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Data center comprises networked computers and stores information that businesses use to organize and utilize for centralizing IT operation process. Data center security solutions offers network security, server security, scalability management, protection against cyber-attacks, and others for enhancing security of these centers. Some of the major global organizations such as World Health Organization (WHO) and World Trade Organizations (WTO) and various companies are focusing on taking appropriate measures on data centers security in order to protect important data. Therefore, rising security concerns regarding data centers have become a major factor leading to increasing demand for improved and effective security solutions, which is anticipated to fuel the market growth.

Growing adoption of virtualization and cloud technology is a major factor driving growth of the data center security market

Adoption of virtualization and cloud deployments has led to significant increase in volume of data. However, this data is vulnerable to external attacks without proper security measures and can lead to loss or breach of confidential data. The major cloud vulnerabilities for data centers include, session riding, virtual machine escape, and insecure cryptography. For instance, according to ITRC (Identity Theft Resource Center) Organization's analysis, in 2016, around 454 data breaches were recorded in U.S. This is expected to boost demand for improved security solutions to reduce risk of data breaches in data centers thus, propelling growth of data center security market. However, availability of additional software at low cost and lack of awareness are the major factors hampering growth of the market.

Data Center Security Market: Taxonomy

On basis of application solutions, the data center security market is segmented into

  • Logical Security Solutions
  • Physical Security Solutions

On basis of services, the data center security market is segmented into

  • Consulting
  • Integration and Deployment
  • Managed Services

On basis of data center types, the data center security market is segmented into

  • Small Data Centers
  • Mid-sized Data Centers
  • Large Data Centers

On basis of end-use industry, the data center security market is segmented into

  • Healthcare
  • Banking and Financial Services Institutions (BFSI)
  • Telecom and IT
  • Others

Banking and financial sector has emerged as the largest segment in the market

Increasing financial globalization plays a major role in expanding banking and financial sector. Therefore, for maintaining large volume of data, management of data centers with efficient security solutions is required. For instance, according to the ITRC (Identity Theft Resource Center) Organization's analysis, in 2016, around 43 data breaches were reported in the banking and financial sector in the U.S. Therefore, demand for security solutions is increasing significantly, which has positively impacted growth of the data center security market.

Data Center Security Market: Regional Insights

On basis of geography, the data center security market is segmented into North America, Europe, Asia Pacific, Latin America, the Middle East, and Africa. North America is expected to account for the largest share in the data center security market, due to high adoption of the cloud computing solutions and increasing number of data centers in the region. This data is prone to cyber threat and data breaches and could lead to heavy losses for companies. Therefore, data security solutions are increasingly being adopted by companies. For instance, according to the Coherent Market Insights’ analysis, in 2017, the total number of data breaches in the U.S were pegged at 1,580.

Data center security market: Competitive Background

Major players operating in the data center security market are Symantec Corporation, Juniper Networks Inc., Allegion, Arecont Vision, Assa Abloy, Axis communications, BOON Edam, byRemote, Digitus Biometrics, EMKA, Exacq Technologies, FutureNet Security Solutions, and Hangzhou Hikvision Digital Technology.

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