The global cyber security market is set to reach US$334 billion in revenue by 2026, with the Asia Pacific (APAC) region predicted to lead the way for growth.
On a global scale, cyber security revenue is expected to rise by a five-year compound annual growth rate (CAGR) of 8.7 per cent, up from 2021’s US$220 billion, according to data and analytics firm Global Data.
Meanwhile, Asia Pacific. was framed by GlobalData as being more vulnerable to cyber threats than other regions due to critical infrastructure and the growing financial sector in the region, as well as being expected to lead cyber security growth around the world.
Indeed, an increase in digital transformation initiatives, penetration of internet connectivity and susceptibility stemming from internet of things (IoT) connectivity is expected to increase the adoption of cyber security solutions.
Madhumita Chaudhary, practice head at GlobalData, said Australia, Singapore, the Philippines, Thailand, Japan, India and Taiwan are particularly facing an increase in ransomware, phishing and network attacks.
As such, these countries are anticipated to see strong demand for cyber security products and services.
The global enterprise cyber security market in particular is expected to thrive following a surge in the volume and sophistication of cyber attacks across organisations.
“Despite the continued investments and growth in the cyber security space, the frequency of attacks and breaches have shown no signs of abatement,” said Chaudhary.
“More than billions of records containing critical information were compromised since the pandemic. As such, enterprise cyber security will continue to dominate the overall cyber security demand in terms of market share, capturing a sizeable revenue share exceeding 90 per cent in 2021.”
Additionally, the consumer cyber security market’s CAGR is expected to reach 10 per cent over the period.
“The rapid emergence of connected devices and associated security risks with no baseline security upgrades will favour the segment growth over the forecast period,” Chaudhary said. “Cyber security should be at the forefront of all digital transformation strategies. A lapse in focus could mean hefty repercussions in form of accelerated ransomware attacks,” she added.
The growth in the cyber security market from now to 2026 comes as fellow research firm Forrester claimed that customers are set to increase their reliance on managed security service providers (MSSP) in 2023.