Some estimate that up to 80% of installed home security systems are using 2G wireless technologies. With the sunsetting of 2G, this is a problem.

The problem isn’t that cellular networks are getting faster and more capable – this is a great thing for many applications. The problem is that in its wake is left debris of generational sunsetting.

Some carriers will complete the shutdown of 2G by the end of this year. This means one of two things for consumers: either your alarm panel is nothing but an ornament on the wall, or you’ll be paying to replace it with another panel running on another technology that will also one day become obsolete.

You see, the problem with cellular technologies is that they are designed for people and not machines, machines like your alarm panel. You want to be able to install your alarm system and hopefully never have to pay it any further attention.
That type of mentality is common across many industry verticals. Home alarm systems happen to be a really big one right now. The sunsetting of 2G is shaking the fundamental business model of home alarms. The installation of a home security system is meant to be amortized in the multi-year service agreement – it makes up a big cost for service providers to have to roll a truck out to install the hardware. Well, when 2G is no longer an option, that same truck needs to come back out and redo a job it had previously done.

Sure, some opportunistic companies are capitalizing on the opportunity to return and upsell services, but consumers ultimately get caught in the unfortunate middle (just what every homeowner loves).

It’s no surprise that this disruption in service is leading to a disruption in subscribers. Reports show that consumers are fleeing from traditional security systems in favor of less expensive systems that don’t rely on to-be-sunsetted cellular technologies.

It’s simple when it comes to home security, people want long-term, affordable systems that simply work.