The Security Technologies Industry in Germany



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Chris Schmidt - istockphoto Industry Forum on Security Technology and Chemicals 14 th December 2011 in Tel Aviv, Israel Jérôme Hull Manager Mechanical & Electronical Technologies Germany Trade & Invest

Agenda I. The German Security Technologies Industry II. Investing in German Security: Strengths and Opportunities III. About Germany Trade and Invest 2

The German Security Technologies Industry The German Security Technologies Industry expects high growth rates Security technology is perceived as one of the major up industries Annual Turnover and Growth of the Security Technologies Market in Germany (in EUR billion) 40 Global market growth prospects : 100 billion Euro in 2008 Annual growth rate of 5% 30 +6% p.a. 31 The market in Germany will experience the 20 20 same dynamic growth (about 6%) Numerous opportunities for investors and 10 21.5 innovative companies alike 13.7 Market convergence High value-added density 0 2008 2015 Source: Federal Ministry of Economics and Technology German market volume German value-added share 3

The German Security Technologies Industry Current outlook: significant increases predicted for most segments. Security Technologies in Germany Primary Segments (in EUR Million) 2015 2008 IT Security Systems, technologies, and services for protection against theft, burglaries, and assaults Systems, technologies, and services for information and communication for threats or in the case of threats Equipment for persons in the field of civil security (police, fire squads, THW, security companies) Systems, technologies, and services for protection against fire, gas, and smoke Identification, authentication, incl. biometrics & RFID Control and detection of hazardous substances Investigation and forensics +18.5% +22.4% +4.7% +87% +50.6% +15% +33.5% +124% 0 2,500 5,000 7,500 10,000 Source: VDI/VDE-IT GmbH, 2009 4

Agenda I. The German Security Technologies Industry II. Investing in German Security: Strengths and Opportunities III. About Germany Trade and Invest 5

Investing in German Security: Strengths and Opportunities Gravity for security research is in the Berlin-Brandenburg region. Berlin-Brandenburg: Major Entreprises (11) SME (48) University Institutes (26) Research Centers (21) Association / Networks (9) Government (3) North Rhine Westphalia: Major Entreprises (8) SME (22) University Institutes (26) Research Centers (16) Association / Networks (2) Government (1) Source: http://www.securityresearchmap.de 6

Investing in German Security: Strengths and Opportunities Industry and Science security research amass in Berlin-Brandenburg. Selected Associations, Clusters and Networks in Berlin-Brandenburg SeSamBB Security und Safety made in Berlin-Brandenburg Central communications platform for the area security with IT IdentSys Pool of 10 enterprises dealing with complex hardand software solutions for saving and collecting biometric attributes BrainTrustIT Pool of businesses, institutions and scientific institutes in the field of IT-Security and Safety with IT KOSYnet Flood protection and disaster control 10 companies + Fraunhofer Institute IPK Tusec Tunnel safety and security network Qualified with sensor systems, real time data processing and telecommunications Secure Identity Cluster of 5 Fraunhofer institutes, 15 enterprises, 3 universities Research competence in processing, saving and transmission of data related to identity 10 m research budget for 2008-2011 Source: http://www.securityresearchmap.de 7

Investing in German Security: Strengths and Opportunities Examples of German-Israeli cooperation in civil security research. Selected Research Cooperation Projects between Germany and Israel in civil security research ACCIS BEPE ChipSenSiTek EMSIN ESR I-LOV IRLSENS LiveDetect3D RETISS Automatic Cargo Container Inspection System Internet-based tool for the evaluation of hospitals level of preparedness for biological emergencies Fibre optic micro-sensors for the detection of explosive materials under real-time conditions Electromagnetic protection of transport infrastructures System trust and crisis management: An interactive expert exchange system for strengthening societal resilience Intelligent safeguarding localization system for the rescuing of people trapped or buried under rubble Infrared laser-based fibre optic sensor system for drinking water monitoring Detection of hidden threats through real-time 3D imaging Real-time Security Management System for Infrastructures on German and Israeli roads Source: Federal Ministry of Education and Research 8

Investing in German Security: Strengths and Opportunities Germany provides an outstanding investment environment High level of education & training Europe s leading electronics market Stable labor costs & flexible working time R&D and high-tech leader High productivity World s best infrastructure Reliable investment environment Strong governmental support Made in Germany quality High investment and R&D incentives Proximity to equipment suppliers 9

Agenda I. The German Security Technologies Industry II. The Advantages as an Investment Location III. About Germany Trade and Invest 10

About Germany Trade and Invest GTAI helps you to successfully establish your business in Germany. Strategy Evaluation Decision & Investment Project Management Assistance Business opportunity analysis and market research Market entry strategy support Project partner identification and contact Joint project management with regional development agency Coordination and support of negotiations with local authorities Location Consulting/Site Evaluation Identification of projectspecific location factors Cost factor analysis Site preselection Site visit organization Final site decision support Support Services Identification of relevant tax and legal issues Project-related financing and incentives consultancy Organization of meetings with legal advisors and financial partners Administrative affairs support Accompanying incentives application and establishment formalities 11

About Germany Trade and Invest Investor Reference: S.B. Security Group Ltd. Main provider of security services and border controls in Israel Some of the Clients: Defense ministry Prime minister Airport Eilat Employees: 3.000 Investment Inquiry: Joint venture with GSE Protect: Goldschmidt & Levy GmbH S.B. Europe GmbH: Software solution in loss prevention Source: GTAI 12

About Germany Trade and Invest Thank you for your attention! Europe Berlin - Headquarters Mr. Oliver Seiler Director Mechanical & Electronic Technologies T. +49 30 200 099 400 oliver.seiler@gtai.com Mr. Jonathan Schoo Manager Electronics & Microtechnology T. +49 30 200 099 430 jonathan.schoo@gtai.com Mr. Robert Krauss Senior Manager Transportation Technologies T. +49 30 200 099 401 robert.krauss@gtai.com Mr. Marko Kolbe Senior Manager Machinery & Equipment T. +49 30 200 099 405 marko.kolbe@gtai.com Mr. Max Milbredt Manager Electronics & Microtechnology T. +49 30 200 099 408 max.milbredt@gtai.com Mr. Sebastian Wittke Senior Manager Transportation Technologies T. +49 30 200 099 405 sebastian.wittke@gtai.com Mr. Jérôme Hull Manager Machinery & Equipment T. +49 30 200 099 602 jerome.hull@gtai.com 2011 Germany Trade & Invest All information provided by Germany Trade & Invest has been put together with the utmost care. However, we assume no liability for the accuracy of the information provided. 13