Report Overview

Increasing adoption of advanced technologies to address growing security concerns, government’s mandates for security enhancements, and large infrastructure development projects are expected to drive the Saudi Arabia Video Surveillance Market during the forecast period between 2024 and 2030.

Saudi Arabia Video Surveillance Market – Industry Trends & Forecast Report, 2030

Saudi Arabia Video Surveillance Market size was estimated at USD 1.01 billion in 2023. During the forecast period between 2024 and 2030, the Saudi Arabia Video Surveillance Market size is projected to grow at a CAGR of 9.25% reaching a value of USD 1.98 billion by 2030. Major drivers of the Saudi Arabia Video Surveillance Market are the growing imperative for a robust security infrastructure to enhance safety and curb crime rates across the Kingdom. This heightened demand for video surveillance systems is not only spurred by their integration into the industrial sector and commercial real-estate hubs such as Neom Business City and Sudhir Industrial City but also by increased private sector investments in educational institutions and ongoing construction projects in the transportation sector like the Riyadh Metro. 

By volume, the Saudi Arabia Video Surveillance Market size was estimated at 186 million units in 2023. During the forecast period between 2024 and 2030, the Saudi Arabia Video Surveillance Market size is expected to expand at a CAGR of 10.41% reaching the volume of 279 million units by 2030. The upsurge in video surveillance adoption is additionally fueled by a rising emphasis on safety and security due to an uptick in disposable income and an increase in theft cases. Furthermore, the infusion of artificial intelligence is playing a pivotal role in accelerating the market share of video surveillance in the country. The government's substantial investments in national development programs, notably Saudi Vision 2030 and the National Transformation Program, align with the broader National Vision 2030, emphasizing policy development for infrastructure enhancement in Saudi Arabia. These initiatives, prompted by heightened security concerns and awareness, serve as catalysts, propelling overall demand and contributing significantly to the expansion of the Saudi Arabia Video Surveillance Market in the foreseeable future.

Video Surveillance – Overview

Video surveillance, represented by closed-circuit television (CCTV), constitutes a digitized system adaptable to any environment. Surveillance technology captures and compresses images and videos, facilitating storage and monitoring. Utilizing a television system, it transmits signals from cameras to receivers through cables, telephone links, or digital data networks. Widely employed for remote monitoring, facility protection, vandalism deterrence, event surveillance, and traffic monitoring, high-definition cameras with facial recognition combat theft. Deployed in commercial buildings, public infrastructures, and industrial peripheries, video surveillance, notably CCTV, ensures real-time monitoring and informs security measures through analyzed video information. The evolving CCTV landscape, driven by heightened global security concerns, encompasses intellectual analysis capabilities, enabling preventive actions and fostering market growth.

Saudi Arabia Video Surveillance Market

Growth Drivers

Government Mandates for Enhanced Security Measures

The Video Surveillance Market in Saudi Arabia is witnessing a significant upswing, driven primarily by mounting security concerns in both public spaces and private sectors. Recognizing the crucial role of surveillance technology in enhancing security and preventing unforeseen incidents, organizations, government agencies, and individuals are increasingly acknowledging its importance. Consequently, the Saudi Arabian government has been proactive in updating video surveillance regulations to incorporate comprehensive monitoring of criminal activities across the country. Notably, in 2022, the Council of Ministers approved new regulations mandating the installation of surveillance systems in various public areas, including hotels, residential buildings, sports clubs, stadiums, and mosques. These mandated regulations play a pivotal role in safeguarding assets, ensuring public safety, and fostering a heightened demand for video surveillance solutions nationwide.

Growing Adoption of Advanced Technologies

In Saudi Arabia, the burgeoning demand for video surveillance technology signals a dynamic shift, particularly in embracing advanced solutions. Industry experts, including Etienne van der Watt from Axis Communications, highlight the nation's status as a nascent yet promising market. Regulatory updates, exemplified by the 2022 Council of Ministers' mandate for surveillance systems in public spaces, reflect a commitment to harnessing advanced technologies for security. Despite a temporary dip in 2021, the market is now poised for robust growth, driven by technological strides like IP-based cameras and video analytics.

Challenges

Cybersecurity Threats

The demand for video surveillance systems across the Kingdom is significantly influenced by the cybersecurity risks associated with these technologies. As surveillance systems increasingly rely on digital technologies and interconnected networks, the susceptibility to cyberattacks has grown, posing threats to crucial security footage and sensitive data. Safeguarding these systems against cyberthreats is now imperative, demanding the implementation of robust cybersecurity measures. However, this endeavor proves challenging, particularly for organizations lacking expertise in cybersecurity, consequently elevating deployment and service costs. This challenge has a detrimental impact on the demand trajectory, thereby imposing constraints on the growth of the Saudi Arabia Video Surveillance Market.

Impact of Geopolitical Tensions on Saudi Arabia Video Surveillance Market

The Saudi Arabia Video Surveillance Market experiences profound impacts due to escalating geopolitical tensions. This shift is notably evident in the deepening economic ties between Saudi Arabia and China. With China emerging as a major trading partner and significant investor, the dynamics extend beyond economic realms into strategic partnerships, notably in armed drone production. Saudi Arabia's recent approval to join the Shanghai Cooperation Organization aligns with this geopolitical shift, further emphasizing the evolving landscape. A consequential outcome is the growth of digital authoritarianism, marked by the adoption of advanced surveillance technology. This paradigm shift responds to the region's challenges, coupled with a perceived United States disengagement. The implications are far reaching, not only transforming Saudi Arabia's security framework but also impacting United States operations in the Gulf, necessitating strategic adjustments in response to the evolving geopolitical landscape.

Saudi Arabia Video Surveillance Market

Segmental Coverage

Saudi Arabia Video Surveillance Market – By Component

By component, the Saudi Arabia Video Surveillance Market is divided into hardware, software, and services segments. The services segment holds the highest share in the Saudi Arabia Video Surveillance Market by component. It can be attributed to the increasing preference among businesses to avoid substantial investments in hardware or software, opting instead for a more cost-effective service model. Service providers cater to this demand by offering a range of services, including maintenance, system integration, and managed services.

Saudi Arabia Video Surveillance Market – By System Type

Based on system type, the Saudi Arabia Video Surveillance Market is divided into Analog Video Surveillance Systems, IP Video Surveillance Systems, and Hybrid Video Surveillance Systems segments. The IP video surveillance systems segment is expected to hold the highest share in the Saudi Arabia Video Surveillance Market by system type during the forecast period. It is primarily due to the increasing advancements in smart city and smart home applications. Also, technological innovations, real-time access, wireless technology integration, video analytics, and cost-effectiveness contribute significantly to the growth of the IP camera segment in the Kingdom’s Video Surveillance Market.

Saudi Arabia Video Surveillance Market – By End User

On the basis of end user, the Saudi Arabia Video Surveillance Market is divided into Commercial, Industrial, Residential, and Government segments. The commercial segment holds the highest share in the Saudi Arabia Video Surveillance Market by end user. It can be attributed to a rising demand observed in hotels, banks, and retail enterprises. The growth of the financial sector, coupled with an escalating need for enhanced building security and monitoring of customer and staff activities, serves as additional impetus for the expansion of video surveillance within this segment.

Competitive Landscape

Major players operating in Saudi Arabia Video Surveillance Market include Dahua Technology, Axis Communications, Hikvision, Honeywell Security, ZMR, Industrial Video & Control Co., Pelco, Avigilon Corporation, Hanwha Techwin, and FLIR Systems. To further enhance their market share, these companies employ various strategies, including mergers and acquisitions, partnerships, joint ventures, license agreements, and new product launches.

Recent Developments

• In January 2024 - Barox Kommunikation AG has partnered with Amstergi, a leading distributor in the Saudi Arabia Video Surveillance Market. Based in Dubai, Amstergi offers comprehensive supply chain services for security integrators in the UAE and Qatar. The collaboration aims to expand Barox's influence, introducing their high-performance Ethernet switches and advanced Device Management System to enhance control functionality in the Saudi Arabia Video Surveillance Market.

• In 2023 - Dahua Technology formed a collaboration with Mindware KSA to broaden its presence and fortify its distribution network across the Kingdom of Saudi Arabia.

Scope of the Report

By Component

• Hardware

• Software

• Services

By System Type

• Analog Video Surveillance Systems

• IP Video Surveillance Systems

• Hybrid Video Surveillance Systems

By End User

• Commercial

• Industrial

• Residential

• Government