Homeland Security: A Business Review

Report Highlights

• The U.S. market for food monitoring with sensor technology to guard against biowarfare agents and spoilage will increase from $6.7 million in 2003 to $7.9 million in 2006, at an average annual growth rate (AAGR) of 5.7%.
• An AAGR of 11.1% has been estimated through 2006 for worldwide sales of electronic surveillance and monitoring systems, currently a $14 billion market.
• E-security software expenditures (revenues) will grow from $5.6 billion in 2003 to $11.5 billion, in 2006, at an AAGR of 26.5%.
• Treatment costs following a hypothetical terrorist attack using smallpox, chemical or radioactive agents: smallpox is estimated at $139.7 billion; nerve agents, $174.9 million; and nuclear, $204.9 million, all in 2003.

INTRODUCTION

The use of commercial aircraft for acts of terrorism reached a tragic climax on 9/11. Hijackings and airport bomb attacks experienced over the last 30 years resulted in tightened airport security in the U.S. and the rest of the world, but the scale of the 9/11 attack exposed the inadequacy of those measures. Clearly, there was, and is, an urgent need to better control and monitor the access of unauthorized people not only to airports, but to critical installations.

It was quickly realized that the food we eat, the water we drink and the air we breathe also were easy targets for determined terrorists. They could, in fact, attack using biological, chemical and nuclear means to which the nation was ill-prepared to respond. All of this resulted in an unprecedented push to research and develop technologies and products to counter the threats described above.

This four-part review covers some important technologies, products, companies and markets involved in the fight against various forms of terrorism. It reviews ways to protect the nation's food, water and air by smart sensor technology. It examines some of the important technologies to secure borders, facilities and buildings, and also studies Internet security measures. Lastly, it reviews the urgent need to develop ways to effectively respond to terrorist attacks, should they occur, the economic and market implications of an attack, as well as examples of products and recent research.

SCOPE OF STUDY

This review covers:

• The economic consequences and government response to possible attacks on the nation's food, water and air
• Sensor technology that could be used to detect dangerous microorganisms
• Technologies and products that could be used to secure the nation's borders, facilities and buildings
• What is needed to secure the Internet, intranets and wide area networking systems from intrusion
• What is needed to respond to biological, chemical and nuclear attacks.

INFORMATION SOURCES

This review was prepared with information gathered from a number of important BCC Research reports. These were:

• B-159 Biosensors and Bioelectronics
• B-166 Biological, Chemical and Nuclear Terrorism: Potential Diagnostic and Treatment Costs
• G-100X Smart Card Technologies and Markets Worldwide
• G-221 Internet Security Technologies for the Changing E-Economy
• G236 Intelligent Sensing: Micro Noses, Eyes and Tongues
• G-266 Electronic, Acoustic and Optical Surveillance and Monitoring Systems
• G-276 The Global Biometrics Market

Additional information was gathered from government and university sources, along with three BCC newsletters: Food Ingredients News, and Analytical Separations News.

DISCLAIMER

This review is of a professional and accurate nature. It is not to be considered an endorsement of any product described. Nor is it intended to constitute a legal or accounting document. Neither the analyst, project manager, typist, nor the publisher assume any liability for loss or damage as a result of reliance on this material.

ANALYST CREDENTIALS

Dr. Butler spent over 25 years in academia before turning to publishing after attending New York University's School. He spent 13 years with Communications Company as its Director of Operations, leaving in order to relocate in Massachusetts with his new wife. He spent some years as a financial advisor before retiring. He still pursues editing and writing activities, among other interests.