june 2025

State of the Market:

Access Control 2025

The access control industry is experiencing significant growth and transformation, driven by technological advancements and evolving customer needs.

By SDM Editors

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Tim McHugh, business development director, Integrated Protection Services, and Taylor Neal, marketing manager, Integrated Protection Services. Images courtesy of Integrated Protection Services.
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The access control market remains strong in 2025, with vendors, dealers and integrators optimistic about continued demand, particularly in mobile credentials, AI integration, and cloud-based systems. These developments are helping reshape the landscape, offering enhanced security and user convenience. This overview, based on insights from leading security professionals, dealers and integrators, was originally published in April 2025 in two parts in SDM Magazine.

Sixty-one percent of the respondents to the SDM 2025 Forecast (conducted in November 2024) rated their confidence in the access control market as “very good or excellent,” up 9 percentage points from last year. Another 25 percent rated the market as “good,” with just 14 percent rating it as “fair” or “poor.” // Source: SDM 2024 and 2025 Industry Forecast Studies

Part One: Market Trends

The first installment of SDM’s 2025 State of the Market Access Control Report looked at trends and results from 2024 as well as predictions for the remainder of this year. According to the SDM Magazine’s 2025 Industry Forecast, upon which the annual state of the market series is based, 86 percent of security professionals rated the access control market as “good to excellent,” when polled last November, reflecting solid confidence in the sector’s future. This optimism was fueled by the integration of advanced technologies that enhance system capabilities and user experience.

Key trends influencing the market include:

  1. Mobile Credentials & Biometrics: The adoption of mobile access credentials and biometric authentication are on the rise, and end users are becoming significantly more knowledgeable about access control technologies. Angelo Faenza, head of digital access solutions, ASSA ABLOY Opening Solutions Americas, New Haven, Conn., noted that users now come prepared, having researched mobile credentials, biometric solutions, and the transition away from traditional keycards. This growing awareness reflects that users are already comfortable with mobile apps and secure digital transactions, and are increasingly applying that mindset to physical security.
  2. Cloud-Based Solutions: A major theme in 2024 was the continued shift toward cloud-based, subscription-driven access control models. Vendors like Tina D’Agostin, CEO, Alcatraz AI, Cupertino, Calif., emphasized that fast-evolving technology has made the traditional CapEx model less attractive than the recurring OpEx-based solutions that allow continuous updates and scalability. This “as-a-service” model not only simplifies modernization, but also strengthens long-term relationships between integrators and clients. Integrators report that cloud solutions offer clients remote system management, real-time updates, and hardware longevity without the need for complete overhauls. Ryan Knoll, account executive, Pro-Tech Design, Santa Fe Springs, Calif., explained that flashing existing hardware for upgrades — rather than full replacements — has become a key cost-saving strategy for migrating legacy systems.
  3. User Experience & Integration: There is a growing demand for seamless integration of access control with other security systems, emphasizing user-friendly interfaces and comprehensive security solutions. Technological convergence continues to accelerate. Integrators and manufacturers are combining access control with other systems — most notably video surveillance — to improve situational awareness and enable intelligent threat detection. Axis Communications and DMP both highlighted the growing demand for unified platforms that offer seamless functionality across access and video.

These trends indicate a market that is not only expanding but also adapting to meet the complex demands of modern security requirements.

Nearly three-quarters of security professionals currently offer managed access control systems, and 65 percent offer AcaaS. Of those companies that offer managed/cloud-based services, managed access control is the top service currently offered, followed by Video Surveillance as a Service (VSaaS), and AcaaS. // Source: SDM 2025 Industry Forecast Study

Part Two: Opportunities & Challenges

The second installment of the SDM 2025 State of the Market Access Control considered some of the technology and other issues that will have the greatest impact moving forward. These include four main areas:

  1. AI as a Game Changer in Access Control: AI is no longer a distant concept, and it’s shaping the security landscape in real ways. ASSA ABLOY’s Faenza drew a parallel to the mid-2010s “big data” buzz, highlighting how AI now permeates customer service, technical support, and product development. Beyond support roles, manufacturers are exploring how AI can enhance user experience and operational efficiency. Daniel Gundlach, vice president, head of business unit North American Market, physical access control solutions, HID, Austin envisions AI simplifying tasks like ordering parts and managing credentials. At the product level, AI is enabling smarter, more seamless interactions. Aaron Black, vice president of sales, Napco Access Pro, Amityville, N.Y., pointed to AI-powered facial recognition as a rising trend with the potential to reduce contact and improving health-conscious access.
  2. Unlocking More Data Potential: As security systems generate increasingly vast amounts of data, AI and analytics are also proving essential in extracting actionable insights. Kyle Gordon, executive vice president of sales, marketing and commercial excellence, AMAG Technology, Hawthorne, Calif., emphasized this shift, noting his company was moving away from generating reports. Rather than traditional reporting, Gordon advocates for giving customers access to usable data for more strategic decisions, leaving specialized analytics to third-party experts.
  3. Moving Mobile to the Wallet: If AI is transforming how systems work behind the scenes, mobile credentials are redefining the user interface. The security industry has steadily shifted toward smartphone integration, and 2025 may be the year mobile wallets go mainstream. Gordon called 2024 the proof of concept year, predicting 2025 would be the year it really gains momentum. Warren Hill, executive director of product management, Digital Monitoring Products (DMP), Springfield, Mo., noted he expects to continue to see the usage and adoption of mobile wallet credentials grow.
  4. Upgrading Aging Systems: With all this innovation, many security integrators are facing a practical challenge: bringing legacy systems up to speed. Rob Druktenis, program manager, access control, Axis Communications, Chelmsford, Mass., pointed out that many clients are ready to modernize but need help transitioning cost-effectively. Integrators Josh Cummings, executive vice president, technology, Paladin Technologies, Vancouver and Roy Stephenson, director of business development, Utah Yamas Controls, Salt Lake City both reported growing demand for upgrades that align with current IT and cybersecurity standards — whether through better card formats, biometrics, or full system overhauls.

Conclusion

The access control market is experiencing robust growth, with 56 percent of industry professionals anticipating increased revenue. Factors contributing to this optimism include the adoption of mobile credentials, cloud solutions, and integrated systems that enhance security and operational efficiency.

The access control market in 2025 is characterized by rapid technological advancements and a shift towards integrated, intelligent security solutions. While challenges exist, the industry's adaptability and focus on innovation position it for sustained growth and relevance in an increasingly security-conscious world.

AI, mobile, biometrics, and cloud are reshaping the access control market, but these innovations also bring new complexities. Dealers and integrators who stay informed, embrace flexibility, and focus on educating both staff and clients will be best positioned to thrive in this fast-moving space.

Opportunities & Future Outlook

Looking ahead, the access control industry presents several opportunities for growth and innovation:

  1. AI-Enhanced Security: The integration of AI can lead to more intelligent and responsive security systems, capable of predictive analysis and automated threat mitigation.
  2. Expansion Into New Markets: Emerging sectors such as smart cities and IoT devices offer new avenues for access control applications, expanding the market reach.
  3. Subscription-Based Models: The adoption of cloud services facilitates recurring revenue streams through subscription models, providing financial stability for service providers.
  4. Customization & Scalability: Offering customizable solutions that can scale with organizational growth will be key in meeting diverse client needs.