July 15, 2024
cyber security market
Ict

Cyber Security Market is Estimated To Witness High Growth Owing To Increased Phishing and Ransomware Attacks

The Cyber Security Market is estimated to be valued at US$ 188.94 Bn or Mn in 2023 and is expected to exhibit a CAGR of 8.9% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market Overview:
Cyber security refers to protecting computers, networks, programs and data from unauthorized or criminal cyber attacks. With the increasing use of internet and digitalization of data, the risk of cyber threats like hacking, phishing and ransomware attacks has also increased. Cyber security solutions provide authentication, authorization and auditing of users and protect critical data and systems from these threats. They offer antivirus software, firewall, identity and access management, security and vulnerability management and other solutions to government agencies, large enterprises and SMEs.

Market key trends:
One of the key trends driving the Cyber Security Market Scope is the significant rise in phishing and ransomware attacks targeted towards individuals and organizations. Cybercriminals are using more sophisticated techniques like impersonating legitimate sources to steal sensitive data and money. They also encrypt files and demand ransom to unlock them. This has increased the demand for advanced anti-phishing and anti-ransomware solutions. Additionally, the rapid shift to remote working due to COVID-19 pandemic has exposed more endpoints and increased the potential attack surface. Many organizations are now focusing on strengthening their overall security posture and perimeter protection to prevent data breaches. The growing instances of Internet of Things (IoT) botnets performing large scale attacks are also propelling the need for robust identity and access management solutions.

Porter’s Analysis:

Threat of new entrants: The threat of new entrants is moderate as setting up a cyber security business requires technical expertise, capital and resources which are difficult to acquire. However, technologies like cloud computing lower the entry barriers to some extent.

Bargaining power of buyers: The bargaining power of buyers is high as cyber security solutions are made available by numerous vendors with comparable offerings. Buyers can easily switch between providers based on price and features.

Bargaining power of suppliers: The bargaining power of suppliers is low since cyber security firms obtain components and technologies from multiple sources globally. Switching costs are also relatively lower.

Threat of new substitutes: The threat of new substitutes is low as there are limited direct substitutes for dedicated cyber security products and managed services. However, open-source security tools pose a moderate threat.

Competitive rivalry: The industry sees intense competition due to numerous global and regional players vying for market share. Large vendors compete on the basis of product portfolio breadth while start-ups focus on niche technologies.

SWOT Analysis:

Strengths: Presence of dedicated cyber security vendors with strong technical expertise, global footprint and diversified product portfolios. Rising digitization and remote working trends are boosting security investments.

Weaknesses: Shortage of cyber security skills is a challenge. Large attack surfaces arising from cloud, IoT and mobility increase vulnerability.

Opportunities: Growth in BYOD and mobility usage present opportunities. Increasing focus on zero-trust security architectures and security awareness training also open up opportunities.

Threats: Sophisticated threat actor capabilities exploiting zero-day vulnerabilities. Ransomware attacks targeting critical infrastructure can severely impact businesses and economies. Regulatory uncertainties across jurisdictions also pose challenges.

Key Takeaways:

The global cyber security market is expected to witness high growth, exhibiting CAGR of 8.9% over the forecast period, due to increasing digital transformation and remote working trends which expanded the attack surfaces. By 2023, the market size is projected to reach US$ 188.94 Bn.

North America dominates the cyber security market currently, accounting for over 35% share owing to rapid adoption of advanced security technologies by both public and private sectors in the region. Asia Pacific is expected to be the fastest growing region at a CAGR of over 11% due to the digital push by governments and rapid industrialization.

Key players include IBM (US), Cisco (US), Check Point (Israel), Trellix (US), Trend Micro (Japan), NortonLifeLock (US), Rapid7 (US), Micro Focus (UK), Microsoft (US), Amazon Web Services (AWS) (US), Oracle (US), Fortinet (US), Palo Alto Networks (US), Accenture (Ireland). Major players are focused on partnerships

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it