How To Develop Your Skill For Great Success And Happiness Including Become CPA? | Additional special tips From Admin
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How Amazon is shaking up the home security market
A few weeks ago in the United States, Amazon launched Alexa Guard, a system that allows Amazon Echo devices to be used to detect sounds such as smoke or carbon monoxide alarms or a window being broken and that then notifies the owner through the app. The system allows users to listen to sounds from their home in real time as well as to connect Ring surveillance cameras. In addition, Alexa Guard works with home security systems from leading suppliers such as ADT and can also simulate the owner’s presence at home, having learned when lights are put on in certain rooms, as well as playing music or recorded conversations.
Needless to say, a security system of this type is no match for professionally installed home security, a growing market worth millions of dollars led by a few key players. In Spain, where I live, estimates show just 2.8% of homes have a security system, a figure predicted to grow by 20% over the next four years to 7.4% and that will be worth some $270 million by 2023. In the United States, the market is already worth just under $6.5 billion.
How will the growing use of this type of devices affect the home security market? In the United States, Amazon has decided to work with ADT. But in countries such as Spain, where Securitas Direct controls around 50% of the market, things are more complex, which could shake things up. Admittedly, this is still a minority product that will prove useful relatively rarely and so many people will be tempted to use consumer electronics devices, although integration between them will be key. As said, a professional alarm system is more secure than using consumer devices that are vulnerable to hacking and the vagaries of WiFi connections, but many people may feel that the significantly lower cost is a decisive factor and that some sort of security is better than none.
Unsurprisingly, the suppliers of home security systems are reluctant to allow consumer devices to be integrated into their systems, but in many homes where home devices are increasingly being used, traditional alarms are seen as not evolving and as such, isolated. At the same time, traditional security companies highlight the way their systems are linked to the police or are backed up by their own patrols, but that may not prove a sustainable advantage: if you can see an intruder in your home with a domestic camera, you can call the police yourself.
The suppliers of traditional home security systems really have no choice but to take seriously the idea of working with products like Alexa Guard. Setting an alarm by asking Alexa, turning it on or off, using other companies’ cameras is the only way to stand up to a supplier like Amazon, which while no specialist in domestic security, can decide who wins and loses, as well as taking a significant share of a growing market.
Amazon’s acquisition of Ring in 2018 flagged up Amazon’s interest in the security market: the idea is to use it as a home security system and the product even comes with warning stickers for your home’s doors and windows. Security firms that fail to understand this fast-changing scenario may well find themselves wrongfooted and may well lose their market share.
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How Amazon is shaking up the home security market
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