Adaptive Security Market

[160 pages Report] The adaptive security market size is expected to grow from USD 3526.5 million in 2016 to USD 7,065.4 million by 2021, at a CAGR of 14.9% during the forecast period. Adaptive security is a set of technologies and processes designed to secure organization’s critical network infrastructure from advanced cyber threats. The need to defend against advanced cyber-attacks, limitations of traditional security solutions, and need for security compliances and regulations have led to growth of the market. The growth of the adaptive security market is also propelled by the need to combat with advanced threats and vulnerabilities, and secure the enterprise cloud. Cyber-attacks are increasing at an alarming rate and this has necessitated the organizations worldwide to adopt adaptive security components to address the attacks in the continuously evolving threat landscape. The base year for the study is 2016 and the forecast period is considered to be 2016 to 2021.

Adaptive Security Market Dynamics

Drivers

• Need to defend against advanced cyber-attacks
• Limitations of traditional security solutions
• Need for security compliances and regulations

Restraints

• High cost of innovation and budget constraints  
• Lack of visibility across IT infrastructure

Opportunities

• Rise in demand for intelligence-driven and multi-layered security solutions
• Rise in adoption of cloud-based security technologies across organizations

Challenges

• Aggregating and analyzing large volumes of data
• Shortage of skilled cybersecurity professionals

Need to defend against advanced cyber-attacks is driving the global adaptive security market

Organizations globally are under constant assault from sophisticated threats such as Advanced Persistent Threats (APT), zero-day malwares, and other targeted attacks. These modern day cyber-attacks are dynamic and well organized to exploit the security loopholes in the organization’s traditional defense. Cybercriminals are adopting various hacking techniques to penetrate into an organization’s IT infrastructure, to gain access to such business critical information, which might cause damages and result in huge financial and data losses. As a result, defending against these advanced cyber-attacks requires a strategy that moves beyond traditional defense. The adaptive security practices strive to take advantage of existing security infrastructure to ensure a strong security posture within the organization. Both large enterprise as well as small and medium enterprises (SMEs) are looking forward to deploy security solutions, which are adaptive to evolving threats, to safeguard their networks, endpoints, data, and users against such malicious attacks.

The following are the major objectives of the study

• To define, describe, and forecast the adaptive security market on the basis of components (solutions and services), application, deployment mode, organization size, verticals, and regions
• To provide detailed information regarding the major factors influencing the growth of the market (drivers, restraints, opportunities, and challenges)
• To analyze the micromarkets1 with respect to the individual growth trends, future prospects, and contributions to the total market
• To analyze the opportunities in the market for stakeholders by identifying the high-growth segments of the market
• To forecast the market size of the segments with respect to five main regions, namely North America, Europe, Asia Pacific (APAC), Middle East and Africa (MEA), and Latin America
• To profile the key players in the market and comprehensively analyze their market size and core competencies2
• To track and analyze competitive developments, such as new product launches, mergers and acquisitions, and partnerships, agreements, and collaborations in the global market

The research methodology used to estimate and forecast the adaptive security market begins with collection and analysis of data on key vendor revenues through secondary sources such as company website, press releases, annual reports, the SANS Institute, SC Magazine, and Cloud Security Alliance (CSA). The vendor offerings have also been taken into consideration to determine the market segmentation. The bottom-up procedure was employed to arrive at the total market size of the global market from the revenue of the key players. After arriving at the overall market size, the total market was split into several segments and subsegments, which were then verified through primary research by conducting extensive interviews with key people, such as Chief Executive Officers (CEOs), Vice Presidents (VPs), directors, and executives. The data triangulation and market breakdown procedures were employed to complete the overall market engineering process and to arrive at the exact statistics for all the segments and subsegments. The breakdown of profiles of the primary is depicted in the below figure:

To know about the assumptions considered for the study, download the pdf brochure

The adaptive security market comprises key vendors, such as Cisco Systems, Inc. (California, US), Juniper Networks (California, US), Trend Micro, Inc. (Tokyo, Japan), FireEye, Inc. (California, US), Rapid7, Inc. (Massachusetts, US), Panda Security (Bilbao, Spain), Illumio (California, US), EMC RSA (Massachusetts, US), Aruba Networks (California, US), and Cloudwick. (California, US). These vendors sell market to end-users to cater to their unique business requirements and security needs.

Major Market Developments

• In August 2016, Cisco acquired CloudLock, Inc., a privately held cloud security company for USD 293 million to enhance its cloud security and security everywhere strategy.  Acquisition took place for 293 USD.
• In March 2016, Trend Micro acquired Tipping point for USD 300 million for enhancing its security portfolio.
• In January 2016, FireEye and Parsons partnered to offer advanced cybersecurity to critical infrastructure and IT environment.

Key Target Audience for Adaptive Security Market

• Adaptive security vendors
• Government agencies
• Network solution providers
• Independent software vendors
• Consulting firms
• System integrators
• Value-Added Resellers (VARs)
• Managed Security Service Providers (MSSPs)
• Government agencies

 “Study answers several questions for the stakeholders, primarily which market segments to focus in the next 2–5 years for prioritizing the efforts and investments”.

Scope of the Market

The research report segments the adaptive security market into the following submarkets:

By Component

• Solution
• Service
  • Professional Service
    • Consulting
    • Support and Maintenance
    • Training and Education
  • Managed Service

Adaptive Security Market Research By Application

• Network Security
• Endpoint Security
• Application Security
• Cloud Security
• Others (database security and web security)

By Organization Size

• Large Enterprises
• Small and Medium-sized Enterprises (SMEs)

By Vertical

• Government and Defense
• Banking, Financial Services, and Insurance (BFSI)
• Retail
• IT and Telecom
• Healthcare
• Energy and Utilities
• Manufacturing
• Education
• Others (media and entertainment, hospitality, and automotive)

By Region

• North America
• Europe
• APAC
• MEA
• Latin America

Critical questions which the report answers

• What are new application areas which the adaptive security companies are exploring?
• Which are the key players in the market and how intense is the competition?

Available Customizations

With the given market data, MarketsandMarkets offers customizations as per the company’s specific needs. The following customization options are available for the report:

Product Analysis

• Product matrix which gives a detailed comparison of product portfolio of each company

Geographic Analysis

• Further breakdown of the North America market
• Further breakdown of the Europe market
• Further breakdown of the APAC market
• Further breakdown of the MEA market
• Further breakdown of the Latin America market

Company Information

• Detailed analysis and profiling of additional market players

The adaptive security market size is expected to grow from USD 3,526.5 million in 2016 to USD 7,065.4 million by 2021, at a CAGR of 14.9% during the forecast period. The major growth drivers of the market include need to defend against advanced cyber-attacks, limitations of traditional security solutions, and need for security compliances and regulations.

Adaptive security is a real-time information security approach that helps to protect the network from cyber-attacks, advanced threats, and vulnerabilities. It offers comprehensive adaptive protection process with improved predictive, preventive, detective and response capabilities to safeguards networks, endpoints, applications, and data from real time behavioral anomalies and advanced threats. With the suitable adaptive security architecture, an enterprise can prevent security breaches and enhance its information security infrastructure across complex IT environment. The sophistication level in the cyber-attacks is increasing and creating demands for more comprehensive adaptive security solutions that would protect enterprises from advanced cyber threats.

The adaptive security market by component has been segmented, on the basis of solution and services. The market for services segment is expected to grow at the highest CAGR between 2016 and 2021. The high adoption of adaptive security solutions and services by the global organizations contribute to the rapid growth of the market.

The adaptive security market by application has been segmented into network security, endpoint security, application security, cloud security, and others. The network security segment is expected to have the largest market size in market by application by 2021. As the vulnerabilities have become more complex and sophisticated, the demand for network security products is expected to increase for countering against the growing challenges posed by the threats. The application security segment is expected to grow at the highest CAGR during the forecast period in the market due to the increasing need to protect applications from cyber-attacks. With more and more companies ready to adapt Interactive Application Security Testing (IAST) and other hybrid analysis methodologies for application security, the market for application security is growing.

The telecom and IT vertical is the fastest-growing vertical in the adaptive security market. Adaptive security is to be embedded in every micro and macro component of information systems of BFSI sector with the increase in smart banking, internet banking, and mobile banking. The convergence of various security solutions to design an integrated environment for secure and faster access to information, whenever and wherever required, is the demand of the employees and customers in the financial institution. The retail vertical is expected to grow at a significant rate during the forecast period owing to their adherence to various compliance mandates and regulatory standards.

Need to defend against advanced cyber-attacks drive the growth of adaptive security market

Banking Financial Services, and Insurance (BFSI)

Banks, insurance companies, and other financial institutions are upgrading physical and adaptive security solutions to protect the industry’s employees, customers, assets, offices, branches, operations and to optimize against internal and external threats. The industry is continuously looking out for improved business operations which attract attackers and other sensitive information at run time. Adaptive security is to be embedded in every micro and macro component of information systems of BFSI sector with the increase in smart banking, internet banking, and mobile banking. The convergence of various security solutions to design an integrated environment for secure and faster access to information, whenever and wherever required, is the demand of the employees and customers in the financial institutions. Thus, banks need a multilayered security approach to deliver authenticated and authorized experience to customers

Government and Defense

Due to large number of breaches observed in government and defense sector, adaptive security has become a necessity to combat advanced threats in government and defense sector. Adaptive security solutions provide high performance security, control, and visibility over on-premise data and cloud data and help in protecting government and defense critical information.  Adaptive solutions and services prevent advanced persistent threats, DOS attacks, ransomwares, malwares, virus, phishing mails, and also find out about the back entries. Masquerading, passive monitoring of data is detected with real time analysis at run time.

The concept of e-governance has led the government to focus more on adaptive security threats. Moreover, as organizations are shifting toward real-time communication, threats from web browsing, email correspondence, peer to peer traffic, and file exchange have considerably increased. Adaptive security countermeasures are developed and implemented to protect the systems from next generation attacks which bypasses the traditional firewalls send by terrorists and hackers.

Telecom and IT

Telecom companies are among the largest industries hit by cyber-attacks. These attacks could stop the telecom service to reach customers, breakdown the businesses, and even shutdown the government organizations. The increased integration of Information and Communication Technology (ICT) into daily activities of industries, government, families, and consumers along with the rising sophistication levels of cyber-attacks have led the IT and telecom sector to focus more on their adaptive security activities. Telecom organizations typically store personal data, such as name, address, and financial data, which is a compelling target for cyber-criminals or insiders. Rise in cloud computing, IoT, and BYOD has raised concerns over the security to be adopted in Telecom industries. Telecom organizations and IT service providers are boosting up the adaptive security budgets significantly, aligning business strategy with adaptive security plans, and creating cyber awareness programs for employees and customers. Global Information Society Project Program on Telecommunication Policy and strict telecom and regulatory policies has been introduced to regulate telecom and IT cyber threats.

Healthcare

Healthcare attacks are very attractive target to the attackers as the healthcare data records contain valuable sensitive information. Stealing financial data has always been the primary target of cyber-attackers, but these days medical data is also becoming one of the major targets. Healthcare organizations face several challenges such as maintaining the privacy of Electronic Health Record (EHR) and meeting various compliances set by HIPAA. Moreover, due to highly proliferated digital medical devices, network management has become essential to save devices from malicious attacks. Social security numbers, insurance IDs, addresses, credit card information, and medical details are at risk for cyber threats because they usually contain valuable data. Other than these, security solutions are required to control email spam, monitoring, reporting, remote login, and overall management, which include secure remote access, backup & recovery, and secure wireless connection. Ransomware attacks, cloud deployments, incident response, application vulnerability, and increase in IoT and BYOD trends are major issues, which can trigger the attacks in healthcare organizations.

Critical questions the report answers

• Where will all these developments take the industry in the mid to long term?
• What are the applications areas of adaptive security?

High cost of innovation and budget constraints is a major challenge in the growth of the market. As the frequency of advanced cyber-attacks has increased over the past five years, organizations have increased their IT security investments to protect against advanced threats, zero-day malwares, Trojans, and other targeted threats. However, for many enterprises, including SMEs, these investment costs are a matter of concern. Furthermore, for strong and advanced security, the cost of innovation is still high and many organizations view budgetary constraints as a barrier for growth in the adaptive security market. This lack of adequate budget continues to be an important concern for security professionals to effectively carry out their IT security operations. IT security budgets in SMEs are not sufficient to fulfill every security need, and therefore, organizations have to understand which information assets are most important to curb evolving security threats. Companies have to think twice about investing in regions with developing economies, such as Latin America and MEA, due to lower security defense budgets in these regions.

The key players in adaptive security market include Cisco Systems, Inc. (California, US), Juniper Networks (California, US), Trend Micro, Inc. (Tokyo, Japan), FireEye, Inc. (California, US), Rapid7, Inc. (Massachusetts, US), Panda Security (Bilbao, Spain), Illumio (California, US), EMC RSA (Massachusetts, US), Aruba Networks (California, US), and Cloudwick. (California, US).

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