SecurityWorldMarket

13/11/2024

Access Control and Smart Buildings – Part 1 of 6

IAM and access control technology: A perfect match for smart buildings

The convergence of smart buildings, IoT, identity management systems, and access control is contributing to a transformative shift in the security landscape.

The convergence of smart buildings, IoT, identity management systems, and access control is contributing to a transformative shift in the security landscape.

As smart buildings and cities continue to emerge, identity management and access control solutions have become foundational elements of these advanced ecosystems.

Identity is not only crucial for managing access but also for ensuring security in increasingly inter-connected environments. Identity management systems (IAM) and access control technologies are gaining momentum, becoming key pillars in the development of smart infrastructures. Their role is indispensable in safeguarding the efficiency and security of smart buildings and cities.

The booming smart building market

The smart building market is witnessing explosive growth, driven by a focus on energy efficiency, sustainability, and the use of advanced technologies to optimise operations. Industry reports indicate that the global market for smart buildings is expected to grow at an average annual rate of 12% over the next few years. At the core of this revolution is the integration of physical security technologies, which alone account for up to 20% of the revenue in smart building systems. Technologies such as facial recognition and secure access control systems are becoming increasingly crucial, particularly in commercial buildings.

IoT in smart commercial buildings

The Internet of Things (IoT) plays a critical role in smart commercial buildings, with IoT solutions enabling real-time data collection and automation to enhance building operations. According to Memoori, the global IoT market for smart commercial buildings reached approximately $53.5 billion in revenue in 2023, and this figure is expected to grow at a compound annual growth rate (CAGR) of 13.7% through 2028. This market spans IoT hardware, software, and services, and as smart buildings mature, the installed base of IoT devices is projected to nearly double by 2028.

Intelligent access control

One of the most exciting developments in the security sector is the evolution of access control systems. The use of mobile access cards or biometric identifiers, modern systems are now capable of providing seamless and secure entry to buildings. These systems integrate with IT infrastructure, automating access control based on time, employee schedules, or even energy-saving strategies. The transition from proprietary, locally manufactured systems to open-standard, cloud-based solutions is well underway, driven by regulatory demands for enhanced cyber security, particularly from the European Union (EU).

This shift toward open platforms is creating new opportunities for international manufacturers to penetrate markets previously dominated by domestic players, signaling a significant change in the landscape of access control technology.

Access control – A $14.3 billion market

The global market for access control products rebounded after a pandemic-related dip in 2020. With an annual growth rate of 10% in 2021 and 2022, the market reached $14.3 billion in 2023. According to Memoori, hardware sales dominate this market, generating approximately $10.8 billion, followed by software and credentials sales. Access control systems are moving toward more integrated and user-friendly solutions, with innovations like mobile access, biometric identification, and IoT integration driving growth.

Access control as a service (ACaaS)

Cloud-based Access Control as a Service (ACaaS) is transforming how security systems are managed. The global ACaaS market is projected to grow from $1.34 billion in 2024 to $3.06 bil¬lion by 2029, with an impressive CAGR of 17.9%. This growth is driven by urbanisation, increasing demand for centralised security management, and the adoption of subscription-based models that foster recurring revenue for security providers. ACaaS enables companies to manage global security operations from a single location, offering enhanced efficiency and cost savings.

Strong growth in the IAM market

The Identity and Access Management (IAM) market is also expanding rapidly. According to Fortune Business Insights, the global IAM market was valued at approximately $16.5 billion in 2023 and is expected to grow to $57 billion by 2032, with a CAGR of 15%. This growth is fueled by the rise in cyber attacks, the increasing adoption of cloud-based technologies, and stringent regulatory requirements across industries. IAM systems are pivotal in securing digital identities and ensuring that access to critical systems is tightly controlled.

Security at the forefront

As smart buildings and cities become more sophisticated, identity-based security solutions, including IAM and access control systems, are taking centre stage. With their ability to enhance both physical and digital security, these systems are integral to the future of smart infrastructure. As technology continues to evolve, so too will the demand for advanced security solutions that can keep pace with the increasingly interconnected world of smart buildings and smart cities.

In conclusion

The convergence of smart buildings, IoT, identity management systems, and access control is contributing to a transformative shift in the security landscape. With the market set for strong growth, identity-based technologies will remain at the forefront of the next generation of smart, secure environments.

Note: This editorial article has primarily been produced for the security trade magazine Detektor in collaboration with Securityworldmarket.com.



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