The Global Market for Cloud Based Security Services is Projected to Reach US$5.6 Billion by 2020

Rise in IT Security Breaches Drives Demand for Cloud Based Security Services, According to a New Report by Global Industry Analysts, Inc.

GIA announces the release of a comprehensive global report on Cloud Based Security Services. The global market for Cloud Based Security Services is projected to reach US$5.6 billion by 2020, driven by growing IT security concerns in organizations and the ensuing need for implementing low cost, convenient, and flexible IT Security strategy.

While computers, servers and networks have unleashed digital information revolution in the 21^st century, they have also opened up portals to numerous security risks. Instances of information security breaches, including malware and virus attacks, spam, zombies, botnets, Trojans, and organized cyber-crime have increased drastically over the last few years. Growing corporate IT security concerns and rising awareness among enterprises over importance of safeguarding integrated data repository, are spurring demand for information security solutions. Growing realizing of the importance of information as a critical corporate asset, on par with physical, capital and human resource assets, is resulting in increased enterprise spending on digital information security solutions and services. Especially poised to gain are cloud based IT security services. With more features and capabilities being integrated into it, modern day IT security solutions are turning out to be expensive, complex and resource intensive than ever before. Advanced IT security solutions also require dedicated networking capability, application platform and processing/computing resource, which are proving to be a major challenge for cash strapped organizations. In addition to high initial investments required for their purchase and deployment in an enterprise data center, advanced IT security solutions also demand frequent maintenance and upgrades thereby adding to the cost.

The scenario is driving the popularity of cloud based security services. Rising preference for cloud services, as seen by the accelerated pace of demand for SaaS, PaaS, and IaaS, is poised to benefit the market for cloud based IT security services. Also, rapid migration from conventional on-premise IT to cloud IT architecture is fuelling growth in the market. This is because virtualization and cloud computing IT models bring with them increased security risks that can be tackled efficiently by cloud based IT services customized to serve such advanced IT deployment models. Also for organizations deploying cloud IT, cloud based security services will be a more obvious choice given their experience with cloud based service provisioning. Despite the tremendous opportunities for growth, the market for cloud based security services will face challenges, such as, lack of proper awareness, and unwillingness among large enterprises to depend on third-party service providers.

Insurance, telecom, IT & ITeS, and healthcare are some of sectors that are spurring demand for identity as a service. Cloud based security services market is expected to gain further traction over the next few years as more and more SMBs move towards the cloud to meet their IT requirements.

As stated by the new market research report on Cloud Based Security Services, the United States represents the largest market worldwide. Asia-Pacific is forecast to emerge as the fastest growing market with a CAGR of 20.8 % over the analysis period, spearheaded by India and China, given the tremendous growth of the domestic IT sector in these countries over the last few years. Secure Email Gateway represents the largest revenue contributor in the global market. Identity & Access Management, on the other hand, is the fastest growing market segment with a CAGR of 20.8% over the analysis period.  

Major players in the market include Barracuda Networks Inc., Blue Coat Systems Inc., CA Inc., CipherCloud, Cisco Systems Inc., Cloud Security Corp., CloudPassage, Duo Security Inc., Echoworx, IBM Corporation, McAfee Inc., nCrypted Cloud, Okta Inc., Panda Security, Ping Identity, Proofpoint Inc, Qualys Inc., RSA Security LLC, Sophos Ltd., SyferLock, Symantec Corporation, Trend Micro Incorporated, Twobo Technologies, Vormetric Inc., WatchGuard Technologies Inc., Webroot, and Zscaler among others.

The research report titled “Cloud Based Security Services: A Global Strategic Business Report” announced by Global Industry Analysts Inc., provides a comprehensive review of market trends, mergers, acquisitions and other strategic industry activities. The report provides market estimates and projections in US$ for all major geographic markets including the United States, Canada, Japan, Europe (France, Germany, Italy, UK, Spain, Russia, and Rest of Europe), Asia-Pacific, (Australia, China, India, South Korea, and Rest of Asia-Pacific) Latin America (Brazil and Rest of Latin America), and Rest of World. Global, US and European markets for cloud based security services are also analyzed by segments - Identity & Access Management (IAM), Secure Web Gateway, Secure Email Gateway and Others (Security Information & Event Management (SIEM), and Remote Vulnerability Management among Others.)