"Raw Material Supply Delays Due to COVID-19... Concerns Over Prolonged Impact Hit Security Industry Directly"

[Asia Economy Reporter Seulgina Jo] "If it prolongs, new contracts and orders will also be suspended." The physical security industry, including intelligent CCTV, a core industry of the '5G+ strategy,' is also taking a direct hit due to the impact of the novel coronavirus infection (COVID-19).

Lee Young-su, CEO of C-Pro, a CCTV manufacturing and supply company, attended the 'ICT Field Meeting on COVID-19' hosted by the Ministry of Science and ICT on the 3rd and stated, "Due to COVID-19, delays in raw material supply are causing production delays and other difficulties." He expressed concerns that "if it prolongs, domestic and overseas factories will face setbacks due to lockdowns in each country," fearing suspension of new contracts and orders.

At the meeting chaired by Jang Seok-young, the 2nd Vice Minister of the Ministry of Science and ICT, the impact of COVID-19 on the physical security industry was directly inspected and difficulties were heard. The industry requested support measures to strengthen the competitiveness of the CCTV industry through expanding demand in the public sector and fostering industrial infrastructure. The physical security market is divided into product sectors such as CCTV, video security, and biometric recognition, and service sectors such as dispatch security.

The domestic physical security industry scale is about KRW 7.2 trillion in sales and KRW 1.5 trillion in exports. It currently accounts for 70% of information security industry sales and 90% of exports. In particular, due to demand for prevention against crime and terrorism, technological advancements in security equipment, and convergence with ICT enabling advanced fusion functions, the market size is expected to gradually expand in the future. The global market size is estimated to grow from USD 84.1 billion in 2018 to USD 119.4 billion in 2023, with an average annual growth rate of 7.3%.

In the case of the representative product CCTV, it is becoming digital, high-definition, and networked, evolving into a stage where it combines with intelligent solutions using artificial intelligence (AI) deep learning to identify people and objects and analyze behavioral characteristics, thereby expanding its application range in safety, disaster and accident, traffic, and marketing.

Vice Minister Jang emphasized, "We will continue to support overseas market development, create demand in the public sector, and proactive research and development to overcome the difficulties faced due to COVID-19." He added, "Intelligent CCTV is a core industry of the '5G+ strategy,'” and stated, “We will actively support CCTV to actively utilize DNA (an acronym for data, 5G network, and AI, the core technology fields of the 4th Industrial Revolution) to go beyond video surveillance devices to analyze video data and create value, thereby contributing to industrial growth and solving social problems.”

This content was produced with the assistance of AI translation services.