VerkadaOne: Welcome to Verkada 2.0

I'm sharing Access Control Executive Brief 72 as a LinkedIn article for two reasons. First, to give non-members a taste of the stories, insights, and observations I offer. We also engage in lively discussions on these topics in our member Slack channel. Second, Verkada graciously invited me to VerkadaOne as one of the few "media" attendees (more on that below), and I wanted to broadly share my thoughts on the experience.

This conversation is crucial as we transition from a $10B cottage industry to a $100B mainstream one. In my writing, I strive for a balanced approach, free from personal biases, attacks, or undue influence. I'm an opportunity enthusiast and self-described fan of the future and the companies shaping it. While I maintain a critical eye, I don't seek controversy for the sake of subscriptions like some Web 1.0 bloggers. I'm not after admiration or acceptance. My writing is a self-expression of my views, thoughts, and insights, driven by a desire to shape the future of access control through storytelling.

I'm grateful for the opportunity to do this work and for those who support it. There's never been a better time to be in the access control industry. The next 30 years will be radically different from the past 30, and we have the chance to shape that future. Why wouldn't we seize it?

So, please read on, share your thoughts, and if this compels you to sign up, even better. At the very least, engage with the content—your voice is crucial as we navigate the new realities of this $100B industry.

With that, I present Brief 72: "VerkadaOne: Welcome to Verkada 2.0." Enjoy!

This Was a First-Class Event, and Here's Why

Verkada outdid themselves. The fine details, choreography, and creativity stood out. Many will say, "Yeah, they have the money." To that, I say, "So do many of you. They have permission to use it. And so could you. How? Start by reconsidering your GSX booth." I witnessed this in Munich this week, where small and mid-size firms collaborated to put on an impactful, global show called?BERGFEST.

It's about being creative. There's nothing proprietary about creativity. It's all about will, desire, and prioritization.

What's different is how and where they choose to spend the money. It starts with hiring talented people for crucial roles and empowering them to execute.

Priority + Permission + Talent + Empowerment = First-Class Execution.

I met the team behind most of it—Creative, Marketing, Communications, Branding, and Design. All different functions, all talented, and all performing at a high level. When I hear, "Well, their legal department lets them do it," I have a response. I asked, and the feedback I got from the social media team was, "We have clear guidelines, but beyond that, we execute and do what we need to do." The difference is they're allowed to execute, and there's a priority (aka investment of money) that the look, feel, sound, smell, and taste all matter.

It comes down to priority, and it's clearly a priority for them.

And it's working. I believe it's not going away, and I feel other brands in our industry will feel the impact, looking at what Verkada did and stepping up their efforts to match or outdo them. To be fair, this isn't new. I haven't been invited to attend (I think they believe ignoring me will help them somehow—good luck with that), but from what I can see and hear, Genetec and Motorola are executing at a high level as well. The difference? Verkada has figured out how to do it online and offline, whereas the aforementioned have not.

For smaller companies who "don't have the budget," I get it, but I also think there are creative ways to get exponential returns online and offline far beyond 6-foot tables at subpar expos and SEO.

As for the execution, the fine details mattered. The welcome upon arrival and the carefully curated two days (normal outside our industry for media, analysts, and influencers) gave me ample opportunity to meet executives, product managers, integrators, engineers, partners, and end users. It was well-crafted and purposefully directive, yet super effective. I felt sincerely welcomed and included in their company expression. It kicked off the show right and only got better from there. The stage presence, food, displays, music (there was a DJ), and subtle Verkada branding of lapel pins versus uniforms were all on point. I appreciated the exclusive dinner with their CEO, Product, Comms, and Channel team leaders; it was well-orchestrated and "normal." It was just done right. Again, fine details make a difference.

The Format

The conference format was notably well-structured. Keynotes began at 2 pm, allowing ample time in the morning and early afternoon for expo exploration, attending presentations, scheduling meetings, networking, or catching up on work. The afternoons featured company/product keynotes and special guest speakers. On day one,?Cathy Lanier, Senior Vice President Security, of the NFL and former Chief of Police for the DC Metropolitan Police Department,?shared her unique story—particularly compelling for a DC area native like myself. Though I missed day two's keynote by?General Stan McChrystal (Ret.), I'm familiar with his engaging storytelling.

The stage was impressively large, and the lighting effectively transformed a standard ballroom into a vibrant event space. What truly stood out was the absence of over-programming. While the schedule was full, it wasn't overwhelming. Much like the effective use of white space in web design or presentations, there was room to move, converse, and explore without feeling rushed from one activity to the next. This thoughtful approach was evident and appreciated. Despite being busy, the event never felt hurried or cluttered with unnecessary content.

Verkada 2.0

Verkada 2.0 is purposeful—it's their strategy to reach an IPO. As the leadership team directly explained to me, that's their goal for the next 3-4 years.

While they didn't explicitly call it "Verkada 2.0," they didn't deny it when asked. As someone in the Access Control Executive Brief Slack channel noted, this indeed felt like Verkada 2.0. I likened it to a company graduating from elementary school to middle school, with a clear strategy for high school.

There are three camps of people regarding Verkada: those who dislike them for various reasons (some valid, some outdated), those who initially disliked them but are warming up, and those who have always loved them and continue to do so. While Verkada has been polarizing, their current actions and words show they're no longer the company of the past—nor the one our industry's "1.0 blogger" is trying to portray them as.

What defines Verkada 2.0?

First, they're opening their system to third-party products. It's not entirely open, but then again, neither are 99% of the products and companies in our industry.

Second, the channel is becoming a more significant part of their business development funnel. Historically, they drove most sales through a large, aggressive sales organization coupled with fierce marketing and lead generation—mirroring old-school enterprise software companies like 甲骨文 , Salesforce , and EMC . This "unruly" assault on our industry's old truths, mixed with some admitted misbehavior, caused a broad industry revolt.

However, as time has passed, the industry has adopted this business development model. It's become a new norm. Creating opportunities as a manufacturer is no longer taboo. If you don't do it, you're leaving money on the table. While some may clutch their pearls and declare, "We are 100% channel-focused," the world is speeding by, and that stance is becoming perilous.

Third, there's a sincere desire to be part of the security industry. In a "better late than never" scenario—and despite what I'm sure is a desperate effort by our industry's old-guard security blogger to prevent it (it's his playbook, and putting aside the irony of a man with a checkered past trying to be the moral compass of our industry)—Verkada is embracing the Security Industry Association. They're hiring people with security experience, engaging security consultants, media, and influencers, adopting standards (ONVIF?and?OSDP), and joining the industry they once sought to disrupt and ignored. They're committing both time and money to this effort.

I don't think this means they'll simply acquiesce to the industry's old guard. Rather, I believe it means they now have one foot firmly planted in the old ways and an even heavier one in the new, leaning strongly in that direction. Ultimately, I think this is a good thing. Along with a growing group of big and small brands and big tech players like 谷歌 , 苹果 , and Amazon Key , they'll help bring our industry into the mainstream. Imagine if 恩智浦半导体 did the same—but I digress.

Verkada Being "Open"

I'm not referring to opening up their system, but rather to Verkada opening up their business mindset. This theme of transparency extended to the information and data shared during presentations. In the keynote, CEO?Filip Kaliszan?emphasized that he challenged his team to share non-public information to enhance the value of these presentations. This is a common strategy when building momentum towards going public—you want to showcase your size and growth. It also aids in closing enterprise customers; without a long history, you leverage your short-term success to build momentum while presenting a relatable vision of the future.

The shared data was impressive (though I always crave more), including:

• 1.4 million devices currently deployed
• 2.8 million access control users
• 2 billion doors opened
• 9.5 million visitors managed
• 26,000 customers globally
• An?NPS score?of 44 (Note: above 20 is great and above 50 is amazing)

I found one chart particularly intriguing (see image above). It illustrated customer cohorts and how revenue and attachment sales per customer grow over time. This attractive growth chart, coupled with low attrition, suggests the company is on track to become highly profitable and investable. It also implies they could be profitable now if they chose to be. Currently, they're in growth mode, and I wouldn't be surprised to see a significant fundraising round to bridge them to an IPO in about three years.

"15 minutes in the future"

Innovation is a complex concept. While we often focus on technical innovation, we must also emphasize business innovation.

Cloud computing, AI, and mobile technology aren't new to our industry. Though adoption remains limited, these concepts have been discussed for years—primarily from a technical or product perspective.

The issue is that most innovation is incremental, and much of what's discussed lacks true business innovation.

This is my main concern with Verkada and our industry as a whole. Are we genuinely innovating, or merely trying to stay a step ahead of the competition?

Verkada seems to prefer the latter. They aim to be slightly ahead of the pack. Despite speculation, they're not seeking to disrupt the market.

Their goal is to be "15 minutes in the future."

Verkada aspires to be a superior version of LenelS2, Genetec, Brivo, and others. They want you to believe they've achieved this. Their well-coordinated company culture and messaging are designed to reinforce this belief.

But I—and I suspect customers and even Verkada themselves—want more.

Otherwise, they risk becoming what they claim to be disrupting. This pattern is familiar in our industry. Look at Software House, S2, Openpath, and Feenics. None have truly broken into the mainstream market or captured the 25-50% growth potential. They've all been incrementally better than their predecessors, only to eventually resemble what they sought to disrupt.

I understand the current opportunity is substantial, especially given Verkada's stage and goals. As I've written before, that's the $10B cottage industry. I'm certain their vision is grander—the $100B opportunity that could truly disrupt the industry. I believe they'll play a significant role, along with many others, in capturing this opportunity. (Interestingly, I was told today that calling it a $100B opportunity might be underselling it.)

Returning to the "15 minutes in the future" concept: I noticed a recurring theme in my VerkadaOne discussions—innovation with limits, not for its own sake. After initial frustration, more conversations, and reflection, it made sense. They're not aiming to disrupt the industry. Instead, they want to dominate it and strategically time their moves to expand and strike when appropriate. While many in our sector hesitate, they don't. Unburdened by past legacies, with a clear mission and self-awareness, they're executing on today's needs (the wood) plus 15 minutes into the future (the arrowheads). This approach will position them well for when it's time to act decisively (the arrow).

The "15 minutes in the future" concept came directly from their?VP of Design?when I asked about their design philosophy. It's about envisioning customer needs for today and the immediate future, not the distant future. This approach constrains experimentation without stifling it. It allows?Jake Leichtling?(Director of Product, Access Control) to create the best tactile buttons for their new keypad reader, while preventing him from completely reinventing it or developing a reader-less system before the market is ready. It results in products that are familiar to customers but offer a unique user experience—like heated rear seats in a car, not flying cars.

This approach was evident across their product line: intercoms, cameras, alarms, and sensors. Most products were familiar yet intriguing. One exception was their visitor management system, which seemed more present-day or even slightly dated. Visitor Management, with its minimal hardware, could be an area for potential M&A activity.

While I appreciate the "15 minutes in the future" concept, I'll always push for 30 or even 60 minutes ahead. However, I can't fault them for their current approach. I wonder when this strategy might shift as the $100B opportunity demands more. But I understand their current stance: these 15 minutes are setting them up for future success when the timing is right.

Where's the Business Innovation? Start with the Channel.

Beyond technical or product innovation, Verkada needs to revolutionize their dealer programs and redefine what they call a dealer. Ironically, this is where they're becoming disrupted after initially understanding disruption well. They're currently taking an outdated approach to their channel, building what worked yesterday instead of what they need for today and tomorrow. Their "15 minutes in the future" philosophy isn't applied here—they're 15 minutes in the past. Here's why: They shouldn't waste time convincing old-school dealers about the merits of cloud-first, mobile-first, and AI-first solutions. These solutions already meet today's needs and pave the way for the $100B opportunity.

This opportunity isn't a distant future—it's likely just three to five years away. We need to act now. Verkada has the market position and credibility to lead this charge. They, along with their peers, stand to gain the lion's share of this opportunity. To capitalize on it, they need a channel built for the future. Just as they normalized manufacturer-driven business development, they could demonstrate the need for enterprise system integrators with both physical and digital expertise. No convincing required.

The transformation should start with their channel program. Instead of treating it as a mere transactional and legal exercise for product access, they should use it to clearly communicate expectations, market strategies, and rewards for growing and fulfilling market demand. They should invest heavily in their partners, providing comprehensive enablement resources. This should be a collaborative effort, even involving competitors. By taking the lead in transforming both their business and their partners' businesses, they'll ultimately deliver an exceptional end-user experience. I'd argue that this approach could lead to safer schools, offices, and communities by delivering what's needed today, preparing for the near future, and setting the stage for the $100B opportunity beyond.

This is a wide-open leadership opportunity. I hope Verkada recognizes its importance and takes decisive action.

All in on the Enterprise

Verkada is fully committed to the enterprise market. They're laser-focused on it, building for it, and confident they've laid the groundwork to execute effectively. From what I hear in the market, they're going full throttle. They're leveraging their 700-person sales force and an impressive list of existing customers as references to secure a seat at the enterprise table.

Sheer Volume of Products: The Apple of the Built Environment

The sheer number of products Verkada has brought to market across different categories—particularly hardware—left others and me stunned. More than anything, this represents a clear, deep investment in R&D. Yes, it's also a cash inferno, with expensive resources being poured into development and sustainability. However, it's crucial for their business model, which I believe is geared for the long term.

I see this as a pivotal moment, reminiscent of Apple's trajectory.

We might soon see a day when Verkada seeds the market with their hardware, develops tightly coupled, unique software experiences, and creates an App Store-like marketplace. This would allow customers to choose their preferred experience and enable unbound feature development beyond Verkada's immediate roadmap, driving more value around their platform. While they didn't explicitly state it, I believe they envision becoming the Apple of the built environment.

The product line that impressed me most? Their intercom system.

Software and Hardware Synergy

"Wait till you see what we do with the software," was a refrain I heard multiple times. Although their CEO discussed AI, specifically their AI-powered search, and there was a section on visitor management, this event was primarily a hardware showcase. Divided into multiple product sections, we saw updates on cameras, sensors, access control, intercoms, and alarms as they rolled out their product managers, who seem to function as business owners. I'm eager to see how they bring software to market, but it was clear that today's focus was on hardware.

Highly Skilled and Empowered Product Managers: A Clear Differentiator

One standout aspect was how Verkada's product managers are expected to be both subject matter experts and product owners. They all boast well-established experience and are expected to leverage it both internally and externally. Verkada recruits individuals who may not have a background in a specific product but possess a deep understanding of product management, creation, and communication. This approach, I believe, sets them apart in the industry. While they value industry experience, they don't prioritize it for its own sake. Unlike companies tethered to 30-year veterans who've earned positions based on loyalty, proximity, and insider knowledge, Verkada rewards based on delivery.

Market Timing

Lastly, I believe Verkada is benefiting significantly from market timing—a factor beyond their control but crucial nonetheless. As we've seen in various industries, sometimes success isn't just about the product; it's about a market that's finally ready. While Brivo had to pioneer cloud-based systems, Verkada can introduce one to a customer base already familiar with cloud technology, often working with multiple enterprise systems and expecting such solutions. The same applies to IP video, AI, NFC, and more. This doesn't diminish Verkada's achievements, but it's important to recognize that their success is partly due to market readiness. And we're just getting started.

In Conclusion

I believe Verkada's approach benefits not just themselves, but the entire ecosystem—market, competitors, channel, and all stakeholders. They're a formidable player in the cohort blazing the trail for our industry's next 30 years. They're doing so with one foot firmly in the new and the other in the old, leaning towards innovation. I'm excited to see what they do with this hard-earned, privileged position. I hope they look beyond their "15 minutes into the future" philosophy, because I think they'll find that what seems like the future is already the past, and the baseline needs to shift. Sometimes customers don't know what they need or want, and just because you asked doesn't mean it's right. I encounter the future daily in my global travels and conversations. I'm not some mystical fortune-teller with a crystal ball; I simply see numerous examples of how the future is already here, waiting to be brought forward. We must be willing to do so, and I believe Verkada and many others have the resources, permission, and opportunity to make it happen. And I'm all for it.

Let's go!