According to a recent Grand View Research Inc. study, the global cybersecurity market is projected to reach USD 500.70 billion by 2030. With a Compound Annual Growth Rate (CAGR) of 12.3% from 2023 to 2030. The demand for cyber security solutions remained strong in 2020 due to increased cyber attacks during the pandemic.
This trend is expected to continue even after the pandemic.
As more companies adopt hybrid working and Bring Your Own Device (BYOD) trends. Leading to an increase in end-point devices and anonymous network access.
This puts organizations' IT systems at risk.
Here are some key industry insights and findings from the report:
- The hardware segment is projected to experience high growth with a rate of more than 12% during the forecast period. This can be attributed to deploying and upgrading new hardware that supports advanced cybersecurity solutions.
- In terms of infrastructure protection, cloud security held the highest revenue share in 2022, accounting for more than 25%. This growth can be attributed to critical infrastructure programs introduced by governments worldwide.
- The IDS/IPS segment is expected to register the highest growth rate of more than 10% over the forecast period. This can be attributed to the increasing need for real-time threat detection across unknown networks.
- The managed services segment is projected to have the highest growth rate due to organizations outsourcing IT security services such as consultation, implementation, and maintenance.
- The on-premises segment accounted for more than 60% market share in 2022.
Large organizations prefer on-premises solutions as they prioritize the confidentiality of their business information.
- Large enterprises held a high market share of more than 60% in 2022 because they have increased spending on IT security solutions to protect their numerous end-point devices and IT infrastructure equipment.
- The government/defense segment accounted for over 20% of the overall market in 2022.
This is due to the growing investments made by governments worldwide to strengthen their defenses against cyber attacks.
These findings highlight the continued growth and importance of the global cyber security market driven by increasing cyber threats and the need for advanced solutions to protect organizations' IT systems. Asia Pacific is projected to experience the fastest growth in the cyber security market over the forecast period.
This can be attributed to the increasing number of end-point devices and data center constructions in the region.
The market growth is expected to be driven by various factors, including the introduction of advanced cybersecurity solutions.
Rising costs of data breaches.
Emerging enterprise mobility trends. And stringent government regulations. With the evolving cyber threat landscape.
There is a growing need for sophisticated cybersecurity solutions that can detect and respond to real-time threats while reducing data breach costs. Furthermore, many governments worldwide have implemented data protection laws that require end-user organizations to implement cyber security solutions to protect consumer data.
However, the market may face challenges related to a lack of skilled IT workforce and the use of unlicensed cybersecurity software, which could hinder its growth. Some small and medium-sized enterprises (SMEs) may deploy unlicensed solutions due to the high costs associated with licensed options. While these unlicensed solutions may offer some protection, they are often ineffective against new threats.
They may come bundled with trojans, viruses, worms, adware, and spyware that can compromise an organization's security. Cybersecurity vendors are developing advanced solutions using machine learning (ML) and artificial intelligence (AI) technologies to address these challenges and stay ahead of emerging cyber threats. However, many organizations need a more skilled workforce to keep up with cybersecurity trends and implement cutting-edge solutions.
To effectively analyze the market for cyber security solutions. Grand View Research has segmented its market report based on components such as hardware, software, and services; types like end-point security, cloud security, network security, application security, infrastructure protection, data Security, and others; solutions such as unified threat management (UTM).
IDS/IPS, DLP, IAM, SIEM , DDoS, risk & compliance management, others; services including professional services and managed services; deployment options like cloud-based and on-premises; organization size such as SMEs and large enterprises; applications in industries like IT & telecom.
Retail, BFSI, healthcare, defense/government, manufacturing, energy, and other regions include North America, Europe, Asia Pacific, Latin America, and the Middle East & Africa (MEA). The key players in the cyber security market include Cisco Systems, Inc., Palo Alto Networks, McAfee. Inc., Broadcom, Trend Micro Incorporated, CrowdStrike, and Check Point Software Technology Ltd. are companies in the IT and telecom cyber security market, according to a study conducted by Grand View Research.
The market is expected to reach a size of USD 82.64 billion by 2030. With a CAGR of 12.1% from 2022 to 2030. In response, the expansion of telecom networks, the emerging BYOD trend, and the adoption of 5G technology contribute to increased network traffic and potential loopholes for cyber attacks. IT and telecom companies invest in advanced cybersecurity solutions to address evolving threats.
Another study by Grand View Research focuses on global artificial intelligence (AI) in the cybersecurity market. It estimates that this market will reach USD 93.75 billion by 2030 with a CAGR of 24.3% from 2022 to 2030. The rising number of cyber incidents has driven the demand for AI, cloud computing, and machine learning technologies to enhance data safety and enable prompt responses to threats—factors such as increased internet penetration. Connected devices usage and concerns about data protection have also contributed to the need for advanced cybersecurity solutions.
Additionally, Grand View Research conducted a recent study on the zero trust security market, which projects its size will reach USD 82.45 billion by 2030 with a CAGR of 16.6% from 2023 to 2030. This growth is driven by increasing sophistication in cyber threats negatively impacting organizations' operational activities. Policymakers in over 120 countries have implemented privacy laws for data protection purposes as a way to promote data security.