Security monitoring industry to benefit from urbanization
At present, the global security market demand body is gradually transferred from the developed economies in Europe and America to China, India, Brazil and other emerging economies. For emerging economies, urbanization comes from the need to enhance the management of safety and security has pushed up investment to accelerate the process, the process of this round of emerging economies to accelerate the construction of security will lead the security industry into a new round of high growth period.
With the user's high-definition, intelligent, IP monitoring needs continue to improve, digital gradually replace analog devices, in fact, digital support security monitoring industry is the current high growth killer applications. At present, the video surveillance system is in the stage of transition from analog to analog digital to digital system, and digitization has intensified the process of industry concentration. Domestic security monitoring equipment factory about 2000 or so, in addition to DVR, the front and peripheral equipment market is still extremely scattered, globally, accounted for the largest market share of Bosch, the market share accounted for only 5.5%, is expected to continue with the digital penetration, the future of domestic companies have the opportunity to become integrated, DVR manufacturers due to compression the algorithm and channel has the advantage of good integration ability.
Video surveillance equipment manufacturers exist opportunities to extend the industry chain
We expect the alarm service market is about to start, video surveillance vendors have cut in advantage. The market generally believes that the government has been building a safe city at a certain stage, the future of the industry is difficult to relatively large demand, high growth will slow down. We believe that, on the one hand, safe city construction continues to promote safe city construction, the Midwest / two or three line city is accelerating; on the other hand, the government of safe city construction is just one of the application fields of electronic security industry, including transportation, electricity, telecommunications, park monitoring and other types of applications are gradually started, is expected in the future market space only domestic video security monitoring industry potential of around 200 billion yuan, other domestic security industry and overseas market has more potential space.
Catalyst for industry performance:
Ping An City in Beijing, safe city construction in the Midwest accelerated; security industry standards introduced; events affecting social security; India, Brazil and other emerging market growth exceeded expectations. We are most optimistic about the independent compression algorithm, strong sales channels, the growth of good DVR vendors, and actively optimistic about the integration of video surveillance equipment manufacturers.