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But Inder Reddy, Honeywell Security and Fire, says there are actually two schools of thought on where monitoring may be headed. “Some customers have absolutely said ‘We want to leverage our expertise so we are going to get out of the monitoring business and focus on customer service. ’ But as software becomes more and more the way to do things, you could make the case that SaaS types of services are much more scalable and you don’t need to be so large to have economies of scale. For the moment it seems that a lot of active central stations are looking to outsource to wholesale and reapply that cash to grow their RMR business. ”Pam Petrow, Vector Security, also senses change in the wind. “Consumers’ willingness to take on responsibility for some aspects of monitoring will continue to change the industry.

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”Steve Schmit, engineering manager – alarm certificate services with UL’s Building and Life Safety Technologies division, Northbrook, Ill. , also notes this trend. “We are seeing the industry approach the market with services. Technology is such that users can interact with the security system in ways that weren’t possible before, which opens up all kinds of opportunities. We see folks not only introducing new security type services such as video, but that same pipeline enables your security system to help out with things like personal emergency response and home automation sorts of things. ”This is exactly what led East Hartford, Conn.