The “Global Security-as-a-Service Market, by Enterprise Size (Small Enterprise, Medium Enterprise, Large Enterprise), by Industry (BFSI, IT and Telecom, Healthcare, Retail and Consumer goods, Others), and by Geography (North America, Europe, Asia Pacific, and Latin America, Middle East & Africa) - Global Forecast to 2027”, is expected to be valued at US$ 19257.7 million by 2027, witnessing a CAGR of 17.1 % during the forecast period (2019-2027), as highlighted in a report published by Coherent Market Insights.
Security as a service is a business model wherein service provider incorporates their security services into a corporate infrastructure. Generally, SaaS solutions are subscription-based and more cost-effective than majority of individuals or enterprises offering their own security solutions. SaaS is inspired by software as a service model and it does not require on premise hardware thereby avoiding significant capital outlays. There are different categories included in SaaS solutions such as network security, email security, encryption, security assessment, data loss prevention, web security, and more. The security as a service can be deployed on monthly rental basis.
The global security-as-a-service market was valued at US$ 5,635.4 Mn by the end of 2019 and is expected to grow at a CAGR of 17.1% over the forecasted period 2019-27.
Availability of multiple tenancies is expected to boost growth of the global security-as-a-service market during the forecast period
Security-as-a-services are designed in such a manner, wherein users can manage single and multiple tenants as per the company’s requirements. This feature helps to share software, hardware, services cost among different users without the risk of data leak or hacking or loss of confidential information. This, in turn, facilitates the company to minimize its operational expenses on security solutions thereby driving growth of the global security-as-a-service market in the near future. For instance, NetApp, a provider of cloud security services, is providing multi-tenant services with its partners Vmware and Cisco Inc. to various sectors namely healthcare, government, and other businesses for storage, server, data sharing, and networking hardware.
Increasing demand for integrated data protection and solutions among SMEs is expected to present lucrative growth opportunity
Small- and mid-sized enterprises have started progressively implementing SaaS solutions in the recent past. Integrated data protection and solutions provide various services including complete backup, deduplication, replication, recovery, instant access, and restoration. Such services deliver powerful data protection capabilities and thus are being increasingly adopted by SMEs. Furthermore, adoption of integrated data protection minimizes additional expenditure on operations, which proves to be essential for SMEs, considering their limited overall budget. Hence, increasing demand for integrated data protection and solutions among SMEs is expected to present major growth opportunities in the near future.
Easy accessibility of SaaS solutions is expected to restrain growth of the global security-as-a-service market over the forecast period
Security as a service is accessible over the internet and is mainly used for securing cloud-based applications. Continuous usage of internet increases the probability of cyber-attacks and easy data hacking. As a result of this, organizations are keen to use Internet-based security solutions to expose Internet firewall management tools to the Internet. Moreover, its verification should include adequate level of protection with stringent and multifactor security options. The companies need to understand and then identify DoS attacks though it is relatively challenging to identify such attacks via SaaS solutions. Cyber criminals can have unauthorized access these services and make damaging modifications to these services to prevent organizations from managing such services. Thus, easy accessibility of SaaS solutions is expected to hinder the global security-as-a-service market growth in the near future.
High demand for email security on the cloud
In North America, email security is the primary requirement among organizations and individuals. Growing acceptance of bring your own device (BOYD) culture, employees prefer using their own devices to access business emails outside the organizations. Security as a service solution aids the enterprises in filtering emails carrying viruses on networks before these emails reach devices or the internal network of the organization. It also reduces network traffic and improving efficiency of email information. Furthermore, security as a service aids in simplifying email security tools by transferring them into single cloud service. For instance, in North America, especially the U.S. users are progressively adopting security as a service solution at a faster rate, in order to enhance email security.
Low awareness among enterprises regarding SaaS solutions
Organizations in various sectors in Latin America are gradually moving towards adoption of security as a service. This is owing to lack of awareness of problems and increasing risk of cyber-attacks. SaaS solutions providers in the region are offering updated and advanced solutions though there is lack of prompt response from organizations to ever-growing cyber threat. Moreover, many small and private companies do not focus on their network security or cloud-based data security as implementation of security services increases their operational costs. Hence, in Latin America currently, lack of knowledge and awareness about the usage of security as a service is creating risks of a large number of cyber-attacks. For instance, in 2012, in Mexico, the authorities registered a 40% increase in the number of cyber incidents in 2012, most of which were due to hacktivist attacks.
Key players involved in the global security-as-a-service market are Proofpoint Inc., Okta, Inc., Gemalto NV, Qualys, Inc., Intel Security, Zscaler, Inc., Cisco Systems Inc., Alert Logic, Inc., Oracle Corporation, and Trend Micro Inc.
Coherent Market Insights is a prominent market research and consulting firm offering action-ready syndicated research reports, custom market analysis, consulting services, and competitive analysis through various recommendations related to emerging market trends, technologies, and potential absolute dollar opportunity.