Why Cybersecurity Services Market Will Be Worth $192.7B by 2028
A new report published in April by Grand View Research, Inc. has predicted that the global cybersecurity services market will be worth $192.7 billion by 2028.
The researchers analyzed present and past market data to determine that the cybersecurity market, valued at $91.15 billion in 2020, will experience a 10.2% compound annual growth rate (CAGR) to reach the predicted size in seven years.
The study factored in estimates and figures collected in three years between 2016 and 2019. The $91.15 billion market value in 2020 is the projection baseline. The researchers believe that the leading cause of the ballooning of the cybersecurity market is the expected increase in incidences of security breaches and the prevalence of ransomware malware.
How Current Cybersecurity Solutions are Inadequate
It is becoming more expensive and riskier for individuals and businesses on the internet. Large businesses, in particular, have become main targets for cybercriminals using sophisticated malware to launch ransomware attacks. According to Sophos Researchers, the average cost for a company to recover from a ransomware attack is close to $2 million. This is a more-than-double increase in less than a year.
In 2009, it cost companies an average of $761,000 to pay the ransom and recover from the damages caused by the attack. In 2020, the cost was about $1.85 million. The early May Colonial Pipeline attack cost the company over $10 million in direct losses, with half of that being ransom payment.
The advances in artificial intelligence, the Internet of Things (IoT) and machine learning has turned out to be a double-edged sword. While these technologies have played a significant role in advancing technology and improving life in general, criminals also use them to develop highly sophisticated malware.
The IT infrastructure used for cybersecurity solutions is still lagging behind the investments that the criminals have developed. The need for cybersecurity services to invest in resources that will counter these threats and seal dangerous loopholes in security systems is the main driving force for the growth of the cybersecurity industry.
A Connected World Needs Foolproof Security
Only the costliest and most high-profile cases of cybersecurity breaches ever get to make the news these days. In reality, individuals and businesses are constantly bombarded with automated malware that learns to find and exploit even the most unlikely loopholes in a security system.
The adoption of smartphones and reliance on apps for almost every facet of our daily life is another factor that contributes to the severity of cyberattacks. As people now use their phones to bank, shop, and check their health, they need cybersecurity systems to protect themselves and their data.
This also helps drive up the demand and the prices of cybersecurity products that fend off all kinds of online attacks. The cost of these solutions will be further driven up by the need to meet set regulatory standards such as PCI DSS, HIPAA, and FISMA, among others.
The incidences of cybersecurity targeting businesses are expected to deteriorate over the next couple of years. There is already a sharp increase in the prevalence of attacks that steal data stored in the cloud. Cybercriminals now use sophisticated tools that look for unpatched vulnerabilities in SAP applications, particularly in mission-critical areas such as customer relationship management (CRM), enterprise resource planning (ERP), and supply chain management (SCM).
Cybersecurity Market Growth Trends
The report by Grand View Research Inc. revealed that the Asia Pacific region is leading the world with the highest CAGR of 16.3%. The research points at the Asia Pacific region as the most likely to offer many opportunities for cybersecurity services adoption.
India, Thailand, Malaysia, and countries in the Southeast Asian region are the current champions of digitization. The report identifies this as the main reason the region will be a market leader in cybersecurity services over the next seven years. As the world becomes more interconnected with high-speed internet, the Asian Pacific region may soon become a hub for Internet security.
One area of cybersecurity that is considerably lagging is user authentication. In a market where security professionals recommend more sophisticated identity management solutions, people choose to stick to the age-old less-secure authentication methods such as passwords.
As the cybersecurity market grows, experts must consider that ordinary users are not ready to fully switch to secure identity management and authentication methods such as facial recognition and biometric identification. The report identifies authentication and identity management as the two areas that are expected to define the growth trajectory of the global cybersecurity industry.
Government Involvement in Cybersecurity
Let’s face it; governments have been among the greatest let-downs as far as cybercrime goes. Governments around the world have not only been slow to enact legislation to deter cybercrimes, but they have also admitted that it will take a lot more to deal with cybercrime.
Entrepreneurs know that the government can do very little to protect them or their resources from online attackers. The best they can do is fortify their defences, educate their staff, and prepare for any eventuality by setting up disaster recovery services. Ultimately, every business with an online presence will need to source the best cybersecurity software as their first line of defence against hackers and malware.
The UK National Center Cyber Security Centre (NCSC) and the US Cybersecurity and Infrastructure Security Agency (CISA), and the Department of Homeland Security (DHS) have admitted to being one of the main targets of coordinated cyberattacks.
The institutions tasked with protecting individuals and businesses are victims of the very criminals they are meant to deter. This is a clear sign that it is up to the private sector of the cybersecurity industry to drive the evolution of cybersecurity solutions and products.
The global cybersecurity services market is the backbone of today’s civilization; it protects individuals and businesses from malicious software and criminals. As cases of cybercrime increase and the criminals become more brazen in targeting critical industries, the cybersecurity market must respond with better solutions.
If your business depends on IT infrastructure or cloud services, the first step to take is to educate yourself on the risks that abound online. Contact On-Site Computers today to understand the risks in your particular industries and the best ways to protect your business.