Europe Security Screening Market Size
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Historical Data Period | 2019 - 2022 |
| CAGR | 4.38 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Europe Security Screening Market Analysis
The Europe Security Scanning Market is expected to register a CAGR of 4.38% over the forecast period from 2020 to 2025. With significant terror attack threats at various public and critical infrastructures, security screening plays a vital role, especially for places such as railways, airports, border checkpoints, government organizations, and private sectors, to help reduce and mitigate the risk factor. Security screening enables the assurance from a threat against unlawful and unethical practices and protecting humans and financials.
- Security screening using several technologies, such as X-ray scanners, biometric matching, and metal detectors, is becoming significantly popular at the security checkpoints for expediting the process. According to the European Commission, approximately 887 million travellers are expected to cross into the EU within 2025. The exponential increase of traveller volume in the region is expected to drive the need for robust security screening systems. All European Union countries are issuing e-passport to fast forward the boarding systems. The rise of automated border control has significantly driven the adoption of automated security screening systems.
- In order to combat terrorism, several countries in the region are partnering with other emerging countries to bring in security screening systems. For instance, in the second half of 2019, Germany signed an agreement with India to stress the importance of tracing the movement of terrorists. Germany is expected to facilitate the export of military equipment and security technology sharing, with India, in line with the international, European, and national rules. Such instances are expected to positively impact the security screening of the defense sector in the region.
- Moreover, several companies such as Smiths Detection Group Ltd., 3DX-Ray Ltd, Gilardoni SpA, CEIA SpA, etc. are headquartered in Europe are providing their solutions to multiple end-users in the region. For instance, in October 2019, 3DX-Ray made a contract to supply 40 units of ThreatScan -LS1 to a significant European Security Force. It is used to inspect suspicious packages and bags in mass transit areas, such as bus and railway stations, airports, shopping malls, stadia, and sports arenas, and general security inspection by first responders, such as Military, Police, and Private and Government Security agency.
- However, the breakout of the COVID-19 pandemic had a significant impact on the market in the short term, owing to airports' dependence on security screening. The result of quarantine in the region has led to a decrease in the overall air travel and is expected to pose a significant threat to the demand for additional screening options. Moreover, Europe is witnessing a second wave of the COVID-19 pandemic, forcing many countries to impose new regulations in a bid to avoid the return of full-blown lockdowns. As per the WHO, in October 2020, Europe is reporting more than 1.3 million new cases, and this factor is expected to impact the market negatively.
Europe Security Screening Market Trends
This section covers the major market trends shaping the Europe Security Screening Market according to our research experts:
Airports are Expected to Hold Major Share
- The security coverage across the airports is of utmost importance, and the spending on enhancing airport security in the European region is on the rise. A prominent share of the expenditure is expected to incorporate new technologies in both hardware and software. Airports in the region are highly regulated and require upgraded technological solutions in screening. With continuous developments and upgrades, the demand for screening solutions in this space may increase significantly.
- Europe has some of the largest airports handling vast volumes of freight on a daily basis. For instance, freight segments of airports in Germany witnessed positive growth in recent years. The increasing air transport freight is expected to provide ample opportunities for the security scanning market in Germany. Munich International Airport in Germany uses Morpho's CTX 9800 explosive detection system for baggage screening. This computed tomography-based system is used to screen baggage for selected high-risk flights.
- Due to the growing threat of identity theft, the use of biometrics is being used to enhance across borders. Presently, the region's conservative governments are focusing its efforts on introducing a biometric-based border control policy. For instance, in September 2019, Gatwick became the United Kingdom's first airport to confirm its decision to use facial-recognition cameras permanently for ID checks before passengers board the planes. Also, passengers may be required to scan their passports at the departure gate for the system to be able to match the photo to the real face.
- As Europe's economies have come to a standstill due to the outbreak of COVID-19, so has the European airport network. According to Airport Council International (ACI), passenger traffic fell by -59.5% during March 2020, dragging the first quarter passenger traffic down by -21%. But while Europe's airports still handled 5.1 million passengers on 1 March (-11.7% compared to the same day in 2019), the traffic had reduced to 174 thousand by 31 March 2020 (-97.1% compared to the same day in 2019). However, once the lockdown is lifted, the air traffic's normalcy is expected to attain gradually.
United Kingdom is Expected to Hold Major Share
- The major driving force for the market in the United Kingdom is the government initiatives regarding national security, counter-terrorism, and the need to guard against the increased threat of crime. The counter-terrorism legislation, Terrorism Act 2000, gave increased power to the home secretary and the police to combat terrorism. In 2003, the government introduced a counter-terrorism strategy called CONTEST. Currently, in its fourth iteration, the strategy aims to strengthen protections against terrorist attacks.
- Multiple airports in the United Kingdom are investing in security screening solutions. For instance, in August 2019, Guernsey Airport invested more than GBP 1.5 million in new screening equipment as the airport aims to resolve delays caused by traditional equipment. In June 2019, Heathrow announced the rollout of new computed tomography (CT) security equipment throughout the airport over the next few years. The airport is investing over GBP 50 million to roll out the X-ray equipment. Once fully operational, the enhanced technology is expected to reduce passenger time significantly.
- In October 2019, Leidos, the United States defense and technology contractor, was given a contract by the United Kingdom government to converge the government’s two existing biometric databases. The data, including fingerprints, DNA, and facial images, are held within the Immigration and Asylum Biometrics System (IABS) and used by immigration agents, border force and the passport office, and IDENT1, which serves law enforcement agencies, such as the police department.
- While the United Kingdom market is mature and proliferating, newcomers can have significant challenges with no previous track record in the country. Owing to this reason, foreign players usually partner with an established local partner. However, the market is facing various challenges. For instance, in August 2019, the fingerprints of over 1 million people, as well as facial recognition information, personal information of employees, and unencrypted usernames and passwords were discovered on a public database for a company used by the United Kingdom metropolitan police, defense contractors, and banks.
Europe Security Screening Industry Overview
The European security screening market is moderately competitive, and the market poses relatively moderate barriers to entry for new players. Although the market has high capital requirements, moderate consolidation in the market is likely to support new entrants with high product differentiation. Market incumbents and large players such as Smiths Detection Group Ltd., 3DX-Ray Ltd, Teledyne ICM SA, etc. have a strong influence on the market.
- September 2020 - Smiths Detection announced the launch of a new X-ray inspection system called HI-SCAN 5030C, specifically designed to improve security screening operations from corporate campuses to courthouses. The HI-SCAN 5030C is the company's smallest X-ray inspection system and offers a wide variety of options, including a storage compartment, stainless steel castors, 24" monitor, etc.
- May 2020 - Leidos Holdings, Inc., completed the acquisition of L3Harris Technologies' Security Detection and Automation Businesses for USD 1 billion in cash, which helped Leidos establishing a comprehensive security and detection portfolio. The acquired businesses provide automated tray return systems, airport and critical infrastructure screening products, and other industrial automation products.
Europe Security Screening Market Leaders
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Smiths Detection Group Ltd.
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Leidos Holdings Inc. (L-3 Security and Detection Systems Inc.)
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OSI Systems Inc.
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3DX-Ray Ltd (Image Scan Holdings PLC)
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Teledyne ICM SA
*Disclaimer: Major Players sorted in no particular order
Europe Security Screening Market Report - Table of Contents
1. INTRODUCTION
- 1.1 Study Assumptions and Market Definition
- 1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET INSIGHTS
- 4.1 Market Overview
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4.2 Industry Attractiveness - Porter's Five Forces Analysis
- 4.2.1 Bargaining Power of Suppliers
- 4.2.2 Bargaining Power of Buyers
- 4.2.3 Threat of New Entrants
- 4.2.4 Threat of Substitutes
- 4.2.5 Intensity of Competitive Rivalry
- 4.3 Assessment of the impact of COVID-19 on the market
5. MARKET DYNAMICS
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5.1 Market Drivers
- 5.1.1 Terror Activities Happening Across the Region
- 5.1.2 Automation of Screening Processes
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5.2 Market Restraints
- 5.2.1 Multiple apprehensions regarding X-ray radiation on health limiting the growth
6. MARKET SEGMENTATION
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6.1 By Application
- 6.1.1 People
- 6.1.2 Product
- 6.1.2.1 Mail and Parcel
- 6.1.2.2 Baggage
- 6.1.2.3 Cargo and Vehicle Inspection
- 6.1.2.4 Trace Detection
- 6.1.2.5 Other Applications
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6.2 By End User
- 6.2.1 Airports
- 6.2.2 Ports and Borders
- 6.2.3 Defense
- 6.2.4 Critical Infrastructure
- 6.2.5 Other End Users
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6.3 By Country
- 6.3.1 United Kingdom
- 6.3.2 Germany
- 6.3.3 France
- 6.3.4 Italy
- 6.3.5 Rest of Europe
7. COMPETITIVE LANDSCAPE
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7.1 Company Profiles*
- 7.1.1 Smiths Detection Group Ltd.
- 7.1.2 Leidos Holdings Inc. (L-3 Security and Detection Systems Inc.)
- 7.1.3 OSI Systems Inc.
- 7.1.4 3DX-RAY Ltd
- 7.1.5 Teledyne ICM SA
- 7.1.6 CEIA SpA
- 7.1.7 Gilardoni SpA
- 7.1.8 Nuctech Company Limited
- 7.1.9 Astrophysics Inc.
8. INVESTMENT ANALYSIS
9. FUTURE OF THE MARKET
Europe Security Screening Industry Segmentation
Security screening allows individuals to access classified information or restricted areas by thorough frisking and background checks. Metal detectors and X-ray scans are some of the techniques through which security scanning is being performed in the market. The market also underlines the inclusion of hardware/equipment, integrated software, and allied services. The vendors considered for the study include pure-play vendors who overlook the manufacturing and delivery of security-based screening offerings while excluding the third-party vendors.
| By Application | People | |
| Product | Mail and Parcel | |
| Baggage | ||
| Cargo and Vehicle Inspection | ||
| Trace Detection | ||
| Other Applications | ||
| By End User | Airports | |
| Ports and Borders | ||
| Defense | ||
| Critical Infrastructure | ||
| Other End Users | ||
| By Country | United Kingdom | |
| Germany | ||
| France | ||
| Italy | ||
| Rest of Europe |
Europe Security Screening Market Research FAQs
What is the current Europe Security Screening Market size?
The Europe Security Screening Market is projected to register a CAGR of 4.38% during the forecast period (2024-2029)
Who are the key players in Europe Security Screening Market?
Smiths Detection Group Ltd., Leidos Holdings Inc. (L-3 Security and Detection Systems Inc.), OSI Systems Inc., 3DX-Ray Ltd (Image Scan Holdings PLC) and Teledyne ICM SA are the major companies operating in the Europe Security Screening Market.
What years does this Europe Security Screening Market cover?
The report covers the Europe Security Screening Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Europe Security Screening Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Europe Security Screening Industry Report
Statistics for the 2024 Europe Security Screening market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Europe Security Screening analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
