Cybersecurity Services Market Definition And Segments
Cybersecurity is a practice of protecting the network, computers, mobile devices, hardware, electronic systems, and data from digital or malicious attacks. It is also known as electronic information security and information technology security.
The main security types of cybersecurity services are network security, endpoint security, application security, cloud security, and others. Endpoint security is the process of preventing malicious actors and campaigns from exploiting endpoints or entry points of end-user devices such as desktops, laptops, and mobile devices. The services are used by large enterprises, small and medium enterprises of various industry verticals such as aerospace and defense, BFSI, public sector, retail, healthcare, IT and telecom, energy and utilities, manufacturing, and others.
The cybersecurity services market covered in this report is segmented –
1) By Security Type: Network Security, Endpoint Security, Application Security, Cloud Security, Other Security Types
2) By User Type: Large Enterprises, Small & Medium Enterprises
3) By Industry Verticals: Aerospace and Defense, BFSI, Public sector, Retail, Healthcare, IT and Telecom, Energy and Utilities, Manufacturing, Other Industry Verticals
The cybersecurity services market size has grown strongly in recent years. It will grow from $85.23 billion in 2023 to $92.44 billion in 2024 at a compound annual growth rate (CAGR) of 8.5%. The growth in the historic period can be attributed to strong economic growth in emerging markets, rise in disposable income, high valuations of software companies and technology development.
The cybersecurity services market size is expected to see rapid growth in the next few years. It will grow to $141.46 billion in 2028 at a compound annual growth rate (CAGR) of 11.2%. The growth in the forecast period can be attributed to increase in the frequency and sophistication of cyberattacks, internet of things (IoT), increase in internet penetration, need for authentication techniques and emergence. Major trends in the forecast period include focusing on leveraging ai, machine learning and blockchain technologies for cyber defense, offering cloud-based cybersecurity services, using data analysis to enhance cybersecurity services, adopting ISO 9001 standards to deliver quality services and adopting automation and integration in cybersecurity.
Epidemic Of Cyber-Attacks Spurs Soaring Demand For Cybersecurity Services
The increasing instances of massive cyber-attacks are a key factor driving the growth of the cybersecurity services market. The primary motive behind cybercrimes is political competition, financial gain, negative credibility, foreign competition, and radical involvement of religious groups. Most cyber-attacks are for financial gain. WannaCry, Petya, NotPetya, and BadRabbit are some of the main ransomware products that have targeted large-scale businesses and government organizations. For instance, in July 2021, according to cyber security experts, ransomware threats rose by 40% to 199.7 million attacks worldwide in Q3 of 2020. In Q3 2020, Ryuk ransomware threats rose to 67.3 million, which is 33.7% of all ransomware incidents this year. The ransomware implications included inaccessibility to various municipal facilities, information leakage, and economic loss. Therefore, the increasing instances of massive cyber-attacks compel companies to integrate cybersecurity in their systems and functionality to prevent crashing thereby driving the growth of the cybersecurity services market.
The Role Of Increasing Cybersecurity Budgets In Fueling The Growth Of The Cybersecurity Services Market
The increasing cyber security budgets are expected to propel the growth of the cybersecurity services market going forward. A cybersecurity budget is the financial resources that an organization allocates to protect its information assets from cyber threats. A cybersecurity budget will allow an organization to invest in more sophisticated and comprehensive cybersecurity services. For instance, in 2021, according to a survey of 3,249 technology and business executives by PricewaterhouseCoopers International Limited, a UK-based professional services company, around 55% are expected to increase their cybersecurity budgets and 51% increase full-time cyber staff in 2021. Therefore, the increasing cyber security budgets drive the growth of the cybersecurity services market.
Major companies operating in the cybersecurity services market report are International Business Machines Corporation, Microsoft Corporation, Oracle Corporation, Palo Alto Networks Inc., Cisco Systems Inc., Proofpoint Inc., Fortinet Inc., Check Point Software Technologies Ltd., Sophos Group, Splunk Inc., StratoKey, QuintessenceLabs, Antiy Labs, Vkansee, AhnLab, Banff Cyber Technologies, Cyberops Infosec LLP, eSec Forte Technologies, MARLABS Inc., Trend Micro, Mimecast, Ernst & Young (EY), Clearswift, PricewaterhouseCoopers (PwC), Becrypt, 6WIND, Barracuda Networks Inc., 8ack GmbH, Accelerated IT Services & Consulting oHG, IOActive, Armor, BT, BAE, Avast, Bitdefender, Kaspersky, Rostelecom, SafeTech, Anect, Cyber Dacians, AEC, Symantec, FireEye, BlackBerry, McAfee, Herjavec Group, Absolute, Arctic Wolf, Packetlabs Ltd., Clean Cloud, PhishX, Ibliss, Site Blindado, Safeway, Auth0, CoinFabrik, Groundworks Technologies, Nektra Advanced Computing, Aqua Security, BigID, Cato Networks, Checkmarx, Smartym Pro, Redwerk, TAIOS, Cyberbit, CyberArk, Westech, AVeS Cyber Security, Vance Cyber Security, CyberSec (Pty) Ltd., Lafont Innovation LLC, Enovise, Techinnovar Limited, CyberSOC, DataSixth, Onealliance.
Challenges Affecting The Growth Of The Cybersecurity Services Market
Use of Pirated and open-source cybersecurity solutions, Dearth of cybersecurity expertise for proactive strategic planning, Limited security budget among SMEs, Lack of interoperability with the existing information systems, High cost of innovations and budget constraints for SMEs, and Lack of training and inadequate workforce are the major factors hampering the growth of the cybersecurity services market.
Harnessing Ai, Machine Learning, And Blockchain For Cutting-Edge Cyber Defense In The Cybersecurity Services Market
Leveraging AI, machine learning, and blockchain technologies for cyber defense is a key trend in the cybersecurity services market. Cybersecurity vendors integrate artificial intelligence (AI) and machine learning principles into their solutions to tackle crucial hyper-connected workplace risks, with quicker identification, prevention, and responsiveness capabilities, the advances in technology, such as AI and machine learning, turn the tables against cybercrime. Vade Secure is one of the world's largest e-mail security firms, leveraging artificial intelligence and machine learning to defend more than 600 million mailboxes in 76 countries from a range of attacks comprising spear phishing, ransomware, and malware. In August 2023, Abnormal Security, a US-based AI-based email security platform, launched CheckGPT, an AI-generated email detector. The new feature establishes when it is likely that generative AI technologies were used to produce email threats, such as business email compromise (BEC) and other socially engineered attacks. Cybersecurity specialists are therefore leveraging AI and machine learning technology to resolve the emerging cyber threats facing individuals, companies, and governments.
Innovative Technologies In The Cybersecurity Services Market
Major companies operating in the cybersecurity services market are focusing on developing innovative technologies, such as cyber security services platforms, to provide reliable services to customers. A cybersecurity services platform is a centralized solution that provides organizations with a comprehensive range of cybersecurity services. For instance, in February 2022, Tata Consultancy Services, an Indian-based information technology services and consulting company, launched Cyber Defense Suite. The platform's unique design offers 360-degree vision and predictive intelligence, enabling proactive defense and response against developing hazards from a single, unified view. To give executives the confidence and flexibility to expand their digital businesses, a platform that offers a comprehensive range of quickly adaptable, modular cybersecurity services is provided. The automation and scalability of the suite decreases the total cost of ownership while enabling enterprises to operate with more speed and agility.
North America was the largest region in the cybersecurity services market in 2023. Asia-Pacific was the second largest region in the global cybersecurity services market. The regions covered in the cybersecurity services market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa
The countries covered in the cybersecurity services market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Italy, Canada, Spain
The cybersecurity services market includes revenues earned by entities by providing services such as network security, application security, information security and operational security. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
The cybersecurity services market research report is one of a series of new reports from The Business Research Company that provides cybersecurity services market statistics, including cybersecurity services industry global market size, regional shares, competitors with a cybersecurity services market share, detailed cybersecurity services market segments, market trends and opportunities, and any further data you may need to thrive in the cybersecurity services industry. This cybersecurity services market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.