IHS Markit analysis predict increase in revenue from mission critical LTE ecosystem

12 Sep 2018

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Analysis from IHS Markit shows revenues generated by the mission critical LTE ecosystem are set to increase across all major sectors to 2021. Leading the way is the utilities market, with 120% growth, followed by public safety, where revenues are set to double. Transport is predicted to see growth of 80%, just beating the 75% increase expected from the industrial sector.

Catalysed by TCCA, mission critical communications features and services have been a key priority of 3GPP in recent years

The successful evolution of the LTE critical communications market is dependent on the incorporation of critical users’ specific requirements; features such as Push-to-Talk and Group Call which are not currently available on commercial networks.

Global critical communications industry

Catalysed by TCCA, mission critical communications features and services have been a key priority of 3GPP in recent years and have been specified and incorporated into 3GPP Releases since R13.

Work is progressing on the development of products and services, with an increasing number of manufacturers and commercial mobile operators entering the critical communications market. The second ETSI Mission Critical Push to Talk (MCPTT) Plugtests event was held earlier this year, where as well as voice, Mission Critical Data and Mission Critical Video interworking capabilities were tested for the first time. This work is expected to evolve as 3GPP takes more requirements from different sectors of the global critical communications industry on board.

Broadband-capable network solutions

“The growing appetite for broadband-enabled data applications, and the increasing possibility of spectrum allocation in many parts of the world, means that the market for private/hybrid broadband networks for LMR/PMR users will continue to expand across multiple sectors,” said Jesus Gonzalez, IHS Markit Senior Analyst, Critical Communications Technology.

The growing appetite for broadband-enabled data applications, and the increasing possibility of spectrum allocation in many parts of the world"“As a result, the critical communications industry will move towards a mix of broadband-capable network solutions such as private LTE or the various operating models possible with commercial and private LTE. It is unlikely that users will adopt broadband solutions to the exclusion of existing LMR/PMR, but adoption will be along the lines of a complementary service that allows users to communicate across LMR/PMR and cellular networks, depending on specific operational requirements.”

Revenue projections by sector

Mission Critical LTE Ecosystem – Revenues Utilities
From $75m in 2018 to $165m in 2021 – increase of 120 per cent
Mission Critical LTE Ecosystem – Revenues Public Safety
From $3bn in 2018 to $5.9bn in 2021 – increase of almost 100 percent
Mission Critical LTE Ecosystem – Revenues Transport
From $472m in 2018 to $849m in 2021 – increase of 80 per cent
Mission Critical LTE Ecosystem – Revenues Industrial
From $362m in 2018 to $633m in 2021 – increase of 75 per cent
The figures include revenues from infrastructure, LTE Devices, Managed Services and System Integration

IHS Markit definitions of LTE networks re revenue projections:

Hybrid: Revenues attributed to data/PTT over LTE over a combination (hybrid) of private networks based on commercial cellular technology and public commercial cellular networks that have dedicated access enhancements for users.

Private: Data over private networks (100% privately owned infrastructure) based on LTE cellular technology.

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TETRA and Critical Communications Association (TCCA)

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Top ten security industry mergers and acquisitions of 2019

Two of the most familiar names in the physical security market – Pelco and Panasonic – underwent ownership changes during 2019. Consolidation continued on multiple other fronts. Security service companies, video companies and access control companies were all among the entities involved in merger and acquisition (M&A) activity during the last 12 months. In short, the industry landscape continues to transform in response to a changing market. Here's a look at the Top 10 M&A stories in 2019: 1. Pelco acquired by private equity firm Transom Capital Pelco Inc. was acquired in May by Transom Capital Group, a private equity firm, from Schneider Electric. Since the acquisition, Transom Capital has been working with Pelco’s management and employees to define and direct the next chapter of the iconic company. Pelco maintains its headquarters in Fresno, Calif., and has a presence in Fort Collins, Colo., near Denver, and a sales office in the New York area, not to mention many global employees who work remotely. 2. Panasonic spins of security business Electronics giant Panasonic sold off 80% of its video surveillance business to a private equity firm but is retaining 20%, and the new company will continue to use the well-known Panasonic brand. The move is aimed at reinvigorating a business challenged by competition from Chinese companies and lower video prices. Polaris Capital Group Co. acquired 80% of the outstanding shares of the new security systems business. 3. Qognify acquires OnSSI and SeeTec 2019 began with the acquisition of IP video management software (VMS) company On-Net Surveillance Systems (OnSSI), including SeeTec in Europe. Backed by the global investment firm Battery Ventures, Qognify completed the acquisition in the final days of 2018. With Qognify, OnSSI and SeeTec operating under one umbrella, the company provides VMS, video analytics, PSIM and critical incident management for mid-market and enterprise organizations. 4. Busy year for acquisitions at Allied Universal Security services company Allied Universal had an active year in acquisitions, beginning in April with the acquisition of integration company Securadyne Systems in Dallas. There was an additional acquisition announced in each of the next four months: Point 2 Point Global Security, Dallas, in May; security services company Cypress Private Security in June, services company Shetler Security Services in July , and Midstate Security in August. Allied Universal announced two more acquisitions in November – low-voltage integrator Advent Systems Inc. in Chicago and Vinson Guard Service in Louisiana. Also in November, Allied announced a transformational merger with SOS Security. In December, Allied Universal acquired APG Security, South Amboy, N.J. 5. 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ACRE’s portfolio now consists of Vanderbilt, Open Options, RS2 and ComNet. 7. Assa Abloy expands capabilities with LifeSafety Power Lock and access control giant ASSA ABLOY acquired LifeSafety Power in September, providing a complement to the access control portfolio. The plan is to incorporate LifeSafety Power’s knowledge of power supply and consumption throughout the ASSA ABLOY access control line. LifeSafety Power was established in 2009 and has some 65 employees. The main office is located in Libertyville, Illinois. 8. Distributor Anixter going private and selling to CD&R Anixter International Inc., a distributor of network and security solutions, electrical and electronic solutions and utility power solutions, entered into a definitive agreement with an affiliate of Clayton, Dubilier & Rice (CD&R) to be acquired in an all cash transaction valued at approximately $3.8 billion. 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MOBOTIX M7 platform provides more flexibility and computing power

It is an exciting time at German intelligent video company MOBOTIX, which has launched a next-generation platform that builds on their legacy of video at the edge while opening up the system to third-party partners that can build even more capabilities. MOBOTIX unveiled the new M7 platform and M73 camera at the MOBOTIX Global Partner Conference in Mainz, Germany, in October. MOBOTIX M7 is a powerful, decentralised and secure modular IoT-video system based on deep learning modules. The feedback has been “overwhelming,” says MOBOTIX CEO Thomas Lausten. The new technology will also be featured in the United States at the 2020 MOBOTIX Partner Summit in Hollywood, Fla., in January. A different video surveillance "What you see is a different way of doing video surveillance,” says Lausten. “Our focus on the edge is the difference between us and other companies.” The new MOBOTIX 7 open solution provides an “edge platform” that can be used for a variety of applications, which are provided as “apps” that leverage the platform’s hardware for specific uses, from object detection to face detection to people counting. The new M75 high-end camera incorporates the new platform. The MOBOTIX application programming interface (API) makes it possible for hundreds more apps to be developed over time Currently there are 19 apps available to empower various applications, and availability of the MOBOTIX application programming interface (API) makes it possible for hundreds more apps to be developed over time. If a MOBOTIX partner creates a new app for a specific project, “now he can use it not just for one project but can put it in the app store and sell it all over the world,” says MOBOTIX CTO Hartmut Sprave. Field Programmable Gate Array The new MOBOTIX platform uses Field Programmable Gate Array (FPGA) integrated circuits that provide flexibility and versatility to be adapted to a variety of needs, from deep learning, to higher resolution, or to use with a variety of sensors, such as color, black-and-white or night vision cameras, temperature sensors or microphones. “We can literally include any sensor requested by the market,” says Lausten. The new camera can also be used for age analysis, crowd management or traffic analysis. It can even be used for fire or biohazard detection, incorporating thermal sensors and deep learning. MOBOTIX have added to their legacy of video with a next generation platform Partnerships MOBOTIX developed its new platform in conjunction with Konica Minolta, which owns a majority share of the German manufacturer. The combined knowledge of the two companies created the new platform, with most of the engineering done in Germany. Konica Minolta provided an object detection algorithm, for example, and deep learning capabilities that are being used with the cameras. The two companies are also developing the business together. “They are rolling out our technology on their website throughout the world,” says Lausten. “We are basically part of a global development organisation.” MOBOTIX developed its new platform in conjunction with Konica Minolta The new platform is also completely compatible with legacy MOBOTIX systems: “We have added what we need to what we have,” says Lausten. Cybersecurity is a top priority for MOBOTIX. “With our camera, everything is under our control, every single line of code, and we do all the penetration testing and everything is safe,” says Sprave. In fact, MOBOTIX won the French "Trophée de la Sécurité 2019" Gold Award in the cybersecurity category for the MOBOTIX Cactus Concept, which refers to the fact that all the modules in the MOBOTIX system have “digital thorns” that protect them from unauthorized access. End-to-end encryption is used with no blind spots. Driven by cybersecurity Stronger cybersecurity and a focus on edge devices makes MOBOTIX inherently more cybersecure than a system of networked low-cost cameras, each of which could present a possible cyber-vulnerability. Stronger cybersecurity and a focus on edge devices makes MOBOTIX inherently more cybersecure The flexibility of the MOBOTIX platform expands its utility beyond security to include broader business functions. For example, the same camera that can detect criminals with face recognition can track where people are moving in a retail store, and even analyse age or demographics of customers to track buying patterns. “Cameras are required to think and process at the edge, and that is where we see a lot of focus going, driven by cybersecurity,” Lausten says. Lausten sees opportunity for even faster growth in the U.S. market, where they already have 30 or 40 partners. In the near term, there will be large opportunities provided by the U.S. trend toward “Chinese skepticism,” and cybersecurity concerns that have plagued the lower-cost Chinese imports. MOBOTIX products are proudly “Made in Germany.”

ATMs provide convenience for bank customers, but they have vulnerabilities

Most customers interface with their financial institutions using automated teller machines (ATMs), which have security issues. However, there are solutions available to combat all current security threats, and the cost of protection is coming down. The ATM industry is therefore in a position to minimise losses, while ensuring consumers continue to get the vital cash they need to lead their daily lives. It is important for the ATM industry to constantly innovate to meet new security challenges. So what innovations are we going to see in the next five years? Contactless technology Contactless technology will be a great help against ATM skimming, in which criminals steal personal information at ATM machines. Contactless is already being used in some European countries, and the number is increasing. Not having to insert a card into the ATM removes the opportunity to trap cards and also gets around the problem of “foreign” devices installed to read cards. So contactless technology, which some saw as the end of cash, can help make ATMs and cash more secure. Data capture form to appear here! Not having to insert a card into the ATM removes the opportunity to trap cards Biometrics are certain to be used increasingly to bolster ATM security. Finger, palm, vein, iris and facial recognition all have potential in this respect. Any of these may in the future be used with or without cards, PINs and one-time codes. Speed of operation in relation to biometrics could ultimately govern their use at ATMs. There may also be privacy issues that need to be addressed. The ATM vestibule environment must add security with proper security and surveillance equipment. ATM vestibules, or lobbies, are installed for many good reasons. For one, more convenient, 24/7 locations equals better customer retention for a bank, offering comfort and convenience. 24/7 access to ATMs, night drops, coin counters, online banking kiosks, and other self-service solutions are very much in demand. Second, ATM vestibules protect customers from inclement weather and provide a more comfortable banking environment (however, vagrancy can be an issue; therefore ATM vestibules should require card access). Security and surveillance solutions can’t just be for show. ATMs and crime A new crime wave is hitting automated teller machines (ATMs); the common banking appliances are being rigged to spit out their entire cash supplies into a criminal’s waiting hands. The common banking appliances are being rigged to spit out their entire cash supplies into a criminal’s waiting hands The crime is called “ATM jackpotting” and has targeted banking machines located in grocery shops, pharmacies and other locations in Taiwan, Europe, Latin America and the United States. Rough estimates place the total amount of global losses at up to $60 million. The protection of ATMs ATMs in supermarkets and pharmacies tend to be targeted because they may not be as well-protected, and store personnel likely would not know who is authorised to work on the ATM. In contrast, anyone approaching an ATM at a bank location would be more likely to be challenged. ATM jackpotting originated back in 2010 when Barnaby Jack, a New Zealand hacker and computer expert, demonstrated how he could exploit two ATMs and make them dispense cash on the stage at the Black Hat computer security conference in Las Vegas. Since then, malware has been created and made available on the “Dark Web” that can instruct an ATM to dispense all its cash on demand. ATM jackpotting ATM jackpotting is a combination of a physical crime and a cyberattack ATM jackpotting is a combination of a physical crime and a cyberattack. Typically, a criminal with a fake ID enters a grocery shop or pharmacy posing as an ATM technician, then uses a crowbar to open the top of the ATM – the “top hat” – to gain access to the personal computer that operates the machine. Once he or she has access to the PC, they remove the hard drive, disable any anti-virus software, install a malware program, replace the hard drive and then reboot the computer. The whole operation takes about 30 seconds. The malware then enables the thief to remotely control the ATM and direct it to dispense all its cash on command. If a legitimate customer approaches the machine in the meantime, it can operate as usual until activated otherwise by the malware. Catch up on part one and part two of our banking security mini series.

IHS Markit analysis predict increase in revenue from mission critical LTE ecosystem

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