Memoori has just published a survey about the state of the physical security industry and its most important challenge today; consolidation.

This is not another expensive market research study, for at £99 its 60 pages and 16 charts and tables provide a new insight into the facts that influence its future including size, structure, shape and growth of the market before assessing the case for consolidation through merger acquisition and alliance.

It structures the business into 4 major groups by size, analysing the average revenue per group and the subsequent average market share to illustrate how fragmented the industry is and why focus and specialisation is particularly important at this time. It then goes on to analyse M&A drivers and strategy through the part played by strategic acquisitions; reviewing how market fundamentals and technology drive acquisitions and why IT & Defence companies will influence the consolidation process in the future.

It details the performance of mergers and acquisitions from 2000 to 2009, separating cash deals from stock for stock deals and then forecasts transactions to 2015, then reviewing valuation performance through various exit multiples from 2005 through to 2009 and finally reviews technology and its impact on valuation. We look at the state of the investment business and its exposure to the security industry before listing some 81 Venture Capital companies, showing where 66 of these have invested in the security industry.

Finally we review new start-ups and entrepreneurship in the IP Video sector and conclude that few are ready for an IPO and why a significant proportion will be acquired through strategic buys. We list some 50 companies that we believe are potential acquisition targets.

For a full synopsis of the report visit the link below