Managed Security Services Market Trends

Growth Drivers

• Growing Cases of Cyber Attacks and Cyber-Related Crimes  As organizations are being digitized nowadays, the number of cyberattacks, data thefts, phishing, hacking, identity theft, and other cyber-related crimes has grown considerably. As a result, businesses are opting for advanced solutions such as managed security services for protecting their vital documents, passwords, files, and other personal items of the enterprises. Therefore, with the increased number of cyberattacks occurring across the businesses present in the world, the adoption rate of managed security services is also anticipated to rise subsequently bringing favorable opportunities for market growth. For instance, it was calculated that in 2021, almost 86% of the organizations present in the world were affected by a successful cyberattack, which is an increase from 80% in 2020, and 70% of organizations in 2015. Also, it has been projected that by the end of 2023, approximately 95 cybercrime cases are estimated to occur per hour across the world, which is equivalent to 35 billion accounts.

• Rising Amount of Data Being Produced Everyday With the growing number of enterprises across the world, the amount of data being generated daily is also rising. This is generating the need for efficient solutions that could work and manage in the core network, secure confidential data, and introduce tight security for data protection. This aspect is estimated to bring in the need for managed security services for proper management and security of data being generated by the companies and aid in expanding the global market size during the forecast period. According to estimates, around 2.5 quintillion bytes of data were produced every day in 2021 worldwide.

• Rapid Product Launches and Technological Advancement in Cyber Security Services by Key Players – Key players working in the field are working together to bring in technological advancement in cyber security services for better protection of data being produced by the companies. As a result, they are launching products and services to refine the managed security services in the corporate offices. For instance, recently, Intel, a global semiconductor chip manufacturer has launched the 6th-generation of vPro Chips. These powerful chips are made to revolutionize 'authentication security' by utilizing multiple levels and methods of authentication. It has up to 2.5 times the performance, 3 times the battery life, and 30 times the graphic performance of a system over a five-year-old system.

• Rising Penetration of the Internet and Internet Users – According to data, it was revealed that 63% of the global population used the internet by the first quarter of 2022.

• High Usage of Internet of Things (IoT) - \Globally, about 8 billion Internet of Things (IoT) devices are expected to exist in 2020, almost tripling to more than 28 billion IoT devices in 2030.

• Boost in the Information Technology (IT) Industry - It was calculated that in the year 2020, the global IT industry generated more than USD 5 trillion.

Challenges

• Lack of Capital Resources The implementation of managed security services in businesses requires a high amount of investment. This factor is expected to lower the adoption rate of the solution in enterprises with less amount of funds. Hence, this factor is anticipated to hamper the market growth during the forecast period.
• Unavailability of Skilled IT Professionals
• Reluctance and Trust Issues on Third-Party Applications