Cyber security refers to a broad range of techniques, procedures, and methods used to safeguard networks, computers, software, and data from hacker attacks, data loss, and unauthorized access. The technology is crucial for safeguarding the enormous amount of sensitive data kept by various end-user verticals, including the government, military, corporations, financial institutions, and medical organizations, which could be exposed to unauthorized access and lead to further unfavorable outcomes.
The market worth of cybersecurity in 2021 was USD 216.10 billion and will reach USD 478.68 billion by 2030 at a 9.5% CAGR during 2021-2030.
- Financial and banking institutions are using cutting-edge technologies like blockchain and artificial intelligence (AI) to thwart cyberattacks on their systems. A security system that automatically adjusts to changing threat patterns, predicts, detects, and neutralizes threats before they can attack the systems will be developed with the help of the integration of AI capabilities in cyber security solutions like Security Information and Event Management (SIEM).
- The development of networks, endpoints, and other security solutions will be influenced by the creation of new cybersecurity laws and policies across the nations to regulate the collection and processing of user information.
- Not only has the number of cyberattacks increased significantly over the past few years, but hackers are also using more sophisticated methods and techniques, which render existing solutions largely redundant. There is constant pressure on governments and providers to innovate and create new solutions, which are then adopted by all interested parties to upgrade their security infrastructure.
- Due to the constant vulnerability of cloud-based platforms to cybercrimes and data breaches, the demand for cybersecurity solutions is increasing as cloud services become more widely used.
Defense/government will continue to be one of the most appealing growth markets for cyber security solution providers. The defense/government sector houses sensitive data about the populace and military tactics of the nation, making it a perennial target for independent hackers, unethical hackers from other nations, and terrorist cells. The need for creating and implementing secure systems that stay one step ahead of hackers is driven by the growing reliance on the digital storage of information using computers and cloud services, as well as the rapidly evolving technology. As a result, it is anticipated that nations worldwide will increase their spending on cybersecurity tools in the coming years. During the forecast period, one of the markets for cyber security solutions with the fastest growth is anticipated to be the healthcare industry. Constant attempts to access sensitive patient data and digital transaction records by attacking healthcare providers’ digital assets have prompted several governments to enact strict data protection laws, necessitating the immediate adoption of cybersecurity solutions.
The biggest challenges faced by market participants are a lack of skilled labor and inadequate training to keep up with the most recent cybersecurity trends. The rapidly changing cybersecurity threat landscape and the increasing use of IoT, mobile technology, cloud computing, and data centers contribute to this skills gap.
The identity and access management market segment will grow at the fastest CAGR of 15% during 2022-2032 due to the rising demand for identity authentication and access management solutions. Since corporate data security and safety are of utmost importance to businesses, IAAM solutions provide high productivity and efficiency.
Enterprise Size Insights
On the basis of enterprise size, the large enterprise segment maintained the largest market position, with a revenue share of 60% in 2022. Due to the increasing threat of cyberattacks, large businesses are turning to cybersecurity solutions. The majority of hackers are drawn to large corporations because of their wealth of capital and diverse customer base. These companies are raising their budgetary allotments for using cutting-edge cybersecurity tools, which will likely increase their market value.
Industry Vertical Insights
In 2022, the IT & telecom market segment recorded the largest market share of 15%. Because telecom companies gather and maintain vast quantities of personal customer information, they are high-value targets for organized cybercriminal gangs. Additionally, as 5G telecom networks are increasingly used for a variety of IoT devices, industrial automation, and driverless cars, new security concerns are expected to arise, increasing demand for cybersecurity solutions.
In 2021, North America ruled the global cyber security market and will grow during the forecast period. Cybersecurity technologies are expected to gain popularity as web usage rises in nations like the U.S. and Canada. Many of the biggest banks in the nation, including JP Morgan Chase, Citibank, and Bank of America, have implemented cutting-edge cybersecurity tools to offer round-the-clock protection against hackers.
Key Players Analysis
- Infosys Limited
- HCL Technologies Limited
- IBM Corporation
- F5 Networks Inc.
- PwC International Limited Broadcom Inc.
- Broadcom Inc.
- Tata Consultancy Services
- FireEye Inc.
- L&T Technology Services Limited
- Tech Mahindra Limited