Ten years ago, the security industry was just transitioning from imitation to digital security. After decades of rapid iteration and constant evolution of new technologies, the security industry has diversified. Ten years later, the security industry is changing rapidly, with successive rounds of industry integration propelling the intelligent security arena to new heights.
In the past, governments, enterprises, institutions, cities, and communities collaborated on national security efforts, which depended on creating safe and smart cities. The security industry has maintained a high-speed growth trend. It is estimated that the intelligent security market will reach 100 billion yuan by 2020. The expansion of the security industry has brought huge business opportunities to companies in the upstream, midstream, and downstream of the industry chain, especially the LED display industry, which is directly related to security and has sensed the opportunity. Faced with this billion-dollar market, how should LED displays seize the opportunity?
When talking about security, intelligent displays are indispensable. Due to increased public awareness of security and the impact of intelligence on life, intelligent displays play a crucial role in security products. Moreover, in the era of intelligent monitoring, video surveillance and intelligent displays are indispensable in every corner, and the security display market is constantly expanding.
According to the "2018-2022 Security Market Development Prospect Analysis and Supply and Demand Pattern Forecast Report" released by a relevant industry research center, the market size of China's securities industry was 324.2 billion yuan in 2012, increasing to 540.3 billion yuan in 2016, with a compound annual growth rate of 13.6%. In 2017, the Chinese securities market further grew to 620.5 billion yuan, a year-on-year increase of 14.8%. The market scope of China's securities industry continues to expand, and it will continue to maintain a rapid growth trend in 2018. This huge market has become a "hotspot" for many commercial display product companies, such as small-pitch LED displays, to plan for, injecting new vitality into the development of new application markets for LED displays.
In the past two years, the implementation of policies closely related to security development, such as safe cities and intelligent transportation, as well as the enhancement of public safety awareness, have enabled the application of large-screen displays in security-related fields to maintain a good growth momentum. In terms of application markets, safe cities are a prime example of the current and future significant growth of the large-screen display industry, especially in second- and third-tier cities, which have begun to show huge market potential. As the LED screen industry upgrades and undergoes restructuring, the securities market will become an increasingly lucrative market. From the perspective of market demand and net profit margins, the securities market is poised to become a goldmine for LED screen companies. However, for most LED screen companies transitioning from the low-end market to the securities market, the complexity and high demands of the securities market may exceed their expectations, leading to difficulties and even setbacks. Intelligent, high-definition, small-pitch LED displays are highly sought after and are leading the trend.
Needless to say, looking at the LED industry market, small-pitch LED products are a category that major screen companies are vying for and fiercely competing in. Their applications are very common, including security monitoring, conference systems, education, and public displays. Commercial and public displays account for nearly 70% of the overall small-pitch LED display market share. With the promotion of projects such as safe cities and smart cities, the demand for high-quality customized display projects applied in scenarios such as transportation centers, security centers, and command centers is increasing year by year. At major security exhibitions, simple building and parking lot monitoring is no longer the only option; the number of small-pitch LED display companies has also increased significantly. Whether it's traffic guidance systems or command centers in security management and smart city monitoring centers, displays are essential information broadcasting platforms. The number of small-pitch LED display companies is gradually increasing. With the improvement of small-pitch LED technology and the decrease in the price of small-pitch LED displays, the small-pitch LED display niche market has attracted more and more manufacturers, especially in application areas with strong economic demand such as indoor security and conference rooms.
Furthermore, with the comprehensive intelligent transformation of traditional security systems, visual, high-definition, and intelligent small-pitch LED displays are increasingly becoming the focus of industry attention and the mainstream display terminal in the security market. LED displays are key players in the security monitoring and display fields, and the in-depth development of the market directly affects the development direction of the security industry. High-definition large outdoor LED displays have become a "new favorite" in the field of intelligent transportation in recent years. With frequent breakthroughs in small-pitch LED technology, the display effects of LED display products are promising. Compared with other display products, small-pitch LED displays have more prominent advantages. They can not only achieve seamless splicing, but also have flexible and diverse equipment modes, thin screen thickness, high brightness, low energy consumption, and low maintenance costs, rapidly occupying the indoor large-screen application market represented by command and control rooms. With the advancement of 8K high-definition concepts and the implementation of standards such as P0.93, video surveillance is moving towards high definition, placing increasingly higher demands on LED displays to ensure comprehensive video content presentation. Therefore, high-definition, intelligent, and low-energy seamless LED displays have become the "protagonists" in the security market.
In general, with the further exploration and opening up of LED displays in the securities market, a large number of enterprises and businesses will inevitably be absorbed into this category. In the future, LED displays will develop towards higher definition and intelligence in the security market. To some extent, the strong demand from the securities market has become a significant driving force for large-screen companies to shift from a product-oriented to a comprehensive service-oriented approach. It is foreseeable that, driven by the urgent needs of industry users and the demands of the large screens themselves, companies with distinctive features and shared competitive advantages will occupy a leading position in this category within the securities market.
