The PSC market has been in existence for a lot longer is far larger and generally much more competitive than that for military services. PSC's are profit driven organizations that trade in professional services linked to internal security and protection. The majority of PSC's are smaller companies predominantly concerned with crime prevention and ensuring public order, providing security and private guard services domestically. In a number of states as diverse as the US, the UK, Israel, Germany, Russia, South Africa and the Philippines. The number of domestic PSC's and size of their budgets exceed those of public law enforcement agencies. A minority of PSC's are organized in larger companies sharing the same corporate attributes and command structures as Private Military Companies.

Classification of Private Security Companies

Private Security Companies operating domestically can be categorized into the following broad sections:

1. The guarding sector: By far the largest and most visible component of Private Security Companies. Regions with the highest levels of crime and private enterprise have the largest number of PSC's. But the activities range from urban to rural security. Guarding sector employees patrol airports, office buildings, apartment complexes, shopping malls, sports arenas, warehouses, railway and bus stations, cargo terminals and parking lots etc.

2. The Electronic security, sensor and surveillance sector: It includes installers of alarms, access controls, protection and quick reaction devices, often with reaction services attached, as well as sweeping and intrusion detection services. Contractors do the guarding mostly remotely via the monitoring of the sensors and surveillance equipment.

3. The Investigation & Risk Management Sector: This is the smallest and comprises private investigators whose activities range from the dangerous to the mundane, from the tragic to hilarious: from matrimonial disputes, labor matters, vetting, expert witness services, private and industrial espionage, counterintelligence and anti- and counter-surveillance, to VIP protection from undercover and surveillance missions. Risk management consulting is the least visible of all sectors and possibly the most problematic and potentially threatening to the state.