Hey crew,

As the year gets underway, analysts and vendors are rolling out their annual outlooks, offering early signals on where the physical security industry is headed. In this edition, we highlight the insights shaping the next 12 months, from high-profile lawsuits and major mergers to the growing momentum behind rooftop overwatch.

Together, these developments point to shifting priorities around risk, technology deployment, and operational strategy across the sector.

Let’s dive in.

🧠 TOP OF MIND

An ACLU lawsuit against Equity Residential and SmartRent claims mandatory smart locks and sensors crossed from access control into unlawful in-home surveillance, highlighting legal and ethical risks for physical security professionals deploying IoT systems in residential settings.

According to Pro-Vigil’s State of Physical Security Entering 2026 report, 88% of businesses saw physical security incidents rise or stay flat in 2025, over half expect incidents to increase in 2026, and while belief in AI’s value is growing, most organizations still haven’t adopted it.

Leading manufacturers including Axis, Genetec, Hanwha Vision, i-PRO, and Gallagher say 2026 will be a turning point for physical security, driven by agentic AI, hybrid cloud/edge architectures, cyber-physical convergence, and the shift from “security only” systems to business intelligence and digital twins

📚 ON ALERT EXCLUSIVE

A rooftop tradition for the ages. While everyone’s focused on floats, cheers, and confetti, a quiet layer of security keeps watch from above. Rooftop units have been part of public events for decades, mostly unnoticed by the public eye.

From binoculars to high-tech overwatch Originally used to protect political gatherings, these roles have expanded into festivals, sporting events, and civic celebrations, becoming a common part of public life. Advances in long-range imaging and communications, along with the rise of high-profile figures regularly attending public events have transformed these positions into an embedded part of the event security stack.

A game of ‘do you see it’ Outside of high-risk scenarios, their presence is mostly a deterrent and support function, but a growing micro-trend on social media has turned “spotting the sniper” into a fun Easter egg. Next time you’re in a crowd, glance upward and you might just spot one hiding in plain sight.

To learn more about the history of ‘snipers on the roof’, click here.

🔎 INTERESTING FINDS

Last week we kicked off our analysis of Genetec’s State of Physical Security 2026 report. This week, we’re focusing on cloud adoption and what it means for you.

The report highlights growing confidence in cloud-based security solutions, even as concerns remain around data privacy, costs, and vendor lock-in. Physical security teams are increasingly taking an incremental approach, adopting cloud for specific functions like video storage, remote monitoring, and analytics, while keeping critical systems on-premises.

This middle ground is reflected in the market. By combining on-premises control with cloud-based tools, organizations can scale video and access control systems, integrate analytics, and centralize monitoring without overhauling existing infrastructure.

This shift marks a positive trend for end-users. For in-house teams, this provides greater flexibility to adopt new technologies, improved visibility across sites, and the ability to modernize workflows at a pace that aligns with operational needs and risk tolerance. Hybrid adoption allows security operations to be more responsive, while retaining control and autonomy in how they implement their tech stack.

✅ IN CASE YOU MISSED IT

A very timely merger of cloud-native vendors, private to public sector leadership moves, and quantative results of AI’s impact on operations.

💼 Brivo and Eagle Eye Networks announced a merger that will create the industry’s largest ‘cloud native AI physical security company’

💰 Former DHS and CISA leader Matthew Seaman has joined Vanguard as Head of Physical Site Security, bringing deep federal experience in facilities, infrastructure, and operational support.

💰 One of the first quantitative reports on AI-driven efficiency in security shows Genesis Security cut false alarms by 62%, shows Genesis cut false alarms by 62%, boosting threat verification and response across industries.

👇 SEE YOU NEXT WEEK

Until next time!