Cyber Situational Awareness Market Expected to Reach $153 Billion by 2027

According to a recent report published by Allied Market Research, titled, “cyber situational awareness market by component, solution type, deployment type, organization size, industry verticals, and region: opportunity analysis and industry forecast, 2020-2027,” the global cyber situational awareness market size was valued at $31,431 million in 2019, and is projected to reach $152,656 million by 2027, registering a CAGR of 22.6% from 2020 to 2027.

Digital technologies have gained an immense space within every aspect of day to day routine starting from simple mobile devices used for communication to complex software and electronics adopted in high security based applications. For instance, one of the recent technologies, termed as “edge computing,” has gained a huge traction within the commercial sector as it reduces the overall latency in acquiring data from respective servers. Furthermore, edge computing is also estimated to increase the demand for various parallel technologies such as Internet of Things (IoT) and cloud computing. By 2022, the global edge computing market is expected to reach $16.5 billion. 

Thus, in a simplified manner, it is clear that digital technologies have turned out to be a key factor within the era, which leads to higher efficiency and optimized cost within the business model. Though digital technologies have raised the standard of every phase within day-to-day routines, it has led to rise in associated risks, which has increased the gap of losses occurred within it. As per the statistics by McAfee, cybercrime incidents now cost the world economy more than $1 trillion in 2019 or just more than 1 % of global GDP. In 2019, the Interstate Technology and Regulatory Council (ITRC) reported that hacking was the most used method of breaching data, with 577 data breaches resulting in 15.3 million records exposed. This form of breach includes intrusion methods such as phishing, ransomwares & malware, and skimming. Thus, as this trend is on the rise, with emerging technologies, significance of cyber situational awareness market is also on rise, which creates a strong fundamental base for the cyber situational awareness market growth.

In 2019, the global cyber situational awareness market share was dominated by the solution segment, and is expected to maintain its dominance in the upcoming years as solutions also help in prioritizing resources to focus on critical challenges/issues or changes that can impact an organization, geography, and technology negatively, with real-time insights. It also provides strategic view by analyzing incidents to identify threats, recognize trends in their activities, and malicious objectives to offer strategic understanding of events or situations in cyberspace, so that operational teams can take actions quickly. However, the services segment is expected to witness highest growth, owing to reduce time and costs associated with optimization of systems in the initial phase of deployment. As services help to deploy and integrate distinct IT solutions in an enterprise ecosystem, they work as an important part of an organization. There has been an increase in adoption of services among end users over time, as it ensures effective functioning of software and platforms throughout the process. Increase in adoption of these software and platforms is expected to boost demand for these services.

By solution type, the network forensics segment dominated the market in 2019, and is expected to maintain its dominance in the upcoming years. Cloud networks have gained a rapid traction within both private and public industries. Though this scenario poses major advantages, in terms of system efficiency and cost, but risk of cyber threats has also increased, which creates an immense demand for analyzing network infrastructure and monitoring its respective issues. One of the major issues within the current conditions is rapid increase in DDoS (Distributed Denial of Services) attacks. DDoS attacks have been steadily increasing in frequency over past few years, and third quarter of 2020 witnessed around 50% increase compared to 2019. When the coronavirus pandemic forced online working, attacks witnessed a huge spike. Thus, all these scenarios have mandated the need for effective cyber situational awareness systems.

The current estimation of 2027 is projected to be higher than pre-COVID-19 estimates. The COVID-19 outbreak has high impact on growth of the cyber situational awareness market. Social distancing and quarantine mandates have led the adoption of work from home policy, which has boosted the adoption of digital and cloud systems, creating a wide open scenario for the cyber threats. As the landscape is rapidly shifting in the wake of the COVID-19 pandemic, information security teams are facing with issues in security, owing majority of virtual workforce and increased attacks. For instance, Health Insurance Portability and Accountability Act (HIPAA) security rule within the healthcare sector has experienced major relaxation. The relaxed enforcement focuses specifically on telehealth as it relates to using potentially less secure video conferencing tools to communicate with potentially infected patients. With such scenario, there is always a continuous need for surveillance and real-time risk analysis for breaches at both physical and digital entry points. Thus, with growth in number of cyber-attacks, 70 % organizations are increasing their investments in cyber security solutions.

Key Findings Of The Study

• By component, in 2019 the solution segment dominated the cyber situational awareness market. However, the services segment is expected to exhibit significant growth during the forecast period.
• Depending on solution type, the network forensic generated the highest revenue in 2019. However, the intrusion detection system segment is expected to witness highest growth rate in the future.
• On the basis of deployment type, the local (on-premise) segment accounted for the highest revenue in 2019, however, the hybrid segment is expected to witness highest growth rate during the forecast period.
• On the basis of industry verticals, the BFSI sector accounted for the highest revenue in 2019, however, the healthcare segment is expected to witness highest growth rate during the forecast period.
• Region wise, the cyber situational awareness industry was dominated by North America. However, Asia-Pacific is expected to witness significant growth in the upcoming years. 

Some of the key players profiled in the report include Cyware, Darktrace, and Firemon LLC, Honeywell technologies, IBM Corporation, MarkLogic Corporation, Palo Alto Networks, SAS and Verint systems. This study includes cyber situational awareness market trends, cyber situational awareness market analysis, and future estimations to determine imminent investment pockets.