Artificial intelligence can be a double-edged sword for security. While AI empowers bad actors, it also gives people additional tools to protect against modern threats. For the energy and utilities industry, where a breach in security can impact hundreds of thousands of people, maintaining a secure physical environment is critical.
The physical security landscape in energy and utilities is shifting from siloed, perimeter-based systems to integrated, intelligence-driven platforms, according to Thomasina Martin, enterprise account manager at Genetec.
“Utilities are responsible for securing vast, geographically distributed assets while facing increasing threats that range from theft and vandalism to more sophisticated, coordinated attacks,” she says. “At the same time, physical security systems are becoming more connected, creating a natural convergence with cybersecurity and IT. As a result, organizations are moving toward unified security platforms that bring together video surveillance, access control, sensors and analytics into a single operational view. This shift enables teams to move beyond reactive monitoring and toward proactive risk management across the entire infrastructure footprint.”
With these changes in the threat landscape, E&U organizations need to be aware of updates to physical security solutions, understand how to best implement them and know how they interface with the organization’s larger security program.
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The Impact of AI on E&U Companies’ Physical Security Capabilities
AI is driving upgrades of physical security solutions such as access control and video surveillance systems. According to Genetec’s State of Physical Security 2026 report, “for the first time, AI ranked alongside access control and video surveillance as a key priority for 2026.”
Martin points out that AI is doing more of the heavy lifting related to physical security, allowing human operators to focus on decision-making.
“It’s changing the game in two big ways: speed of investigation and nuisance alarm reduction. Instead of scrolling through 20 hours of video, an operator can use natural language to ask, ‘Show me all red trucks that entered the substation after 10 p.m.,’ and get results in record time,” she explains. “AI can also filter out the noise, like a tree moving in the wind or a stray animal, so that when an alarm actually goes off, the team knows it’s a real threat that requires immediate action.”
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The Benefits and Risks of AI for E&U Physical Security
Martin says Genetec views AI as a force multiplier for a unified security platform rather than a stand-alone solution. AI can be used to scale without headcount for E&U companies managing hundreds of remote sites, and to filter out the noise.
“AI can handle high-volume, routine tasks, like cross-referencing worker IDs with their safety certifications at a gate or analyzing vehicle flow patterns, ensuring compliance with NERC CIP [North American Electric Reliability Corp. Critical Infrastructure Protection] remains airtight without needing to put more boots on the ground,” Martin explains.
She adds that one of the greatest operational wins from AI is the reduction of nuisance alarms. “By utilizing intelligent automation, the system can distinguish between a wind-blown branch and a true perimeter breach. This ensures that when an operator gets an alert, they can trust it’s a high-priority event that requires their immediate expertise.”
The biggest concerns around AI use for E&U physical security are data privacy and hallucinations in generative AI models.
“There’s the risk of false details being created via AI, as well as the risk of ‘black box’ algorithms, where you don’t know how the AI reached a conclusion,” says Martin.
According to the Genetec report, 70% of users are worried about how AI systems are designed and implemented, with specific concerns about how the data will be used. Martin says that’s why Genetec advocates for privacy by design.
Tips for Implementing AI-Powered Physical Security Tools
AI implementation doesn’t happen at the flip of a switch, cautions Martin, adding that E&U companies don’t need to rip and replace everything.
“You can layer AI onto your existing cameras and sensors using cloud-managed appliances. The key is open architecture,” she explains. “You want a system that lets you choose the best AI tools for your specific needs, whether that’s drone detection or thermal analytics, rather than being locked into a single vendor’s proprietary ecosystem.”
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It’s also crucial that E&U companies realize that physical security is cybersecurity, rather than a separate principle. Martin emphasizes that every AI-enabled camera or sensor is a networked device that needs to be hardened.
“We treat physical security systems as a core part of the IT stack. This means using zero-trust principles: Every device and user must be verified, and all data must be encrypted from the edge to the core,” she says. “By unifying these, if an AI detects a physical breach, the system can automatically flag the IT team to watch for a corresponding cyber probe.”
Martin adds that security is more than just a cost center or a grudging necessity.
“It’s becoming a strategic tool that helps utilities stay compliant, sustainable and resilient in an increasingly unpredictable world,” she says.
