From "12th Five-Year" to "13th Five-Year" that means 2016 was an extraordinary year. In this year, the "13th Five-Year plan" clearly put forward "accelerate the development of manufacturing industry leading to the product toward middle and high end level, in order to implement these measures, the State Council has issued auxiliary views with relevant guidance ...... Rolling policy for the security industry to create a favorable living environment.

How’s the performance in"12th Five-Year"?

According to the semi-annual report of Listed Companies, the revenue rose 33% and its net profit rose 29%, the demand of market solutions has promoted large-scale application of various industry. The situation seems so optimistic, in fact, the infrastructure behind them is during to all security companies strive together with 5 years.

"12th Five-Year" security industry general income is decreased continually because of the influence by economy in latest two years. However, the total income still increase. According to preliminary calculations, gross income have reached to 490 billion and grown 15.8% annually,

Above is mainly benefit from the construction upsurge of safe city, "12th Five-Year"took the security industry approach a step further: such as traditional security industry is begin to replace the old generation of products by new ones、many industry make video surveillance combining the business development and management,etc.

Status: video surveillance accounted for a large proportion, security market need to be developed

It will not be smoothly which covered and involved in many filed, In order to keep up with the , the security product innovation quickly,

Due to the important position of video surveillance in the security industry, large data、Storage、

Are the keys things to solve the video surveillance data problems,. Such as, As Hikvision put the SDT(Video Data Technology) as the important way to solve the maximum data、 Tiandiweiye has made a breakthrough in many technologies、Dahua focus on data distributed and centralized and storage

Our security products and project has account over 90% market share leader in leading company, however, the operation scale just account about 7%, the distinguish of them has attach attention. Contrary with aboard, the security service seems to be ignored in china, but we have to admit that these services is the most concerned about the customer and the development potential of security industry need to be innovated.

Although many companies start their business by manufacture hardware, in the homogeneity of the products, technology also need to be published, otherwise, it will be covered by other enterprise . In Internet era, if you want to win, you must need to change your marketing mode, get much profits through product differentiation and product value-added.

Nowadays, the situation is improved, the leading company As Hikvision and Dahua has involved in total solutions, Which will expand their business scope and strength their company.

Seize the opportunities in "13th Five-Year" period

"13th Five-Year" is the key times in security industry development, China’s urbanization developed at a vastly accelerated speed than in past, social security facing the severe challenge, “smart city” expand continuously, financial institutions、school、buildings all need high quality of security products.

From the angle of technology innovation: 4K、H.265、Intelligent analysis、cloud computing etc, have bring a new direction for security industry and attached a number of Internet Companies and IT Companies settled. Once is want to broke through the limitation of traditional company, other is can gather the data through it. Both of them can get what they want, it will help security industry to a new step.

From the perspective of marketing environment: global market still have a large demand of security products, especially video surveillance, it industry growth is far more than GDP growth. With the industry development of smart city construct, security products will be the most important things to control social, we expected that the annual growth rate of security products will reach more than 15% and the video surveillance will reach about 15% in "13th Five-Year" .

From application: the CPC Central Committee and the State Council have issued a document to encourage “the community and compound gradually turn on to achieve internal road publicity” For the people which love to live in closed-residence, this is to remove the protective walls of their hearts, therefore, people will be more relay on security product. It will promotes the security products and technology upgrade.

Conclusion:

"13th Five-Year" just started, the security industry are become bright：the mature of security drones, intelligent video analysis push the development of security. The domestic security soft are stand in the front of world...but the the confusion are gradually appeared,such as as regulation of security drones flight, 4 k technology’s bandwidth and storage cost problem, security enterprise's transformation and upgrading, and so on.

All these show that the security industry is facing upgrading. Results of the"12th Five-Year"How to move forward in future? Let us wait and see.