Amazon Enters Home Security Services

Author: IPVM Team, Published on Apr 26, 2018

Move over ADT? It is certainly what investors have feared for ADT, especially since Amazon acquired Ring.

[Update: We spoke with Amazon and have more details on operations and limitations at the end of the post]

Now, Amazon has launched their own home security services, including alarms, video surveillance and installation:

The Amazon employee reference is especially interesting since historically Amazon has used freelancers with mixed results (see our test). However, given the size of the home security (i.e., 1 out of every 5 US homes have systems already, it could justify such direct employees and be a major threat against ADT).

Amazon is offering 5 packages to start, with the security / video one starting at just $320 including installation, very low for conventional security offerings:

Plus, for that price, Amazon is committing to have an installer come to the homeowner's house twice:

Evidently no more keypad, Amazon aims to alarm one's security system via Alexa:

Get Video Surveillance News In Your Inbox
Get Video Surveillance News In Your Inbox

And Amazon is throwing in a modern version of the old 'Fake TV':

Self Monitoring Free But Monthly Monitored Pricing Undetermined

Self-monitoring will be free, as it is for other consumer services like Simplisafe. However, for central monitoring, we have not yet seen what monthly pricing will be (or if it will be offered). That, of course, will be a key element, given traditional providers charge $30+ per month.

Security Licensing

One major concern is licensing. In most US states and many countries, installing home security systems requires licensing. While Amazon's marketing lists 'Amazon employees' to 'take control of your home security' it is not clear how many and or where will be licensed appropriately.

Competitive Impact TBD

On the one hand, given Amazon's success and size, it is easy to conclude that ADT will go bankrupt and this is the end of the residential security market. On the other, Amazon is not always successful, and their CEO literally encourages failure, so it is possible that a few years from now, this is looked back on as a gimmick or half-hearted effort.

Vote / Poll

Feedback from Amazon

We spoke with Amazon and have the following feedback on key points:

  • Amazon is not offering any central station monitoring option (at least at this time). This means the only choice is for the user to self-monitor and call the police themselves.
  • The alarms will be relayed via the smart hub, most typically via the Wink Hub 2 app.
  • The alarms will be from either the camera's motion detection (which could create lots of issues) or the sensor's detection.
  • Amazon techs are not licensed and Amazon's position is that they do not have to be since there is no central station monitoring nor direct dispatch (i.e., the user needs to call the police themselves). This still runs some risk depending on various municipalities contracting or security installation laws.
  • That the user needs to respond to alerts creates problems (i.e. dealing with nuisance alerts, when they are asleep, out of town, etc.). In particular, they will need to call the police themselves, which could be difficult if they are in their house being robbed or they are on an airplane or away from their local area, making it difficult to dispatch by the local 911, etc.

Overall, the requirement of self-monitoring and self-police dispatch makes this a significantly less valuable offering than conventional systems or even Simplisafe with their optional central station monitoring.

4 reports cite this report:

Bad Move: ADT Markets Rival Amazon on Aug 08, 2018
Amazon may be lining up ADT as its next victim but ADT is happy to promote Amazon. Amazon has made major moves recently, including acquiring...
Simplisafe Acquired At $1 Billion Valuation on Jun 29, 2018
Simplisafe, the competitor alarm monitoring companies historically most love to hate, has been acquired by a mega private equity firm for a $1...
Amazon Ring Launches $10 Monthly Professional Alarm Monitoring on Jun 15, 2018
Amazon's Ring has announced an alarm system with 24/7 professional alarm monitoring for $10 per month, a fraction of the $30+ per month traditional...
ADT Stock Drops 50% Since IPO on May 17, 2018
It has been a brutal 4 months for ADT. They first expected to IPO at ~$18. They IPOed at $14, dropping immediately to $12.39 And now, not even...
Comments (63) : PRO Members only. Login. or Join.

Related Reports

Central Stations Face Off Against NFPA On Fire Monitoring on Sep 18, 2018
Central stations are facing off against the NFPA over what they call anti-competitive language in NFPA 72, the standard that covers fire alarms....
Amazon Ring Spotlight Cam Tested on Sep 17, 2018
Amazon's Ring has released their latest camera entry, the Spotlight Cam, which we bought and tested in our Consumer IP Camera Analytics...
European Mega Security Firm Verisure Pushing Security Fog on Sep 17, 2018
The European mega security firm Verisure (Securitas Direct), with a reported 2 million customers, is pushing security fog, as shown in this BBC...
IP Camera Cable Labeling Guide on Sep 14, 2018
Labeling cables can save a lot of money and headaches. While it is easy to overlook, taking time to label runs during installation significantly...
VMS Export Shootout - Avigilon, Dahua, Exacq, Genetec, Hikvision, Milestone on Sep 13, 2018
When crimes, accidents or problems occur, exporting video from one's video surveillance system is critical to proving incidents. But who does it...
Door Fundamentals For Access Control Guide on Sep 12, 2018
Assuming every door can be secured with either a maglock or an electric strike can be a painful assumption in the field. While those items can be...
Stanley Security Acquires 3xLogic, Kushner Becomes Product President on Sep 10, 2018
Stanley Security acquired 3xLogic a few months ago. However, the company has still not officially publicly announced it, leading many to wonder...
IP Camera Cable Termination Guide on Sep 06, 2018
Terminating cables properly is critical to network performance, but it can be a tricky task with multiple steps. Fortunately, this task is easy to...
Dell Launches IoT for Surveillance on Sep 05, 2018
Historically, Dell has been a PC and server provider (e.g., "Dude, you're getting a Dell") and widely used for surveillance storage. However, in...
Congressional Letter Urges Sanctions Against Dahua and Hikvision For Human Rights Abuses on Sep 04, 2018
17 US Congresspeople sent a letter to the Secretary of State and Treasury urging sanctions against Chinese officials plus Dahua and Hikvision,...

Most Recent Industry Reports

BluePoint Aims To Bring Life-Safety Mind-Set To Police Pull Stations on Sep 20, 2018
Fire alarm pull stations are commonplace but police ones are not. A self-funded startup, BluePoint Alert Solutions is aiming to make police pull...
SIA Plays Dumb On OEMs And Hikua Ban on Sep 20, 2018
OEMs widely pretend to be 'manufacturers', deceiving their customers and putting them at risk for cybersecurity attacks and, soon, violation of US...
Axis Vs. Hikvision IR PTZ Shootout on Sep 20, 2018
Hikvision has their high-end dual-sensor DarkfighterX. Axis has their high-end concealed IR Q6125-LE. Which is better? We bought both and tested...
Avigilon Announces AI-Powered H5 Camera Development on Sep 19, 2018
Avigilon will be showcasing "next-generation AI" at next week's ASIS GSX. In an atypical move, the company is not actually releasing these...
Favorite Request-to-Exit (RTE) Manufacturers 2018 on Sep 19, 2018
Request To Exit devices like motion sensors and lock releasing push-buttons are a part of almost every access install, but who makes the equipment...
25% China Tariffs Finalized For 2019, 10% Start Now, Includes Select Video Surveillance on Sep 18, 2018
A surprise move: In July, when the most recent tariff round was first announced, the tariffs were only scheduled for 10%. However, now, the US...
Central Stations Face Off Against NFPA On Fire Monitoring on Sep 18, 2018
Central stations are facing off against the NFPA over what they call anti-competitive language in NFPA 72, the standard that covers fire alarms....
Hikvision USA Starts Layoffs on Sep 18, 2018
Hikvision USA has started layoffs, just weeks after the US government ban was passed into law. Inside this note, we examine: The important...
Chinese Government Praises Hikvision For Following Xi Jinping on Sep 17, 2018
The Chinese government council responsible for managing China's state-owned companies praised Hikvision’s obedience to China’s authoritarian leader...

The world's leading video surveillance information source, IPVM provides the best reporting, testing and training for 10,000+ members globally. Dedicated to independent and objective information, we uniquely refuse any and all advertisements, sponsorship and consulting from manufacturers.

About | FAQ | Contact