Intersec, the largest Middle East security conference, was held this week in Dubai. This report shares my observations and learning as a speaker and attendee of the conference.
My two central observations:
- Intersec is very large and well executed (compared to other international conferences).
- The Middle East's growth prospects in security are significantly better than the US/UK, however, the region is beginning to feel the impact of global economic meltdown.
I would compare Intersec
favorably to the ASIS International conference
. Intersec is a very large and broad conference covering the entire gamut of security and safety technology. It attracts a heavy amount of regional end users including military, police and government. I found the traffic on the floor to be comparable or better to levels at this year's ASIS conference. Intersec reported over 700 exhibitors and 17,000 visitors to this year's conference.
A very large number of European and Asian manufacturers attended. North America and Israel were the exceptions. The absence of Israel manufactures is a political issue. As for North American manufacturers, this may be a function of geographical distance. Nonetheless, this seems like an untapped opportunity for North American companies.
Middle East Growth Prospects
As is frequently commented, the Middle East looks to be in better shape than the US and Europe. The impact is clearly not as direct and from the few dozen regional industry leaders I talked to, the issues are not as severe. [Note: I am a novice about the Middle East industry so discount my recommendations and analysis appropriately]
However, it does seem that the Middle East is beginning to be indirectly impacted by the global issues. While it seems that ultimate impact will be significantly less severe than that of the US, a number of signs indicated that the Middle East will have challenges:
- A number of senior sales people in the region told me that they are already seeing projects being slowed down, delayed or canceled. A frequent claim was (1) the drop in oil prices and (2) reduced investment from foreign corporations.
- The longer low gas prices last, the more the Middle East will be impacted. The most common local argument is similar to the US one - that deficit spending will be used to hold the economy up. I am skeptical about well that can maintain the region's historical high growth rates.
- Dubai, specifically, is very sensitive to changes in tourism and foreign consumer spending. I found Dubai to essentially be Las Vegas without the gambling. Huge number of new construction projects with the main economic driver being lavish consumer spending. It appears that Dubai's tourism is heavily driven by Europeans and Russians - two groups that are unlikely to continue to fuel spending.
- It seems very possible to me that the huge growth in new construction could come to an end in the next year, just like in Las Vegas and Miami.
- Even the local press is discussing and acknowledging the impact of the recession. This is interesting given the control that the government has over the press and the strong pressure to keep all press positive.
This said, I do think the Middle East is relatively more promising for video surveillance manufacturers compared to the current and deteriorating situation in the US/UK. I just think that the Middle East will get impacted significantly by the overall global economic drivers.
Related Reports on ASIS
Favorite NVR / VMS Manufacturers 2018
on Feb 12, 2018
There is a new integrator favorite VMS.
In 2016, 2 VMSes were effectively tied for top choice. One of those VMSes favorability was stable while...
Top ISC West 2018 Booth Moves
on Jan 23, 2018
ISC West spending frequently signals market expansion and trend shifts. In 2016, the surge of Chinese exhibitors underscored the race to the...
ASIS Dumps 'ASIS' For Show
on Dec 06, 2017
After 60+ years, ASIS is dumping its eponymous show name and replacing it with 'GSX'.
This is a classic marketing mistake. For a show struggling...
The Race To The Bottom Is Over
on Nov 28, 2017
The race to the bottom in video surveillance is over.
After 3 years of aggressive price cuts and heavy sales and marketing expenditures, the...
Deceptive ASIS Attendance
on Oct 06, 2017
ASIS is being deceptive with its conference reporting, effectively inflating the event's real actual attendance.
What they try, but struggle to...
ASIS 2017 Stronger, Says Manufacturers
on Sep 29, 2017
ASIS has reversed a trend of declining satisfaction from manufacturers, based on results of our survey of 80 manufacturers.
ASIS Show 2017 Final Report
on Sep 27, 2017
ASIS is in Dallas for 2017 and this is our final show report (compare to our 2016 ASIS show report).
When walking in, one is greeted with Dahua's...
UTC / Lenel Joins FLIR Dropping ASIS
on Sep 07, 2017
Weeks before a show, vendors are typically gearing up for their booths.
But UTC / Lenel / Interlogix is joining FLIR in a last minute dumping of...
FLIR Security Business Struggling
on Aug 02, 2017
FLIR's security division is an ambitious mix of FLIR's core thermal business plus multiple acquisitions, including of retail / consumer offering...
Most Recent Industry Reports
Why 3VR Failed
on Feb 16, 2018
3VR destroyed transformed ~$65 million in VC funding into a $6.9 million exit.
The reason they failed is simple. They bet on analytics. They...
Last Chance February 2018 Camera Course
on Feb 15, 2018
This is the last chance to get into the Winter camera course, starts next Tuesday. Register now.
IPVM provides the best education, live online...
Hikvision DeepInMind Tested Terribly
on Feb 15, 2018
While Hikvision is heavily marketing deep learning and 'AI' as their next big thing, new IPVM test results of their DeepInMind NVR shows their deep...
Genetec CEO: You Cannot Buy Trust
on Feb 14, 2018
Genetec's CEO, Pierre Racz, delivered a direct message at their channel partner conference:
Racz has become a focal point in the industry debate...