Amazon Enters Home Security Services

By: 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 Notified of Video Surveillance Breaking News
Get Notified of Video Surveillance Breaking News

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.

5 reports cite this report:

Amazon Marketing Pro Installs of Amazon Security Systems on Apr 25, 2019
Is Amazon a threat to conventional providers like ADT, Vivint and Brinks Home Security? Many say no. Now, Amazon is advertising free in-home...
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

Security Integrators Outlook On Remaining Integrators In 2025 on Aug 22, 2019
The industry has changed substantially in the last decade, with the rise of IP cameras and the race to the bottom. Indeed, more changes may be...
ZK Teco Atlas Access Control Tested on Aug 20, 2019
Who needs access specialists? China-based ZKTeco claims its newest access panel 'makes it very easy for anyone to learn and install access control...
Suprema Biometric Mass Leak Examined on Aug 19, 2019
While Suprema is rarely discussed even within the physical security market, the South Korean biometrics manufacturer made global news this past...
Installation Course - Register Now on Aug 15, 2019
Register Now for the September 2019 Video Surveillance Install Course. This is a unique installation course in a market where little practical...
Biometrics Usage Statistics 2019 on Aug 13, 2019
Biometrics are commonly used in phones, but how frequently are they used for access? 150+ integrators told us how often they use biometrics,...
Proactive CCTV "Only Affordable Video Archiving Solution" Profile on Aug 12, 2019
Proactive CCTV is claiming to offer "the only affordable video archiving solution on the market", reducing the storage typically required for H.265...
Milestone "GDPR-ready" Certification Claim Critiqued on Aug 12, 2019
Milestone is touting that its latest XProtect VMS is "GDPR-ready" with a 'European Privacy Seal'. However, our investigation raises significant...
Hikvision Global News Reports Directory on Aug 11, 2019
Hikvision has received the most global news reporting of any video surveillance company, ever, ranging from the WSJ, the Financial Times, Reuters,...
Razberi Technologies Company Profile on Aug 06, 2019
Razberi says they have doubled their revenue in the first half of 2019, citing their proprietary camera hardening and cybersecurity capabilities...
Avigilon Blue VSaaS Tested on Aug 05, 2019
Avigilon says Blue is a "powerful integrator cloud service platform", easy to set up and configure, quickly scale business, by leveraging cloud...

Most Recent Industry Reports

TMA Apologizes to Amazon / Ring on Aug 23, 2019
Not only is Amazon / Ring making major incursions into the residential security market, the organization representing the biggest incumbents, The...
China Dahua Replaces Their Software With US Pepper on Aug 22, 2019
What does a US government banned company do to improve its security positioning in the US? Well, Dahua is unveiling a novel solution, partnering...
Security Integrators Outlook On Remaining Integrators In 2025 on Aug 22, 2019
The industry has changed substantially in the last decade, with the rise of IP cameras and the race to the bottom. Indeed, more changes may be...
First GDPR Facial Recognition Fine For Sweden School on Aug 22, 2019
A school in Sweden has been fined $20,000 for using facial recognition to keep attendance in what is Sweden's first GDPR fine. Notably, the fine is...
Anyvision Facial Recognition Tested on Aug 21, 2019
Anyvision is aiming for $1 billion in revenue by 2022, backed by $74 million in funding. But does their performance live up to the hype they have...
JCI Sues Wyze on Aug 21, 2019
The mega manufacturer / integrator JCI has sued the fast-growing $20 camera Seattle startup Wyze. Inside this note: Share the court...
Dahua 4K Camera Shootout on Aug 20, 2019
Dahua's new Pro Series 4K N85CL5Z claims to "deliver superior images in all lighting and environmental conditions", but how does this compare to...
ZK Teco Atlas Access Control Tested on Aug 20, 2019
Who needs access specialists? China-based ZKTeco claims its newest access panel 'makes it very easy for anyone to learn and install access control...
Uniview Beats Intel In Trademark Lawsuit on Aug 19, 2019
Uniview has won a long-running trademark lawsuit brought by Intel, with Beijing's highest court reversing an earlier Intel win, centered on...
Suprema Biometric Mass Leak Examined on Aug 19, 2019
While Suprema is rarely discussed even within the physical security market, the South Korean biometrics manufacturer made global news this past...

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