SSI serves security installing contractors providing systems and services; surveillance, access control, biometrics, fire alarm and home control/automation. Coverage in commercial and residential product applications, designs, techniques, operations.
Issue link: https://securitysales.epubxp.com/i/141570
Industry Pulse NEWS DIRECTV BUYS LIFESHIELD, JOINS CABLE RIVALS IN HOME SECURITY OFFERINGS EL SEGUNDO, Calif. — DirectTV will enter the home security space in 2014 following its acquisition of Langhorne, Pa.-based LifeShield Home Security, a do-it-yourself (DIY) security company. Terms of the deal were not disclosed. Te satellite-TV company joins a number of cable operators and telecommunications companies in an increasingly crowded home security services market. A chief reason DirecTV decided to join the space is to go after new revenue streams, says spokesman Robert Mercer. "In general, the video home security business is a good strategic ft for us," he tells SSI. "It's proftable and has low market penetration. We didn't want to rush into the home security business just to compete with cable companies DirecTV will begin selling wireless, and others self-installed security products by newly acquired LifeShield in the frst ofering home quarter of 2014. security unless the right opportunity came along. Ultimately, it did with LifeShield." DirectTV will begin marketing LifeShield's wireless products and services under the LifeShield brand in the frst quarter of 2014. Monitoring services will continue to be provided by Protection 1. LifeShield CEO Mike Hagan will stay on to operate the security business, which comprises 22,000 subscribers and generates roughly $15 million in annual revenue. Jef Kessler, a managing director at Imperial Capital, noted in a research briefng following the acquisition in June that traditional security providers should not be overly concerned about another outlier entering the residential market. He stated that telecom and cable providers don't fully understand how long it will take to successfully provide intrusion, fre and personal emergency response. "Tat success will come when [cable/telco] companies efectively market the services and convince highly skeptical end users that the key part of these services — the certainty of response — will happen when potential subscribers trust the service for either security and medical response," he writes in the briefng. Industry Vets Eye Growth Strategy With GHS Interactive SACRAMENTO, Calif. — GHS Interactive Security, a recently formed company by industry veteran Steve Baker, has acquired LifeLine Security and Automation for an undisclosed amount. Founded in 2005 by Gordon Johnson and John Fox, LifeLine, based here, also has offces in Emeryville, Calif., and Fresno, Calif. With about 50 employees, the company uses a yearround door-to-door sales model. After four years as a top-selling member of Monitronics' dealer program, Johnson and Fox decided it was time to venture on their own. Enter Baker, who formerly served in executive roles at ADT, Monitronics and Westec. He started GHS explicitly to acquire LifeLine, build an organization and execute a long-term business plan with the company's founders. New York-based Topspin Partners, a private equity frm started by former Honeywell executive Leo Guthart, provided GHS with an undisclosed amount of equity capital to get the frm started. GHS also received a $20 million loan facility from Barclays Private Credit Partners Fund. LifeLine will rebrand as GHS in an effort to trademark the company. Baker will serve as GHS' president, while Johnson and Fox will lead the company's sales efforts. GHS is wasting no time growing its business. Initial plans call for opening new offces in Dallas and Las Vegas. "We're growing so fast, and we have such huge growth planned over the next two years that's going to be continual," Johnson says. "In the next year-and-a-half, we're going to Phoenix, Houston, Austin, maybe San Antonio and all through Southern California. It's going to be a wild ride." 12 / SECURITYSALES.COM / JULY 2013 Polaroid to Launch CCTV Dealer NetworkMIDDLETOWN, N.Y. — Polaroid will enter into the security space by rolling out a full line of analog and IP cameras, NVRs, DVRs, hybrid video recorders and video management software (VMS). In June, the company began offering surveillance wares through its new, independent security division called Polaroid Professional Security Products (PPSP), owned by holding company PRD Int'l. PPSP Executive Vice President and COO Nathan Needel tells SSI the company will target all major vertical markets through the frm's integrator network, which will offer each member a protected territory. "For example, from San Diego to Los Angeles, I imagine only having a handful of integrators," Needel explains. "That way, when we bring a project to an integrator, they can feel comfortable bringing projects to Polaroid. They're not going to have to compete with everybody that can go to big name distributors like ADI or Tri-Ed to pick up profts." AVIGILON ACQUIRES ACCESS CONTROL SPECIALIST FOR $17M VANCOUVER, B.C., Canada — Avigilon Corp. has acquired privately held RedCloud Security, a provider of Web-based, physical and virtual access control systems, for $17 million in cash. Trough the acquisition, Avigilon says it adds "a complementary product line to its end-to-end highdefnition surveillance solution" and also provides the Canadian company with access to a "growing segment" of the global security market. Analysts estimate the worldwide market for electronic access control will reach $6 billion by 2015. "Avigilon and RedCloud have parallel philosophies when it comes to providing innovative technologies that deliver the most return for our customers," says Alexander Fernandes, president and CEO of Avigilon. "Tis acquisition brings new and exciting opportunities for Avigilon to participate in a larger share of the total security market." PHOTO COURTESY WIKIPEDIA