The key trends that will impact the global cybersecurity market in the coming months can be divided into three categories: technology trends, macroeconomic trends, and regulatory trends, according a new research from Global Data.
Some of the main technology trends that will impact the cybersecurity market are ransomware, cloud security, chip-based security, supply chain threats, critical national infrastructure threats, IoT threats, artificial intelligence (AI) threats, insider threats, the growing use of managed security services, new vulnerabilities, zero trust adoption, password-less security, and extended detection and response (XDR).
The main macroeconomic trends that will impact the cybersecurity market are the Ukraine conflict, COVID-19, cyber budgets, state-sponsored attacks, the cyber skills shortage, cybersecurity & elections, overworked chief information security officers (CISOs), and an increase in financial sector cyberattacks, the research says.
The main regulatory trends that will impact the cybersecurity market are US banks’ breach reporting, cooperation on supply chain security, mandatory disclosure of cyberattacks, EU cybersecurity legislation, and consumer software security standards.
On the other hand, the value chains in the global cybersecurity market can be divided into three segments: hardware, software, and services.
With chips now being used in mission-critical servers and safety-critical applications, protecting chips from cyberattacks is becoming more critical and more expensive. Systems vendors such as Apple and Amazon are increasingly designing their chips rather than buying commercially developed devices and intellectual property (IP) created by third-party developers.
The software element of the cybersecurity value chain comprises the following areas: identity management, network security, endpoint security, threat detection & response, cloud security, data security, email security, application security, unified threat management, and vulnerability management.
The services element of the cybersecurity value chain comprises the following areas: managed security services, post-breach response services, and risk & compliance services. Services are typically outsourced because of the complexity of addressing cybersecurity-related issues, such as staying on top of vulnerabilities, identifying & responding to threats, and meeting compliance requirements.
Some of the leading public companies in the global cybersecurity market are Accenture, Alphabet, Check Point Software, Cisco, Cloudflare, CrowdStrike, Darktrace, Dell Technologies, Fortinet, IBM, Microsoft, and Palantir Technologies.
Some of the leading private companies in the global cybersecurity market are Cybereason, Code42, ForgeRock, Illumio, Lookout, Netskope, OneTrust, Socure, Snyk, and Tanium.
The global cybersecurity market was valued at $125.5 billion in 2020. The market is expected to grow at a CAGR of more than 9% during the forecast period. Securing hybrid working, coping with ransomware, continuing supply chain threats, and moving to a zero-trust security model as a long-term solution to data breaches will drive strong security growth over the next three years.
In 2021, enterprises invested more in cybersecurity and cloud architecture due to employees working remotely during the pandemic. This also sparked an M&A boom in the tech sector. Most cybersecurity M&A deals in 2021 were related to managed security services, network security, endpoint security, identity management, and cloud security.
