China's security industry has entered a new security era of intensive development

After nearly 30 years of rapid development, China's security industry is gradually moving from an extensive model of development to a new security era of intensive development. The dominant forces in the development of the industry, the competitive landscape of the industry, the connotation of security technologies, the corporate structure, and the entire security industry structure and development pattern are undergoing profound changes.
The dominant force in the development of the industry has changed. Previously, the industry’s leading forces were mostly low-level, low-tech, and low-value added companies. Now many companies with strong R&D capabilities, high management levels, and strong integration capabilities have appeared in the security market. The industry's advantages in resources integration are intensifying, the cooperation between enterprises is getting closer, the concentration of industries is getting higher and higher, and the scale effect is even more pronounced.

The industry's competitive landscape is changing. The competition among security companies has evolved from the competition of a single product to the competition of a full range of product R&D production and supply capabilities; the competition of products has begun to evolve into solutions and services that meet the individual needs of the industry. Leading companies in the industry are taking ownership of competition with lower manufacturing costs and greater market share to gain more market share. At the same time, a group of companies lacking core competitiveness will be gradually eliminated by the market.

The content of security technology is changing. With the continuous development of security technology, the "take-up" development strategy pursued by security companies has failed. Innovations with independent intellectual property rights have replaced simple processing and production; traditional security technologies built on the basis of simulation have been unable to meet the needs of applications. The trend of digitization and networking of China's security technologies has become a reality from discussions. At the same time, security technology and IT communication technology are rapidly merged. A group of companies with backgrounds in the IT and communications industries have entered the security industry, which has enhanced the digitization and networking of the security industry. Carrier-class operators have entered the field of network video surveillance and brought new technologies and solutions for video surveillance in terms of system deployment, operation and maintenance, and service expansion. The integrated system platform built on IP communication technology will become the future. The new direction of China's security technology development. Affected by this wave, the entire industrial structure and development pattern of the security industry will surely undergo great changes.

The composition of the security industry chain is being adjusted. The structure of China's security industry chain is evolving from the upstream upstream chip makers, manufacturers, distributors, engineering firms, and users to upstream chip vendors, solution providers, system integrators, engineering firms, and industry users. The entire chain of value transmission is no longer a single conduction from the upstream to the terminal. Instead, it forms a closed loop that is dominated by the demands of industry users and from the upstream chip manufacturer to the terminal industry users. The value of the user terminal market is reflected.

Posted on