ADT’s agreement to be acquired by Thrive Holdings comes as recent device announcements from Apple, Johnson Controls and Amazon highlight a new phase of competition in home security, with established providers and technology companies expanding their connected home offerings. Traditional security providers, technology platforms, retailers, and broadband operators are pursuing opportunities to strengthen customer relationships, expand smart home services, and build recurring revenue.

The proposed acquisition values ADT at approximately $7.6 billion in equity value and $15.3 billion in enterprise value. The agreement allows ADT to solicit competing proposals, with the transaction expected to close in the first quarter of 2027, subject to required approvals. The announcement highlights the strategic value of ADT’s customer base, professional service network, and position in the connected home.

Parks Associates research shows ADT remains the leading security system brand, accounting for almost a third of the installed base among US internet households with a security system, compared with less than 20% for Ring. ADT’s share saw recent declines, reflecting a more competitive market as households gain additional options for purchasing, installing, and managing home security.

Competition is particularly evident among households with recently acquired systems. Parks Associates research shows ADT accounts for almost 20% among owners of systems acquired in the past year, down significantly from Q2 2025. Ring’s share among these households also declined. While both companies maintain substantial installed bases, these findings show that other providers are capturing a greater share of recent system acquisitions.

AT&T’s entry adds another dimension to the competitive landscape. Parks Associates research shows AT&T Connected Life has captured a big share of recent purchases. These initial findings require caution, as increased marketing around the launch and strong AT&T brand recognition may inflate consumer reporting. Additional survey waves will help confirm its market position. Broadband providers bring established customer relationships and another channel for introducing security and smart home services.

Professional monitoring remains central to the market’s revenue opportunity. Parks Associates research shows 22% of US internet households, representing approximately 28 million households, have professional monitoring. Among security system owners, 60% subscribe to professional monitoring, while 17% pay for self-monitoring services, typically video storage, interactive controls, or alerts. Another 23% own a security system without paid monitoring services.

Parks Associates research emphasizes the continued value of professional monitoring. While video services and paid self-monitoring create additional revenue opportunities, the traditional security model continues to generate the bulk of paid service revenue attached to security systems. For ADT, maintaining these relationships while demonstrating the value of additional services will be important to future growth.

Installation also remains an important part of the customer experience. Parks Associates research shows 52% of security system owners report professional installation, compared with 37% who report self-installation. Providers must serve both groups, addressing different expectations for convenience, cost, and professional assistance.

ADT’s distribution and service partnerships reflect this broader opportunity. The availability of ADT Blu through Amazon and Walmart.com expands its reach to consumers seeking DIY security. Its role providing professional installation for Apple Home Collection accessories extends its services into additional connected home experiences. Together, these initiatives position ADT as both a consumer-facing security provider and a professional services partner for technology companies.

For the industry, the opportunity extends beyond selling a security system. Consumers may enter the market through a camera, a self-installed system, a broadband bundle, or professional installation of smart home products. Each creates an opportunity to establish a relationship and demonstrate the ongoing value of monitoring, support, and connected home services.

ADT has a strong leadership position in the security market, supported by a substantial installed base and continued consumer demand for professional monitoring and installation. At the same time, its declining share among recent system acquisitions highlights the need to reach new customers and respond to changing purchase preferences.

ADT’s next phase of growth will depend on how effectively it combines its brand, professional services, and distribution partnerships to deliver ongoing value to households.

Research source: Home Security in Transition: The Future of Protection