Application Security Market - Historic Data (2019-2024), Global Trends 2025, Growth Forecasts 2037
Application Security Market in 2025 is estimated at USD 12.51 billion. The global Market size was valued at around USD 10.97 billion in 2024 and is projected to grow at a CAGR of more than 17.5%, reaching USD 89.27 billion revenue by 2037. North America is poised to bring in USD 35.71 billion by 2037, driven by rising digital transformation and the growing prevalence of financially motivated attacks.
The major factor set to influence the growth of the market is the growing adoption of cloud. In 2022, about 60% of organization all around the world were using one or two clouds in their organization. However, application security is very crucial for the cloud. Since cloud environments offer shared resources, it is particularly important to make sure that users can only access the information in their cloud-based applications that they are authorized to view.
Additionally, since sensitive data is sent from the user to the application across the internet and back again, cloud-based applications are also more prone to security breaches. A public cloud security incident was experienced by about 26% of firms in the past year, an increase of approximately 9% from the year before, and about 79% of businesses had at least one cloud security event in that time frame across the globe according to a survey.
Application Security Sector: Growth Drivers and Challenges
Growth Drivers
- Growing Demand for Online Shopping
Globally, there are about 3 billion digital buyers. This means approximately 30% of the population all around the world do online shopping. Further, online retail are also including various features and options in order to remain in the competition. However, along with advanced feathers comes the threat of cyber risk. Typically, fraudsters accomplish this by breaking into e-commerce websites and collecting login or credit card information from users. They may employ it to either pose as customers and make fraudulent purchases or to sell information about consumers to other criminals online. Hence, the need for application security is growing with the rise in number of online shoppers.
- Surge in Merges & Acquisitions of Company
The risk of cyber security rises with the growing trend of merge and acquisitions of the company. Since integration and data exchange may expose assets to risks to their confidentiality, integrity, and availability (CIA), mergers and acquisitions constitute a considerable risk to organizations. Therefore, organizations should take application security into consideration before merging or acquiring an organization.
- Rise in Risk of Cybersecurity to Small Businesses
In 2021, globally, about 42% of small businesses were on target for security attacks. Moreover, given their modest online profile, small and medium-sized businesses (SMEs) don't believe they might become the target of an attack, as all the media attention is given to huge enterprise data breaches as those at Yahoo and TalkTalk. Therefore, they become more vulnerable to security attacks. As a result, small businesses are influenced more to focus on application security.
Challenges
- Not Sufficient Budgets – The cost of application and innovating it on timely bases carries a huge price. Hence, especially small businesses find it difficult to invest in application protection. Hence, this factor is stated to restrain the growth of the market.
- Inaccurate Sense of Security
- Lack of Experts
Application Security Market: Key Insights
| Report Attribute | Details |
|---|---|
|
Base Year |
2024 |
|
Forecast Year |
2025-2037 |
|
CAGR |
17.5% |
|
Base Year Market Size (2024) |
USD 10.97 billion |
|
Forecast Year Market Size (2037) |
USD 89.27 billion |
|
Regional Scope |
|
Application Security Segmentation
Type of Security Testing (DAST, SAST, IAST, RASP)
The SAST segment in the application security market is anticipated to register a share of 40% by the end of 2037. This growth could be owing to the rising advantages of SAST. Since most SAST tools are automated, they can quickly and effectively investigate the whole source. This enables an in-depth study of the code and decreases the possibility of overlooking a vulnerability. Additionally, SAST can assist in lowering remediation costs by finding and repairing vulnerabilities early in the development phase.
End-User Vertical (Healthcare, BFSI, Education, Retail, Government)
The BFSI segment in the application security market is set to grow at a notable CAGR over the forecast period. The BFSI industry is one of major critical infrastructure sectors that experiences frequent cyber-attacks, and data breaches due to the magnitude of its customer base and the highly confidential financial data involved. Additionally, the market for application security is expected to grow as a result of the fact that financial institutions are four times extra vulnerable to cyberattacks than more industries.
Our in-depth analysis of the global market includes the following segments:
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Type of Security Testing |
|
|
Organization Size |
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End-User Vertical |
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Vishnu Nair
Head - Global Business DevelopmentCustomize this report to your requirements — connect with our consultant for personalized insights and options.
Application Security Industry - Regional Synopsis
North American Market Forecast
The application security market in North America is poised to dominate 40% revenue share by 2037, backed by rising digital transformation along with the growing prevalence of financially motivated attacks. Additionally, it was frequently noticed that hackers were utilizing stolen credentials to access the company's web-based email along with additional web applications in North America. The usage of hacked credentials has risen in lockstep with the rise in business adoption of cloud-based technologies. Software and services for application security are essential in this region. Therefore, this factor is set to influence the growth of the market in this region.
European Market Analysis
The application security market in Europe is poised to have significant growth over the forecast period. This growth of the market in this region could be influenced by rising government initiatives in order to protect organizations from cyberattacks. Moreover, there has been a growing launch of applications in this region would also be an important factor. Also, companies in this region are investing heavily in cyber-security, hence giving scope for market expansion.
Companies Dominating the Application Security Landscape
- IBM Corporation
- Company Overview
- Business Strategy
- Key Product Offerings
- Financial Performance
- Key Performance Indicators
- Risk Analysis
- Recent Development
- Regional Presence
- SWOT Analysis
- Capgemini Services SAS
- Whitehat Security
- Synopsys, Inc.
- SUBARU Corporation
- Micro Focus
- HCL Technologies Limited
- Cisco Systems Inc.
- RapidAPI
- Oracle Corporation
Recent Developments
- Oracle Corporation released Oracle Database 23c Beta, the most recent iteration of the top convergent database in the world, which supports all data types, workloads, and development methodologies. Oracle Database 23c, often known as "App Simple," is aimed at streamlining application development.
- In order to address the rising shadow data issue, IBM Corporation has announced the acquisition of Polar Security, an inventor in technology that aids in the discovery, ongoing monitoring, and security of cloud and software-as-a-service (SaaS) application data.
- Report ID: 5099
- Published Date: May 09, 2025
- Report Format: PDF, PPT
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Application Security Market Report Scope
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