Security as a Service Market Size

Security as a Service Market Overview

Security as a Service Market Size was valued at USD 11.00 Billion in 2022. The Security as a Service market industry is projected to grow from USD 12.91 Billion in 2023 to USD 46.42 Billion by 2032, exhibiting a compound annual growth rate (CAGR) of 17.35% during the forecast period (2023 - 2032). Rising interest in cloud-based security services and increased backing for the BYOD movement are the key market drivers enhancing market growth.

Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

Security as a Service Market Trends

Growing demand for cloud-based security services among SMEs is driving the market growth

Market CAGR for security as a service is driven by the growth of cloud-based technology. With the help of software-defined perimeters and other ancillary infrastructure technologies, businesses may build highly secure platforms in the cloud. The growth of the international cyber security industry is also being fueled by the issuance of specific guidelines and laws for cloud platform security by governments in numerous nations. Moving to cloud-based platforms like Software-as-a-Service (SaaS) and Infrastructure-as-a-Service (IaaS) is a common strategy for SMEs updating their applications and infrastructures. Demand for Security as a service is expected to rise due to the issues mentioned above in the future.

Additionally, most small and medium-sized enterprises (SMEs) across all industries are prime targets for cybercriminals looking to exploit security flaws. When protecting cloud-based apps against cyberattacks like malware, phishing, and DNS data exfiltration, traditional appliance-based firewalls and security gateways just don't cut it. Security as a service in the public internet can safeguard data, people, and devices without the need for complex on-premises security infrastructure. Therefore, the increasing prevalence of Security as a service is fueling the expansion of the international market.

For instance, IBM declares that it has bought Polar Security, a leader in technology that helps businesses find, continuously monitor, and secure cloud and software-as-a-service (SaaS) application data. It helps solve the growing shadow data problem. As a result, the demand for Security as a service is predicted to grow throughout the forecasted time due to the rising demand for cloud-based technology. Thus, the driving factor is security as a service market revenue.

Security as a Service Market Segment Insights

Security as a Service Component Insights

The security as a service market segmentation, based on components, includes Solutions and Services. In 2022, the solution segment led the security as a service market in revenue because businesses in the security industry are always improving and expanding their service options. Cloud mobile, email threat management, and web security are just a few services. There has been a rise in identity and access management (IAM) solutions within organizations, intending to ensure that only authorized individuals and groups can access sensitive data and systems.

Figure 1: Security as a Service Market by Organization Size, 2022 & 2032 (USD Billion)

Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

Security as a Service Application Area Insights

The security as a service market segmentation, based on the application area, includes network security, email security, database cloud security, and web security. Network security is anticipated to grow at a CAGR of 17.35% over the projected period, making up the largest market share. Network security is preventing harm to a network through monitoring and investigating security incidents.

Security as a Service Organization Size Insights

The security as a service market segmentation, based on the vertical, includes BFSI, Oil & gas, IT & Telecom, Retail, Government, and Defence. The BFSI category is expected to grow because of increased incidences of spyware, Trojan horses, and other malware in this industry due to the widespread adoption of cloud-based technology to streamline digital banking procedures.

Security as a Service Organization Size Insights

The security as a service market segmentation, based on the organization size, includes SMEs and large enterprise. The SMEs category is expected to grow because there are more small firms and because they rely more on cloud services. According to the National Federation of Self-Employed & Small Businesses Limited, small businesses experience about 10,000 cyberattacks daily. Because of its improved data security, cost-effectiveness, need for less storage space, and convenience of access, cloud services are becoming more and more popular among SMEs.

Security as a Service Regional Insights

By region, the study provides market insights into North America, Europe, Asia-Pacific, and the Rest of the World. The North American Security as a service market will dominate because the country has a growing cloud security infrastructure. In addition, there is a lot of understanding of the importance of cyber Security, and big businesses using cloud computing help the regional market grow.

Further, the major countries studied in the market report are The US, Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Figure 2: SECURITY AS A SERVICE MARKET SHARE BY REGION 2022 (USD Billion)

Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

Europe’s security as a service market accounts for the second-largest market due to rising cybercrime activity. The widespread uptake of vulnerable new technologies like the Internet of Things poses serious security threats. Further, the security as a service market held the largest market share, and the UK security as a service market was the quickest-growing market in the European region.

The Asia-Pacific security as a service market is expected to grow at the fastest CAGR from 2023 to 2032 due to the increasing research and development efforts for security as a service sector and the rising number of small and medium-sized enterprises (SMEs) in the region is expected to increase the need for affordable security as a service solution. Moreover, China’s security as a service market held the largest market share, and the Indian security as a service market was the fastest-rising market in the Asia-Pacific region.

Security as a Service Key Market Players & Competitive Insights

Leading market players are investing heavily in research and development to expand their product lines, which will help the security as a service market grow even more. There are some strategies for action that market participants are implementing to increase their presence around the world's footprint, with important market developments including new product launches, contractual agreements and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, the security as a service industry must offer cost-effective items.

Manufacturing locally to minimize operational costs is one of the key business tactics manufacturer use in the security as a service industry to benefit clients and increase the market sector. In recent years, the security as a service industry has offered some of the most significant technological advancements. Major players in the security as a service market, including Trend Micro (Japan), Zscaler (US), McAfee (US), IBM (US), Microsoft (US), Clearswift (UK), Alert Logic (US), Forcepoint (US), Sophos (UK), Barracuda Networks (US), Cygilant (US), Cisco (US), Fortinet (US), Panda Security (Spain), Radware (China), Mindsight (US), and others are attempting to grow market demand by investing in research and development operations.

Trend Micro, a world leader in cybersecurity, aids market expansion. Trend Micro's cybersecurity platform protects hundreds of thousands of organizations and millions of people across clouds, networks, devices, and endpoints. It uses decades of security expertise, study on threats, and constant innovation. In March 2023, Trend Micro, Inc. announced a world tour to more than 120 cities. It is part of the company's ongoing effort to help companies deal with rising cyber risks. Trend Micro's Risk to Resilience World Tour aims to help companies learn how to take control of their risk and succeed in cyber resiliency by using a single cybersecurity platform.

Cisco is the undisputed leader in IT that safely links everything together to make anything doable. By assisting clients in reimagining apps, enabling hybrid work, securing the enterprise, transforming the infrastructure, and attaining sustainability goals, we hope to fuel a future accessible to all. In the United States or other countries, Cisco or its affiliates own the trademark rights to, use, and display the Cisco name and logo. Since our inception in 1984, we have focused on helping businesses with their toughest problems. In June 2023, Cisco released a new Full-Stack Observability Platform, a vendor-neutral solution that takes advantage of the company's entire product line. To reduce corporate risk and improve customer satisfaction, it provides contextual, linked, and predictive insights.

Key Companies in the Security as a Service Market include

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  Trend Micro (Japan)

  
  


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  Zscaler (US)

  
  


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  McAfee (US)

  
  


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  IBM (US)

  
  


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  Microsoft (US)

  
  


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  Clearswift (UK)

  
  


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  Alert Logic (US)

  
  


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  Forcepoint (US)

  
  


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  Sophos (UK)

  
  


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  Barracuda Networks (US)

  
  


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  Cygilant (US)

  
  


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  Cisco (US)

  
  


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  Fortinet (US)

  
  


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  Panda Security (Spain)

  
  


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  Radware (China)

  
  


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  Mindsight (US)

  
  

Security as a Service Industry Developments

March 2023: IBM has released a new tool to aid corporations in monitoring their carbon footprint pollution across cloud services and improve their sustainability as they move to hybrid and multi-cloud environments. The IBM Cloud Carbon Calculator, an AI-powered dashboard, is now available to everyone. It can help clients access emissions data for various IBM Cloud tasks, such as AI, high-performance computing (HPC), and financial services.

July 2023: Sophos has joined up with Cysurance, a risk mitigation firm that provides insurance, warranties, and certification for security products. This collaboration allows businesses in the United States that rely on Sophos MDR to get cyber insurance at a competitive, flat rate. These regulations are the first to commend businesses implementing a system to monitor and respond to security threats.

June 2023: Cisco has established an announcement that it is using advanced generative AI technology to rethink the way people work. To simplify and boost business efficiency, Cisco plans to use large language models (LLMs) throughout its Collaboration and Security offerings.

Security as a Service Market Segmentation

Security as a Service Component Outlook

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  Solution

  
  


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  Service

  
  

Security as a Service Application Area Outlook

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  Network security

  
  


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  Email-security

  
  


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  Database cloud security

  
  


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  Web security

  
  


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  Others

  
  

Security as a Service Organization Size Outlook

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  SMEs

  
  


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  Large Enterprise

  
  

Security as a Service Vertical Outlook

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  BFSI

  
  


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  Oil & gas

  
  


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  IT & Telecom

  
  


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  Healthcare

  
  


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  Retail

  
  


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  Government

  
  


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  Defence

  
  

Security as a Service Regional Outlook

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  North America

  
  

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  US

  
  


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  Canada

  
  

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  Europe

  
  

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  Germany

  
  


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  France

  
  


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  UK

  
  


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  Italy

  
  


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  Spain

  
  


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  Rest of Europe

  
  

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  Asia-Pacific

  
  
  
  
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    China

    
    
  
  
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    Japan

    
    
  
  
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    India

    
    
  
  
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    Australia

    
    
  
  
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    South Korea

    
    
  
  
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    Australia

    
    
  
  
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    Rest of Asia-Pacific

    
    
  
  
  
  


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  Rest of the World

  
  
  
  
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    Middle East

    
    
  
  
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    Africa

    
    
  
  
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    Latin America