Cloud-Based Security Systems Drive AI Adoption at 2.6x On-Premise Rate

  • Verkada's 2026 State of Cloud Physical Security Report surveyed 2,700 IT and physical security leaders across 10 global markets.
  • Organizations with cloud-based systems use AI at 2.6 times the rate of on-premise systems.
  • 39% of organizations are still piloting AI features, while 41% actively use them.
  • 94% of non-cloud-managed organizations plan to transition or are already in the process.

The report highlights a strategic shift towards cloud-based physical security systems, driven by higher AI adoption rates. This trend aligns with broader industry movements toward digital transformation and the integration of AI into core operational workflows. The scale of Verkada's customer base—over 30,000 organizations across 170 countries—underscores the significance of this transition.

Adoption Gap
How the growing gap between cloud and on-premise AI adoption will impact competitive positioning.
Transition Pace
The pace at which non-cloud-managed organizations complete their transitions to cloud-based systems.
Operational Value
Whether organizations can sustain broader operational benefits from video security investments beyond physical security.