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Remote monitoring market exceeds $29 billion in 2011

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08/20/2012

WELLINGBOROUGH, England—The world market for remote monitoring services was worth more than $29 billion in 2011, equivalent to $2.4 billion in recurring monthly revenue over the course of the year, according to a new report by IMS Research.

Ruling in Illinois fire alarm monitoring case ‘positive’ for industry

But decision in lawsuit brought by ADT over public entities monopolizing fire alarm monitoring will be appealed
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08/15/2012

ARLINGTON HEIGHTS, Ill.—The latest decision in a lawsuit brought by ADT and other alarm companies over public entities taking over fire alarm monitoring in the state contains “a lot of positive things for the alarm industry," according to the executive director of the Illinois Electronic Security Association.

ASSA ABLOY buys Alarm Controls

Alarm Controls valued for customization, price point of products
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08/15/2012

STOCKHOLM, Sweden and DEER PARK, N.Y.—In acquiring Alarm Controls Corp., ASSA ABLOY is gaining a company that has the “ability and willingness to do custom work,” said Scott Baker, president of ASSA ABLOY Electro-Mechanical Specialties and OEM Group.

Verint to become independent, public company

Deal announced to ‘buy out’ parent company in share exchange
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08/15/2012

MELVILLE, N.Y.—If the merger deal with its parent company, Comverse Technology Inc. (CTI), goes through as planned, video surveillance provider Verint will be a 100 percent independent public company as early as February.

AMP: Former Platinum space good fit

‘We kind of moved in like a hermit crab does to a new shell’
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08/15/2012

AMERICAN FORK, Utah—The large, dramatic letters emblazoned across the top of the imposing new office building here used to read “Platinum.” Now they say “AMP”—because financially beleaguered Platinum Protection has vacated the space and it is now AMP’s headquarters.

AT&T: 2017 end of the line for 2G

Cell carrier’s ‘sunset’ for GSM will force upgrade to 3G and 4G radios
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08/15/2012

YARMOUTH, Maine—AT&T will phase out its 2G networks by 2017, setting a long-anticipated timeline for the “sunset” of the technology and giving the alarm industry a target date to upgrade cellular equipment.

3G vs. 4G: AT&T’s ‘sunset’ fuels debate

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Wednesday, August 15, 2012

While AT&T has finally set a date and ended the discussion over when it will push 2G into the sunset, the points of contention grow sharper over 3G versus 4G and the merits of each for cellular alarm communication.

Boiling down the argument to its simplest terms, this much is clear: Technology touted as 4G is faster and more expensive. But is that extra speed worth the money, and more importantly for alarm dealers, will it contribute to longevity in the field? And what is “real” 4G anyway?

On Monday, I talked with two industry experts who couldn’t be further apart on the issue: Gordon Hope, general manager of AlarmNet at Honeywell, and Shawn Welsh, vice president of marketing and business development for Telguard. Both made what seemed to be valid arguments, although I confess I’m not qualified to comment on the technical merits of each. What I can do is define HSPA (High Speed Packet Access), HSPA+ (evolved HSPA), and LTE (Long Term Evolution), and offer a bit of what each man had to say:

Hope: “I don’t know whether it’s accidental or intentional, but it seems like our industry is mixing 3G and 4G together in one sentence. In reality, there’s clearly a difference—the carriers delineate it. HSPA+ and LTE from AT&T’s perspective are legitimate 4G technologies, and everything else isn’t.”

Welsh: “At a recent webinar, AT&T and Qualcomm both basically reiterated this statement: 4G is the same as 3G, it just costs more. To get down to the letter version of that, HSPA+ is the same thing as HSPA as it relates to longevity, it’s just that HSPA+ costs more.”

Hope: “We believe the best thing to do is to move up and provide a 4G radio, not stopping at 3G. HSPA+ is a 4G technology … it’s just plain faster. In AT&T’s announcement [about 2G], they even made statements that a third of their postpaid subscriber base is already using 4G technology, not 3G. That speaks to the fact that if you’re not thinking about 4G, you’re probably going to leave yourself shortchanged if you stopped at 3G network capability in the radio module you chose. We went through the additional expense to include HSPA+ 4G technology in our radio. We believe it’s going to directly translate into longevity on the wall.”

Welsh: “There’s a thought that 4G is somehow better than 3G and that somehow it will be around longer, because certainly each generation will be around longer than the previous generation. In this case it’s a misnomer, because 4G as it relates to HSPA+ is really a marketing trick, unfortunately. … What happened was that AT&T and Verizon both went out and bought up spectrum in order to deploy real 4G called LTE. And 4G LTE got a certain level of throughput—it was really fast. Well, T-Mobile did not get spectrum, so they were stuck having to advertise 3G when their major competitors were going to start advertising true 4G LTE. So they simply did what a marketing organization might do. They just said, ‘Hey, you know what? This new 3G HSPA+ is so fast it goes just as fast as that LTE they’re going to deploy, so you know what we’re going to do? Let’s just call ourselves 4G. All that really matters is the speed anyway.’ So overnight they rebranded themselves as 4G in order to compete with the marketing term of 4G LTE. And literally that’s what happened. AT&T was forced to start calling their HSPA+ network— which was really just a 3G network—a 4G network in order to compete with the marketing spin T-Mobile was putting on things. And that’s how we got 4G as it relates to HSPA+.”

Hope went on to say that while speed traditionally hasn’t been important to the alarm industry, it will play a bigger role in attracting future generations of consumers who will be loading their tablets and smartphones with security applications and a whole lot more. Welsh reiterated that longevity will remain the top priority for alarm dealers, and “from a cost standpoint, HSPA+ is a more expensive solution for the exact same longevity.”

For the record, the International Telecommunication Union states on its website that the only “true 4G technologies” are LTE Advanced and WirelessMAN Advanced, neither of which has been deployed on a large scale. The ITU goes on to say, however, that the term 4G may also be applied “to the forerunners of these technologies, LTE and WiMax, and to other evolved 3G technologies providing a substantial level of improvement in performance and capabilities with respect to the initial third-generation systems now deployed.”

That sounds like a gray area open to commercial and consumer interpretation, but there's no arguing this point: Alarm dealers with radios on AT&T’s 2G networks will have to upgrade by 2017 or they’ll be left in the dark. The fadeout due to spectrum harvesting will accelerate before then, so sooner is probably better than later. Then it's just a question of sorting out the Gs.

ACA acquires in Alabama

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Wednesday, August 15, 2012

Smooth. That’s how Alarm Capital Alliance described a recent transaction that added more than 1,000 accounts to its existing account base in Alabama.

ACA, a Media, Pa.-based independently-owned company that acquires and manages security alarm contracts, acquired the accounts through an asset purchase transaction with Ultimate Security of Scottboro, Ala., according to a news release issued last week.

Ultimate Security will stay in business and continue to service ACA customers, according to the Aug. 7 release.

In the release, Kelly Bond, VP of sales and marketing for ACA, remarked, “This was one of the smoothest transactions that we’ve entered into.”

Ultimate President Richie Burns said in a prepared statement that this is a “tremendous transaction that allows us to remain in business, continue to sell accounts and provide service for all of our friends and customers.”

Bond said, “Richie has a great staff and quality accounts, and we’re looking forward to a prosperous relationship.”

Terms were not disclosed. Ron Davis, of Davis Mergers and Acquisitions Group, represented the seller.

Capital Alarm scores with install at stadium

Fire system at New Hampshire Fisher Cats ballpark performing well
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08/14/2012

PENACOOK, N.H.—Capital Alarm Systems, a fire and security integrator based here, already had a relationship with the New Hampshire Fisher Cats, doing such things as advertising the minor league baseball team on its website in exchange for free tickets it offers to its clients as promotions. But that relationship wasn’t the only reason Capital Alarm was called in to replace the damaged fire alarm system at the home stadium of the Toronto Blue Jays’ Double-A affiliate.

Bill to deregulate telecoms in Pa. concerns industry

AICC says legislation would give telecoms like Verizon unfair advantage over security company competitors, but Verizon denies that
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08/08/2012

HARRISBURG, Pa.—Proposed legislation in Pennsylvania to deregulate the telecommunications industry in the state would give an unfair advantage to telecom providers of home security services, according to an attorney with the Alarm Industry Communications Committee (AICC).

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