on how often they occurred), the vulnerability of the

we accurately estimate in advance how many incidents the system will prevent? How should we factor low frequency but high impact events like a terror attack? Since we can only predict the likelihood of a security event this makes showing ROI much more difficult.

Looking at Roi FRom a Business PeRsPective

Sean Ahrens, Security Consulting Services Practice Leader, AON Global Risk Consulting

Dr. Francesco Flammini, Senior Innovation and Security Engineer, Ansaldo STS

system with respect to each threat, and the expected consequences of threats in monetary terms (e.g., measured damage caused by previous incidents). In addition, the model also looks at the initial cost of the security system (including acquisition of devices, design, installation, and testing/fine-tuning) and the operation and maintenance costs of the security system (including the salary of operators, agents, and the rates of required repair interventions due to component failures or recalibration needs). “This model requires a detailed, rigorous, substantiated, and quantitative risk assessment, which is essential to get reliable ROI and TCO estimations,” explained Flammini. When security investment is concerned, the returns are usually in terms of cost saving. For example, the return from installing an anti-shoplifting security system in a retail environment is the return that comes from reduced shrinkage. The problem is how can

Sean Ahrens, Security Consulting Services Practice Leader at AON Global Risk Consulting, recommends focusing on the business justification of the investment, deriving the returns from greater efficiencies the investment will bring to the organization. “Security is not an ROI term and this is one of the challenges,” said Ahrens. “When a security director approaches a CFO and asks for US$500,000 for an investment he can’t just promise better security, he needs to show business acumen. We need to implement programs that are measurable and definable so that they can run without looking like a cost center and show the CFO that security is ‘good business’ and not just a cost,” Ahrens added. According to Ahrens, security managers need to think in creative ways on how to show a company that security systems can in fact bring revenue back to the company in other ways. “Usually companies want a five-year buy back period,” explained Ahrens. “We need to show how the system works cost effectively and saves money for the organization. For example a centralized video system, routing all video into one center can allow saving manpower, or make existing manpower more efficient by allocating men to do other guard duties instead of watching monitors in the local control rooms.”

WheRe to staRt Ahrens explained that the first stage is mapping out the process and then identifying the resources that can be used to calculate the costs. By using dispatch logs, incident management systems, guard logs, and other relevant resources, users can get an understanding of how many incidents happened and their relative costs. “We can then use this data to calculate the efficiencies. Identify those

Should We Factor Non-Security Benefits? Many security systems today try to give value beyond security. A surveillance camera can give business intelligence insight like a heat map of the flow of people through the store, or people counting to help calculate conversion rates. Sensors are connected to intrusion systems and heating systems to alert of intruders but also to help manage lights, heating, and air-conditioning to get better energy efficiency. In this case, should we factor these additional benefits to the ROI calculation? “That is a very good question. Quite obviously, the answer is yes,” said Dr. Francesco Flammini, Senior Innovation and Security Engineer at Ansaldo STS. “Each security mechanism needs to be evaluated against all its possible benefits. In terms of security, there are at least three: deterrence (reduction of threat frequency), protection (reduction of threat success), and rationalizing (reduction of threat consequences). Combining all these advantages together is possible and highly suggested in order to get a realistic estimation of the ROI,” Flammini explained. Sean Ahrens, Security Consulting Services Practice Leader at AON Global Risk Consulting is also in favor of the idea: “It is a potential opportunity but then the ROI justification is jumping across business sectors, so it is important that you get them on board as well.”

ADVERTORIAL

SMART SOLUTION 2.0

Hikvision Steps Into

“Smart Solution 2.0” Hikvision Digital Technology introduces Smart Solution 2.0, with new smart features added, more powerful functionality, and a greater range of security products included. This solution also includes its iVMS-5200 Professional software, which can be custom-tailored for various vertical applications. ■BY the a&s Editorial Team

mart Solution 2.0” symbolizes that Hikvision Digital Technology is entering a new era of its development to be an end-to-end, one-stop video surveillance solution provider, with a comprehensive product portfolio, powerful and flexible functionalities, coupled with many new adds of smart analytic features, including people counting, heat mapping, object counting, region entering/ leaving, object removing, object leaving, target cropping stream, and automatic number plate recognition (ANPR). “With the introduction of ‘Smart Solution 2.0,’ Hikvision ensures all the systems integrators can find the most suitable products and solutions for the projects in all sizes and even

"With Smart Solution 2.0, Hikvision ensures all the SIs can find the most suitable products and solutions for the projects in all sizes." Adler Wu, Product Marketing Manager, Hikvision Digital Technology

for some special applications,” said Adler Wu, Product Marketing Manager at Hikvision Digital Technology. “Since all the products are able to be controlled by Hikvision iVMS-5200 Professional video management platform, the systems integrators can freely select the specialized software modules such as business intelligence module, transaction module, access control subsystems, etc. for their projects. The flexibility and scalability of our systems can totally satisfy our customer’s demand for future expansion,” he continued.

ToTal SoluTionS for Small, mid-, large-Sized applicaTionS and VariouS VerTicalS Especially for mid- to large-sized applications, Hikvision provides “Smart Solution 2.0” combined with smart IP cameras, smart NVRs, and iVMS-5200 Professional software. As the main part of this solution, the iVMS-5200 Professional software is an all-in-one centralized management platform, which can manage cameras, NVRs, alarms, access control, and decoders, with smart features and analytics. This makes it highly adaptable to the special requirements of many verticals, such as retail, banking, hotels, industrial applications, and others.

Tailored to Vertical Applications Smart Retail POS management ● POS & alarm control ● Heat mapping analytic ●

People counting analytic Demographic analytic ● Multi-store management ● Conversion rate analytic ● ●

Smart Hotel Entrance management VIP list filtering ● Access control ● Auto tracking

Smart Banking ●

Event alarm Covert monitoring ● Audio exception ● Panoramic monitoring ●

Smart Industrial Intrusion detection Thermal detection ● Temperature detection & Over-heating prevention ● Explosion-proof camera ● Auto tracking

●

Panoramic monitoring

Application Reference

ATM surveillance

●

What’s Molding the Industry? BY Eifeh Strom

While technological advances in any electronics field are inevitable, the rate at which they are adopted, the extent to which they are accepted, and the degree to which they effect the industry differ, especially in security. Apart from technological advances, market consolidation also adds another dynamic into what will shape the future of the security industry.

ake a look at the press releases that have been published this year and you’ll notice that certain key words are the subject matter of more than a few of them. Mergers and acquisitions (M&As), 4K, H.265, and HD analog (HD-over-coaxial) are just a few of these trending topics. In the following, a&s talked to some of the industry’s biggest players and asked them to weigh in on some of the most talked-about topics in security today. JUL 2015 ● www.asmag.com

SignS of a Mature Market: M&as “Fragmented” is one word used to described the current state of the global security market. This point is driven home when looking at an

October 2014 report by IHS that found no single company in the physical security equipment and services market globally holds a market share greater than 5 percent. Fragmentation was also evident at this year’s ISC West show held in April. “Sixty percent of the exhibitors here [ISC West] are surveillance manufacturers, and that’s too many. These M&As are long overdue,” said Jason Hill, Group VP of Merit LILIN. And it seems that is just what the latest slew of M&As is doing: consolidating the number of players in the field. Last year the industry saw a large number of major M&As, and that has not slowed down this year. Most recently Dean Drako, CEO of cloud-based video surveillance company Eagle Eye Networks, acquired Brivo, a cloud-based physical access control company. Earlier in the year US-based VMS company OnSSI acquired Germany-based VMS SeeTec; there was also Panasonic Corporation of North America’s acquisition of Texas-based VMS Video Insight. There are many reasons behind these M&As, and as a whole, the industry agrees that the sheer number of them is a sign of a maturing market. It also represents a favorable and healthy market, according to David Gottlieb, Global Marketing Communications Leader for Automation and Control Solutions at Honeywell Security. “It illustrates that the security space is flourishing,” he said. “There’s lots of activity and opportunity. Companies are looking to acquire other companies in this space; there’s always going to be a certain amount of that. But the recent increase in M&As is a good indication of the health and recognition of our industry’s health and the future potential.”

Thomas Cook, VP, Sales, North America, Samsung Techwin America

Maturation of individual companies is also driving M&A activity, according to Scott Schafer, EVP of Sales, Marketing and Service at Arecont Vision. “A lot of companies, after they go through a big growth phase and they’ve matured their companies, they are looking for other things to do. So the best thing to do is look at something that is adjacent. If you’re a camera company, maybe you look for a recording platform. If you’re a recording company, you look for the other. Then if you have both of those you look to access control next maybe because it’s also in the security area. But it’s a way to keep the growth of the company going.” The idea of alignment was also noted by Bill Klink, VP of Worldwide Security Sales at FLIR Systems, who observed that, “Recent consolidation in the video

Eric Fullerton, CEO, Vicon Industries

No single company in the physical security equipment and services market globally holds a market share greater than 5 percent.

Security is still one of the top concerns when it comes to cloud adoption.

David Gottlieb, Global Marketing Communications Leader, Automation and Control Solutions, Honeywell Security

Jason Hill, Group VP, Merit LILIN

Bill Klink, VP, Worldwide Security Sales, FLIR Systems

security market has involved the coupling of camera providers with video management software providers. This consolidation might imply that suppliers are planning to offer more complete video security solutions with less reliance on the integration of disparate components.” So, are there any types of M&As that the industry should pay particular attention to? Matthew Kushner, CEO of 3xLOGIC believes M&As of startup companies are the ones to keep an eye on. “We’re starting to adopt the Internet of Things. We’re adopting business solutions that integrate with security solutions. And most of that innovation is coming from smaller, entrepreneurial startup companies that can get to market quickly with new innovative, disruptive technology. Those acquisitions are the ones to watch because those are the ones that will cause some of these larger companies to either be at risk of losing market share or be the number one acquirer of some of those emerging, new disruptive technology.”

AnAlog Here to StAy? While the move to IP solutions is an obvious and inevitable one, HD-over-coaxial solutions, particularly last year, have given analog video new life. According to a report by IHS, over 4 million units of HD analog cameras were shipped in 2014, up from only 1 million in 2013. Up until recently, this segment of the security industry has been dominated by Asian companies, with FLIR being the only Western manufacturer to venture over with their MPX megapixelover-coax line of DVRs and cameras. Honeywell, however, has joined in on the trend and is the newest Western company to enter the HD analog market, introducing their Performance Series High Quality Analog (HQA) right before this year’s ISC West. Most recently, IDIS announced in June at IFSEC International their new HD-overcoaxial solution DirectCX, which will include HD-TVI video recorders, cameras, VMS, and other peripherals. Despite the obvious growth in this sector, the industry is still rather split on whether or not these

Deviating From the Norm — secutech 2015 Exhibitor Highlights (Part 1) Asian manufacturers, especially from Taiwan and Korea, know that if they don’t do something to differentiate, they will be replaced by their Chinese or other competition. During secutech 2015, a&s talked to some exhibitors to see how they position themselves in the market and also what product features and services help them stay competitive. BY the a&s Editorial Team

* Market positioning: Professional camera design and manufacturing company *[Market Strategy]

Ability Enterprise is a professional and leading OEM/ ODM manufacturer for digital cameras in consumer electronics. In order to keep its corporate continuity, the company has also prepared to branch out to other industries, particularly security. In 2014, Ability Enterprise established the Imaging System Business Unit, mainly for security applications. Robert Tsay, VP of the Imaging System Business Unit & Consumer Imaging Business

EtherWAN Systems * Market positioning: Network transmission device provider *[Market Strategy] Ability Enterprise Autofocus Network Camera VS60150P

businesses,” Tsay pointed out. “I think security cameras will also be diversified into more specific types, in order to meet many special requirements. It is, then, quite important for a company to possess the design capability in optics. For instance, if customers want fisheye, wide-angle lenses, or the lenses which can stand high humidity and temperature environments, manufacturers should have taken care of many details during the design phase. For a camera, we design all the electronic parts, mechanical parts, and lens (optical) parts ourselves, and then manufacture a finished product. So, we are very skilled in integrating every single component into one system (camera).”

The company is specialized in designing and manufacturing Ethernet, PoE, and fiber optic connectivity devices. The company entered the security market in 2007 from the position of Ethernet equipment. Since then they have been seriously evaluating how to help people migrate into IP-base solutions easier. Afterwards, the company dedicated their resources to marketing to promote its branding. Maggie Chao, VP of the Sales Division at EtherWAN Systems said, “We like to carry

▲ Maggie Chao, VP, Sales Division, EtherWAN Systems

JUL 2015 ● www.asmag.com

▲ Robert Tsay, VP, Imaging System Business Unit & Consumer Imaging Business Unit, Ability Enterprise

Unit at Ability Enterprise said, “We stay quite positive toward security market, which will grow healthily year by year. And, since the security industry is still during the transitional period of time, from analog to IP, which will bring much more new opportunities in the future. Our company has more than 10 years of experience in manufacturing digital cameras, and is very specialized in the digital imaging technologies. I believe we are very competent in producing high-quality digital security cameras.” In addition, Ability is also one of the very few security manufacturers who have the ability to design and manufacture lenses and cameras. Since 10 years ago, the company has had its factories in China. “I would say manufacturing is our specialty and strength. We keep the design team in Taiwan but manufacturing in China, which makes us very competitive in OEM/ODM

▲

Ability Enterprise

VIVOTEK

* Market positioning: IP surveillance solution provider *[Market Strategy] The popularity of HD and Ultra HD cameras has accelerated the latest development of compression technologies, particularly the H.265 codec. VIVOTEK’s H.265 compatible cameras started mass production earlier this year and have been integrated with some total solution and platform providers, such as Genetec, according to Stacey

▲Stacey Lien, Department Manager, International Sales Department 2, VIVOTEK

offerings. Therefore, with our switch, systems integrators can complete product integration very easily — simply by one touch,” she said. Finally, facing the market competition from Chinese companies, VIVOTEK has also improved its internal management toward projects. The company has its own project consultants, who work very closely with global distribution partners to provide more instant sales and technical support. Furthermore, through better management toward pricing and communication with its distributors, VIVOTEK is able to maintain good growth in the project market sector. In Asia, the company has increased market shares in Indonesia, Thailand, Malaysia, Japan, and Korea year by year.

VIVOTEK Web Smart PoE Switch

▲

JUL 2015 ● www.asmag.com

one clear message to our customers — we don’t get involved with devices, we don’t do cameras, we don’t do storage, and we don’t do video management software. However, we are the people in the middle who put things together. With all devices they have to communicate and they need transmission equipment and Ethernet is the standard. We have been in this technology for 20 years and we know what that is about.” With a clear focus in marketing its brand value, EtherWAN then pays much attention to providing education and hands-on knowledge to its customers. Chao followed, “Our competitive advantage is trying to sell the products, however, help them technically and that’s the reason why you see this year we’re demonstrating products (definitely we need to do that), but we are giving knowledge, we are sharing experiences, we are helping people to guide

Lien, Department Manager for International Sales Department 2 at VIVOTEK. She shared the company’s strategy toward H.265 IP cameras and explained that the company focuses on how the product is used in the solution for different verticals, not just the device itself. “Whenever our customers have certain projects suitable for H.265 cameras, they can immediately use them without any further concerns toward integration,” she said. In addition, another one of VIVOTEK’s latest developments also proves they are well positioned as an IP surveillance solution provider. Besides cameras or management software, the company also emphasizes the importance of “networking” in a total video surveillance solution. Lien mentioned, “This year, we added a new product line — PoE switch. VIVOTEK’s PoE switch can provide the users much information about their cameras, such as bandwidth requirement and the time with the highest data amount, and even show the health condition of cameras.” Simply speaking, “VIVOTEK’s PoE switch can do a lot of system configuration, which is very different from other company’s

▲ EtherWan ED3538 (Power over Link) – Hardened 10/100BASE-TX PoL/PoE Ethernet Extender over Copper Wires

our customers. For instance, when they are running IP, what kind of troubles that they will have to prepare for and how those troubleshooting can be performed effectively and efficiently. We have our experiences running, so we put things together and that becomes a very good trouble-shooting guide and also some case study sharing — how to form the topology, why those products are selected, what is the scenario and what does it turn out, how does it help.”

AUSTRAL Prepares for Next Wave of Growth Although a laidback country, the Australian security market is growing as opportunities arise as a result of recent events that have affected the country. Primarily strong in the analog market due to local infrastructure and lack of local presence of international manufacturers, IP growth is forecast to accelerate as security awareness increases. BY Lisa Hsu

JUL 2015 â&#x2014;? www.asmag.com

ALIA the

ustralia’s economy in recent years has been shaken due to the collapse in global commodity prices, resulting in only a 0.5 percent GDP growth in the fourth quarter of 2014. Mining and agriculture are economic drivers in Australia; however, according to the Australian Bureau of Statistics, mineral exploration expenditure fell 1.7 percent (US$349.8 million) in the December quarter of 2014, compared to the previous year. “Australian infrastructural investment was very strong from 2007 to 2014, as mines were constructed in response to apparently insatiable global industrial demand for iron ore and steel-grade coal. That infrastructure build-out totally offset the effects of the global economic crisis for Australia. Unfortunately, the end of the build-out, coinciding with plummeting resources prices, has pinched Australian government revenues,” said Todd Rockoff, Executive Director of HDcctv Alliance. The lower government spending has indeed led to delayed projects, resulting in a shift in the market. “As many security projects have been put on hold, Australia has become a much more price sensitive market. In general the Australian customers prefer quality, recently, due to budget limitation, they are willing to consider low-cost solutions knowing that this might cost them more in the long run,” said Tamir Ginat, Senior VP for APAC at IndigoVision. However, global security awareness appeared to have influenced Australia, with the government recently taking action to mandate certain security measures to boost safety. “Reflecting the inimitable robustness of the physical security market, Australian governments at all levels are following the lead of overseas partners such as the U.K.: they are mandating, and in some cases directly buying, surveillance equipment. For example, every police force seems to be adopting body-worn cameras as fast as they can,” Rockoff said.

AustrAliAns' Attitude towArd security Generally, security demand in Australia is not strong due to Australians’ laidback lifestyle and their emphasis on privacy. The lower amount of surveillance cameras implemented in major cities across Australia compared to other cities with the same density of people can be explained by Australians’ “she’ll be alright, mate” mentality. According to Raam Siva, CEO of Omnivision, “The mentality of Australians is vastly different from other countries. One of the good things about Australia is that we are all very happy-go-lucky people. We love our freedom, even for security; there is a huge amount of the population who value their privacy more.”

educAtion needed Another reason for Australians’ reluctance to adopt new technologies may be due to their lack of knowledge in security. Presumably, since security awareness in the country is not high, it is understandable that their knowledge in the field is lacking. Siva provided an example from his own experience working with a retail giant in Australia. He showed them the benefits of upgrading their existing systems from analog to IP, plus being able to incorporate video content analysis (VCA), thereby uncovering a wealth of data information for the business, as well as security. At the end of the cost comparison, the retailer agreed that the information was indeed useful; however, they would rather buy another store than invest in the technology at the price it is now.

compromising privAcy for sAfety However, in light of recent events, Australia’s security awareness received a huge boost, and opportunities are rising for security providers as demand

Companies in This Issue Products of the Month • GENIE sEcurIty solutIoNs • HID GloBAl

• stoPlIFt cHEcKout VIsIoN systEMs • tyco rEtAIl solutIoNs

Industry Report Viewpoint • 3XloGIc • AXIs coMMuNIcAtIoNs • ArEcoNt VIsIoN • MEMoorI BusINEss • AVIGIloN INtEllIGENcE • FlIr systEMs Product Exploration • HoNEyWEll sEcurIty • 3XloGIc • MErIt lIlIN • DIGIoP • MIlEstoNE systEMs • GENEtEc • sAMsuNG tEcHWIN AMErIcA • rEtAIlNEXt • soNy ElEctroNIcs • scANcAM • tyco sEcurIty ProDucts

Next Issue

• INDIGoVIsIoN • JoHNsoN coNtrols • MAGAl sEcurIty systEMs

• VErINt • VIcoN INDustrIEs

Business Talk Special Report • ANsAlDo sts • AcoBA • AoN GloBAl rIsK • AXIs coMMuNIcAtIoNs coNsultING • BArrAcuDA NEtWorKs Vertical Market • BrIVo • ArEcoNt VIsIoN • EAGlE EyE NEtWorKs • BoscH sEcurIty systEMs • IHs • DAllMEIEr ElEctroNIc • IVEDA • GuIDEPost solutIoNs • sMArtVuE • HoNEyWEll BuIlDING solutIoNs

Product Exploration

Vertical Market

trAFFIc MANAGEMENt (VcA, lPr & trANsMIssIoN)

sEAPorts

Special Report

sIzING uP tHE coMPEtItIoN

Business Talk

trAINING AND coMMuNIcAtIoN

The easiest way to

Pick Up the World of Security Leading security magazine provides you: • In-depth and unbiased market information • Technology breakthrough • Project and solution design advice

ADVERTISER INDEX

*The index is provided as an additional service. *The publisher does not assume any liability for errors or omissions.

SURVEILLANCE PAGE NO.

ADVERTISER

MAJOR ITEM

COUNTRY

E-MAIL

BOSCH SECURITY SYSTEMS

CCTV

GERMANY

apr.securitysystems@bosch.com

BARN DOOR, INSIDE FRONT COVER, 1

DAHUA TECHNOLOGY CO., LTD.

SURVEILLANCE

CHINA

overseas@dahuatech.com

DAIWON OPTICAL CO., LTD.

LENS

KOREA

sales@dwopt.com

DALLMEIER ELECTRONIC GMBH & CO.KG

SURVEILLANCE

GERMANY

info@dallmeier.com

DONGYANG UNITECH CO., LTD.

CCTV

KOREA

sales@d-max.co.kr

FUZHOU FRAN M&E TECHNOLOGY DEVELOPMENT CO., LTD.

DOME COVER

CHINA

sales@fjsmt.com

GKB SECURITY CORPORATION

IP CAMERA / NVR / HD SDI CAMERA / HD SDI DVR

TAIWAN

sales@gkbsecurity.com

GUANGZHOU VIDEO-TECH ELECTRONICS CO., LTD.

SURVEILLANCE

CHINA

calo@v-tec.com.cn

HANGZHOU JUFENG TECHNOLOGY CO., LTD.

AHD DVR, AHD CAMERA, NVR, IP CAMERA, HOME SECURITY

CHINA

oversea_sales@jufenginfo.com

HDPRO CO., LTD.

CCTV

KOREA

sales@hdprocctv.com

52, 53, 54, 55, BACK COVER

HIKVISION DIGITAL TECHNOLOGY CO., LTD.

SURVEILLANCE

CHINA

overseasbusiness@hikvision.com

ICATCH INC.

DVR

TAIWAN

marketing@icatchinc.com

IDIS CO., LTD.

SURVEILLANCE

KOREA

sales@idisglobal.com

INSIDE BACK COVER

MILESTONE SYSTEMS

SURVEILLANCE

DENMARK

sk@milestonesys.com

OB TELECOM ELECTRONICS CO., LTD.

FIBER OPTIC TRANSCEIVER

CHINA

overseas@obtelecom.com

QNAP SYSTEMS, INC.

NVR / VMS

TAIWAN

nvr@qnap.com

RIFATRON CO., LTD.

DVR

KOREA

contact@rifatron.com

12, 13

SONY CORPORATION DSBG. SYSTEM LSI DIVISION

SEMICONDUCTOR

JAPAN

TAMRON CO., LTD.

CAMERA

JAPAN

newbiz@tamron.co.jp

TECHPOINT INC.

CHIPSET

USA

dma@techpointinc.com

19, 21

VIDEOTEC S.P.A.

IP CAMERA / SOFTWARE / VIDEOSERVER

ITALY

info@videotec.com

WEBGATE INC.

DVR

KOREA

support@webgateinc.com

ACCESS CONTROL PAGE NO.

ADVERTISER

MAJOR ITEM

COUNTRY

E-MAIL

GIGA-TMS INC.

RFID MODULE / LOCK / READER

TAIWAN

promag@gigatms.com.tw

SUPREMA INC.

FINGERPRINT

KOREA

sales@supremainc.com

VOIM TECHNOLOGIES INC.

FINGERPRINT

KOREA

sales@ten-bio.com

INTRUSION ALARM PAGE NO.

ADVERTISER

MAJOR ITEM

COUNTRY

E-MAIL

LINCE ITALIA S.P.A.

INTRUSION ALARM

ITALY

info@lince.net

SUPERIOR ELECTRONICS CORP.

ALARM

TAIWAN

info@superior-elec.com

PAGE NO.

ADVERTISER

MAJOR ITEM

COUNTRY

E-MAIL

FIERA MILANO S.P.A.

EXHIBITION

ITALY

Mariagrazia.scoppio@fieramilano.it

OTHERS

Advertisers are responsible for their own advertisement content. The publisher is not liable for any legal, patent or trademark disputes from advertisements or among advertisers.