ADT-Google Home Security Venture Puts Pressure on Established Providers: Parks

ADT and Google’s home security collaboration, announced as a $450 million investment by Google in August (see 2008040064), gives the two companies a competitive edge “against all competitors” in the smart home security market, blogged Parks Associates analyst Amanda Kung Tuesday. Software and hardware providers, including Alarm.com and Resideo, will need to innovate and expand the market to maintain their status as “the gold standard in home security” to compete with Google, she said. Alarm.com is expected to continue providing service to existing ADT subscribers on its Command and Control platform and, beginning in 2023, on the ADT + Google platform via a royalty-bearing intellectual property license. “Alarm.com will continue to derive revenue from newly subscribed customers to the proposed ADT + Google platform,” said the analyst.