3D Virtual Fence Market Size, Share & COVID-19 Impact Analysis, By Type (3D Video Motion Detection System and 3D Virtual Cameras), By Technology (Seismic Detector Technology, Laser Beam Technology, Laser Systems Integration, and Others), By End-user (Logistics, Agriculture, Border Security, BFSI, Construction, and Others), and Regional Forecast, 2023-2030

The global 3D virtual fence market size was valued at USD 700 million in 2022. The market is projected to grow from USD 806.5 million in 2023 to USD 2,339.9 million by 2030, exhibiting a CAGR 16.4% during the forecast period.

A 3D virtual fence is a digital perimeter or boundary which is enforced and created with three-dimensional (3D) technology, especially in surveillance and security systems. It is designed to control and monitor the movement of individuals or objects within a confined area. This fencing system uses different types of sensors, such as radar, infrared sensors, video analytics, or laser scanners, to recognize and scrutinize the movement of objects within a restricted zone. When an individual or object goes beyond the virtual fence perimeter, the system alerts security personnel or activates an alarm to take appropriate actions/measures.

In April 2023, the Bezos Earth Fund granted USD 9.9 million to the College of Agriculture and Life Sciences (CALS) to help a venture in developing a cost-effective virtual livestock fencing that would help ranchers & animals, work on the general wellbeing in emerging nations, and battle climate change.

COVID-19 IMPACT

Pandemic had Mixed Impact on 3D Virtual Fence Industry Owing to Rising Perimeter Security Concerns

While the initial phase of the pandemic led to economic uncertainties and disrupted supply chains, the subsequent focus on enhancing security and surveillance measures surged the demand for 3D virtual fence solutions. The pandemic highlighted the importance of contactless security solutions, leading to an increased adoption of virtual fences to minimize physical contact and ensure effective security operations. For instance,

• In April 2020, the Osmanabad local police utilized virtual fencing technology to track individuals who have been isolated at an institution or a home. The geo-fencing solution creates a virtual fence for a specific region and tracks a gadget, which was a mobile phone in this case. The system generates an alert if the device breaches that virtual fence. This helped the authorities easily track COVID-19 patients and quarantine them accordingly.

LATEST TRENDS

Increasing Research in 3D Virtual Fence to Pave Way for Market Growth

As public safety and various critical infrastructure dangers rise, there is a rising demand for multi layered perimeter security systems that incorporate virtual fences. As a solution for monitoring the borders, 3D virtual fencing can be used alone or as part of a multilayered security strategy.

While access control and physical fencing measures have been viable ways to define limits and confine access, physical fence lines could be time-consuming with high installation costs, and system access can be compromised. Access control software and systems as well as physical fences are susceptible to breaches. As a result, numerous experiments have been carried out by researchers all over the world to investigate the various aspects of 3D virtual fence systems. For instance,

• From 2020 to 2022, virtual fencing was being tested in Alaska to improve the efficiency of reindeer restoration programs on the Seward Peninsula. Since animals interact with larger perimeters less frequently, the purpose of the study was to evaluate virtual fencing systems in larger rangelands, particularly to determine whether ease of use of these systems decreases with scale.

DRIVING FACTORS

Rising Government Funding/Grants Likely to Boost Market Growth

Rising number of government enterprises have been investing in the development of 3D virtual fences to improve the security of their citizens. The key factors driving the growth of the global market include the rising need for detection & surveillance of intruders, government initiatives for innovation of enhanced security systems, and increasing demand for safety & security measures.

• In June 2021, the Environmental Protection Agency (EPA) provided funding to the Oklahoma State University researchers to investigate how the technology of virtual fencing could enhance the ecosystems and water quality of cattle grazing lands. Research on how GPS-enabled cattle collars could help producers to not only enhance grazing management, but also improve natural resources, such as soil health, wildlife habitat, and water quality, was supported by a new EPA grant of more than USD 800,000.

These factors are likely to contribute to the 3D virtual fence market growth.

RESTRAINING FACTORS

High Initial Investments and Limited Technical Expertise to Impede Market Progress

The cost of hardware and software, as well as the installation and maintenance of these systems, can be costly, especially for small businesses. Furthermore, the cost of training the personnel to operate and maintain this technology is also a major expense for companies. Thus, the high cost of the implementation of 3D virtual fence technology is a major obstacle to its widespread adoption.

Moreover, lack of technical expertise in the market is a major restraint, despite the growth potential of this technology. Most of the organizations lack the expertise to successfully install and operate the technology or are not even familiar with it. Additionally, lack of skilled personnel to operate the technology is a major obstacle to the large-scale adoption of this technology.

SEGMENTATION

By Type Analysis

Rising Demand for 3D Virtual Cameras to Improve Border Security Will Strengthen Market Growth

Based on type, the market is bifurcated into 3D video motion detection system and 3D virtual cameras. The 3D virtual cameras segment held the largest 3D virtual fence market share. This is majorly driven by the fact that 3D virtual cameras provide cost-effectiveness, simple installation, and enhanced security. Also, as the need for surveillance and border security increases, the deployment of 3D virtual fences to avoid unauthorized entry is gaining traction.

The applications of 3D virtual fences are increasing in homeland security, military, among other public safety organizations. The need for personnel & asset protection, environmental monitoring, and border surveillance is expected to fuel the market growth. As these fences provide a cost-effective and secure means of protecting assets and personnel from external threats, the use of 3D virtual cameras in fences is gaining significant popularity among private enterprises.

By Technology Analysis

Adoption of Seismic Detector Technology to Increase Due to Their Lucrative Benefits

Based on technology, the market is segmented into seismic detector technology, laser beam technology, laser systems integration, and others (LiDAR technology and others).

The seismic detector technology segment is expected to dominate the market. This technology uses low-frequency sound waves to detect moving objects. It can detect even the smallest of vibrations including those from small drones. The detectors then alert the user through an app or the security company, enabling immediate action.

Furthermore, the laser systems integration segment is estimated to showcase high growth as this technology can be used to detect and track a variety of objects, such as vehicles and drones. It also integrates high and low-power laser scanning technology connected to the electronic security systems and network. Further, the system also detects the presence of unauthorized individuals and objects, alerting users in real-time.

By End-user Analysis

Application of 3D Virtual Fence to Rise in Agriculture Sector to Monitor Crop Performance

By end-user, the market is divided into logistics, agriculture, border security, BFSI, construction, and others (automation).

The agriculture segment is anticipated to capture the largest share of the market. These fences can improve agricultural applications by providing farmers with accurate systems for monitoring crop performance and livestock. With the help of virtual fences, farmers can also track animals, monitor the health of livestock, detect changes in humidity, soil temperature, and other environmental parameters with increased efficiency.

The adoption of this fence in border security is also likely to create profitable growth opportunities for the market players over the forecast period. Virtual fences are majorly used in border surveillance applications to identify and track any kind of trespassing or suspicious activity. This improves the reliability of real-time data and effectiveness of security personnel to actively respond to any potential threats. Additionally, these fences alert the proper authorities of any unauthorized activity.

REGIONAL INSIGHTS

The global market is classified across three regions, North America, Asia Pacific, and the Rest of the World.

Asia Pacific accounted for the largest share in the global market in 2022. The region's emerging economies, including Taiwan and India have a thriving startup ecosystem that is supported by innovative fencing systems, which will contribute to the expansion of the region’s market share.

North America is estimated to record the highest CAGR during 2023-2030. There have been several government regulations concerning perimeter security in the region. The U.S. government agency FEMA provides funds to eligible applicants for the deployment of perimeter security that protects visitors, building functions, employees, and services from outside threats.

• In May 2022, TNC alongside private and public partners started pilot projects at working farms in Kansas and Colorado. The projects were aimed at determining whether virtual fencing could help land managers effectively implement regenerative management practices that improve biodiversity, soil carbon storage, and financial outcomes for beef producers. They also plan to begin a pilot project in New Mexico.

The rest of the world’s market is anticipated to grow at a healthy pace owing to rapid advancements in technologies such as artificial intelligence and analytics. Moreover, high demand for automated security systems is contributing to the growth of the regional market.

KEY INDUSTRY PLAYERS

Emerging Players to Focus on Introducing New Technology and Product Enhancement to Establish Market Presence

The market comprises players introducing advancements to cater to different industries. Merchants, such as Huper Laboratories, Controp, and LIPS Corporation, offer virtual fence innovations which are high in demand.

• In October 2021, LIPSafeguard 3D virtual fence was introduced by LIPS Corporation as a way to improve safety measures in robotic factories. Even when one camera is disabled or blocked, the multi-camera detection feature of the 3D virtual fence can still provide accurate intrusion detection.

List of Key Companies Profiled:

• Controp Precision Technologies, Ltd. (Israel)


• G&A Surveillance (U.S.)


• Huper Laboratories Co. Ltd. (Taiwan)


• LIPS Corporation (Taiwan)


• CE Info Systems Pvt. Ltd. (MapMyIndia) (India)

KEY INDUSTRY DEVELOPMENTS

• March 2023 – CrossControl teamed up with Malardalen University to expand the situational awareness of off-interstate vehicles and further develop administrator response. A prototype application was created by the company. Utilizing object detection and surveillance cameras, the i.MX 8X-based display computing platform can aid in the creation of situational awareness for work vehicles.


• September 2022 – Merck Animal Health announced to acquire Vence, a virtual fencing startup based in California, for improving producers' pasture and grazing management plans.


• July 2022 – Oklahoma State University researchers gained a USD 1.4 million grant from the U.S. Department of Agriculture-Natural Resources Conservation Service for their research on virtual fencing technology.


• June 2022 – Aetina, an edge AI solution provider, released new AI inference platforms - MegaEdge AIP-FQ47 and MegaEdge AIP-SQ37 series. Due to their extensive I/O interface design that supports a wide variety of peripheral devices and sensors, the platforms can be integrated flexibly into a variety of AI-related systems in order to perform AI inference tasks.


• May 2022 – Based on the NVIDIA Jetson AGX Orin System-on-Module (SoM), EverFocus Electronic Corporation, a provider of edge AI-based solutions in transportation and smart cities, launched a delivery plan for eNVP-JAO-AI-D0000. This solution enabled users to track operational failures and abnormalities, such as damages, shortages, and overages, by making effective use of AI technologies such as 2D/3D action recognition, Light Detection and Ranging (LiDAR), and 3D virtual fence.

REPORT COVERAGE

The report includes prominent areas across the globe to get better knowledge of the industry. Furthermore, it provides insights into the most recent market trends as well as an analysis of technologies that are being adopted quickly on a global scale. It also emphasizes on some of the growth-stimulating restrictions, allowing the reader to obtain a thorough understanding of the market.

REPORT SCOPE & SEGMENTATION