Global Cloud Security Market - 2020-2027
The global cloud security market size was worth US$ XX billion in 2019 and is estimated to reach US$ XX billion by 2027, growing at a CAGR of XX % during the forecast period (2020-2027).
Cloud Security is service which facilitates the protection of stored online data via cloud computing platforms from leakage, theft and deletion. There are several methods adopted by cloud security including penetration testing, virtual private networks (VPN), firewalls, obfuscation, tokenization and avoiding public internet connections.
Cloud security provides guidance to avoid future risk associated with business risk at every layer of the stack to enable business goals implement secure-by-design methodology. The cloud security establishes security orchestration through automation to define and enforce businesses programs.
It helps to rapidly detect and respond to attacks as well as to manage threat and event information with precise insights. Hence several end-users industries such as BFSI, government institutions, small and medium scale enterprises etc. are adopting the cloud security to secure and manage critical data of the organizations.
The global cloud security market growth is driven by the rising demand for cloud security due to surge in the prevalence of cyber attack and strengthning of rules & regulations for cyber security.
Increasing prevalence of cyber attack and strengthning of rules & regulations for data protection using cyber security
The global cloud security market is expected to grow significantly over the forecast period due to increasing number of cases of cyber attack. For instance in 2019, Amazon cloud servers have been attacked by cyber criminal leaving behind more than half a billion facebook users' records exposed and remained unprotected.
Rising number of data breached cases
During 2005 to 2019, the largest banking institutions in the United States Capital One have suffered a massive data breach which exposed personal information of over 106 million credit card applicants. Thus such rising cyber crime cases around the world have propelled the demand for the cloud security market.
Lack of skilled workforce and less awareness about the clloud security hinders the market growth
Cloud security has less awareness among the devoloping region dua to lack of presence of skilled workforce and absence of advanced technology which hampers the growth of this market. In developing region such as South Africa has less knowledge regarding the cloud computing. For instance in 2015 as per the International Journal of Trade, Economics and Finance, in South Africa, a study conducted to know the awareness about the cloud computing which showed that, around 40% of respondents has very low knowledge of cloud computing, 13% has average knowledge, 27% have a basic knowledge while 7% have a high knowledge.
Adoption of public cloud services with growing launching and spending on the cloud security may create lucrative opportunity
There is a rise in the adoption of the public cloud based services and rise in the launching of advanced end point security services by leading players have created huge opportunity for this market. As per the International Trade Administration report, public cloud expenditure reached to around US $ 250 billion by 2017, increased from US$ 158 billion in 2014. It has created massive demand for the cloud security market around the globe.
COVID-19 Impact Analysis
The market for cloud security is expected to grow significantly during the COVID-19 pandemic, this is primarily due to surge in the number of data breaches cases globally. During covid-19 pandemic, the scope of cyberattacks has been tremendously increased as several businesses have been moved towards hybrid-cloud environment.
As per the threat report organization, cloud services has shown substantial growth of nearly 22% to reduce number of companies downtime. Covid-19 pandemic has paved way for adoption of cloud services, which made cloud as center of attraction for attackers. Thus overall demand for the cloud security has been increased due to prevelence of the covid-19 as several leading players were shifted to cloud platforms owing to surge in the work from home cases as several countries were in lockdown state.
The global cloud security market is segmented based on type, deployment, solution, application, end-userand region.
In terms of type the global cloud security market is bifurcated into email & web security, cloud database security, cloud IAM, endpoint security, data loss prevention, network security, cloud encryption, application security, others.
Email & web security segment is expected to grow at the fastest CAGR during the forecast period (2020-2027)
Email & web security has the highest market share in 2019, this is primarily due to raising the number of data breach cases of exposing personal information. For instance web payment portal of American Medical Collection Agency (AMCA) attacked by cyber criminal who exposed of personal data and payment information of around 20 million patients though online website in 2019. Further on April 23, 2019 as per the FBI estimatation, US businesses and individuals has registered a loss of over US$ 1.3 billion as a result of Business Email Compromise (BEC) fraud. It created massive demand for the cloud security for email & web services.
Also, cloud database security, cloud IAM, endpoint security, data loss prevention, network security, cloud encryption, application security are also growing at faster pace owing to rising adoption of the advanced technology based cloud services and rising cyber attacks in the end-user industries including BFSI, government organizations etc. For instance as per the Weforum Organization report in 2019, botnet banking have been used data of around 30,000 customers to steal more than US$ 42 million over a 90-day period.
Public segment will provide necessary boost during the forecast period (2020-2027)
On the basis of deployment, the global cloud security market is divided into public, multicloud, private and hybrid. Among this public cloud has the highest market share in 2019, owing to surge in the adoption of public cloud services by the leading organizations, mediumand large enterprises around the globe.
Similarly, multicloud, private and hybrid segment are also growing at faster pace with advent of advanced technology launched by the leading players.
Identity and access management (IAM) has become a key factor in cloud computing
In terms of the solutions, the global cloud security market is divided into identity and access management (IAM), cloud security and risk strategy, threat management, hybrid multicloud security platform, workload protection, data protection and others. Among this identity and access management (IAM) segment has the highest market share owing to increasing the number of cases related to personal information data breaching by cyber criminals around the globe.
Similarly, cloud security and risk strategy, threat management, hybrid multicloud security platform, workload protection, data protection segments are also growing at faster pace owing to surge in the adoption of the cloud platforms with rising threat of pishing, malware attacks on the personal and important data.
Large scale organizations have higher impact in case of cyber attacks
On the basis of application, the global cloud security market is divided into large scale enterprises, government Organizations, Small & medium enterprise, Institutions and others. Among this, large scale enterprises has the highest share in 2019, this is primarily due to increase in the cyber security demand due to threat of cyber attact. For instance on 7th October 2020, Tata Consultency Services has launched 10 new Threat Management Centres (TMC) in several contries including the US, UK, Spain and India for facilitating cyber security services to its enterprise customers.
BFSI are expected to dominate the Cloud Security market during the forecast period
Based on the end-user, the global cloud security market is divided into healthcare, BFSI, IT & Telecom, Government Agencies, Retail and others.
Among this, BFSI segment has the highest market share owing to rising demand for security personal banking information with surge in the banking attack by the cyber criminals. For instance as per the Insurance Information Institute (I.I.I.) Organization, globally, the banking industry has the highest average annual cost US$ 16.7 million in 2017 and increased to US$ 18.4 million in 2018.
Similarly, IT & Telecom, Government Agencies, Retail segments are also growing at faster pace owing to surge in the adoption of cloud computing around the globe. Rising cyber attacks around the globe have propelled these segmental growths. For instance, in 2019 as per the (I.I.I), cyber attack, malware incidents had the highest annual cost of around $2.6 million followed by web-based attacks at $2.3 million around the globe.
North America region holds the largest market share global Cloud Security market
North America region is dominating the global cloud security market accounted for the largest market share in 2019, owing to the presence of leading technological players with growing investment in advanced technology for security to avoid data breach cases. Growing number cases of cyber crimes which cost huge amount annually in this region followed by Europe.
According to the Insurance Information Institute (I.I.I.) the average annual cost of the cybercrime in the United States increased by 29% to US$ 27.4 million in 2018 compared to US$ 21.2 million in 2017. It created massive demand for the cloud security services and solutions to reduce the cyber attacks and cyber crime costs in this region followed by Europe. Asia-Pacific is also growing at fastest pace for the global cloud security market owing to growing number of internet users and rising penetration of the cloud based platforms.
The global cloud security market is highly competitive with the presence of several international and local markets. Product diversification, revenue generationand opportunities intensify the market competition. Trend Micro, Inc., Sophos Ltd, Computer Science Corporation (Csc), Check Point Software Technologies Ltd., Symantec Corporation, Intel Security, Trend Micro, Inc., Symantec Corporation, Panda Security, CA Technologies, Inc., Cisco Systems, Inc., McAfee, Inc.and Fortinet, Inc. are the leading market players with significant market share.
There is rising development of the advanced technology with surge in the launching of security service platforms have created huge opportunity for the cloud security market. For instance on 13th July 2020, Quick Heal Technologies launched new cyber security solutions which mainly focused on providing Privacy, Protection and Performance.
Companies are entering into the collaborations, acquisitions, mergersand licensing for increasing their market penetration. For instance on 20th July 2020, Fortinet completed the acquisition of Opaq Cloud Security Startup for enhancing the capability by facilitating network protection more flexibly. This acquisition has combined Secure Access Service Edge (SASE) platform with the industry's only trust Zero Trust access and security platforms in the market.
Established in 1911and headquartered in New York, United States.
IBM is a one of the leading cloud platform and cognitive solutions providing company. The Company thrives to building industry-based solutions with largest technology and consulting firm in the world, with more than 350,000 employees serving clients in 170 countries.
Product Portfolio: The Company's portfolio comprises solutions with data & AI, IT solutions, cloud services, Hardware Systems, Servers and Storage software portfolio, finance solutions, cloud security solutions etc.
Key Development: On 20th Nov 2019, IBM launched open technology Cloud Pak for security, to speed response to cyber threats across clouds. It helps capability to hunt industry-first threats across security tools and clouds without moving data.
Mergers and Acquisitions: On 15th June 2020, IBM has completed the acquisition of cloud security startup spanugo to boost compliance. The acquisition of Spanugo technology has demonstrated efficient and transparent cyber security compliance in real time whenever audited and delivering the improvements and adaptation to reduce the further attack.
The global Cloud Security market report would provide an access to an approx. 89 market data table, 86 figures and 300 pages.
List is not exhaustive