TelecomTV
  • News
  • Videos
  • Channels
  • Events
  • Directory
  • Webcasts
  • Surveys
  • Debates
  • Perspectives
  • More
  • Directory
  • Webcasts
  • Surveys
  • Debates
  • Perspectives
  • Follow TelecomTV
  • About
  • Help
  • Contact
  • Follow TelecomTV
  • About
  • Help
  • Contact
  • Sign In Register Subscribe
    • Subscribe
    • Sign In
    • Register
  • Search

Tracker

TelecomTV TRACKER

Sourced by TelecomTV's TRACKER platform
from IDC

Tracker

Worldwide revenue for security technology forecast to surpass $100 billion in 2020, according to the new IDC Worldwide Semiannual Security Spending Guide

Via IDC

Oct 12, 2016

FRAMINGHAM, Mass., October 12, 2016 – The first Worldwide Semiannual Security Spending Guide from International Data Corporation (IDC) forecasts worldwide revenues for security-related hardware, software, and services will grow from $73.7 billion in 2016 to $101.6 billion in 2020. This represents a compound annual growth rate (CAGR) of 8.3%, more than twice the rate of overall IT spending growth, over the five-year forecast period. The new spending guide expands on IDC's previous security forecasts by offering greater detail on spending by geography, industry, and technology.

"Today's security climate is such that enterprises fear becoming victims of the next major cyberattack or cyber extortion," said Sean Pike, program vice president, Security Products. "As a result, security has become heavily scrutinized by boards of directors demanding that security budgets are used wisely and solutions operate at peak efficiency."

The industries making the largest investments in security solutions in 2016 will be banking ($8.6 billion), followed by discrete manufacturing, federal/central government, and process manufacturing. These four industries will deliver 37% of worldwide security revenues this year and will remain the largest industries in terms of total spending throughout the five year forecast. The industries that will see the fastest growth in their security investments will be healthcare (10.3% CAGR), followed by telecommunications, utilities, state/local government, and securities and investment services. Each of these industries will experience CAGRs above 9.0% over the forecast period.

The largest category of investment will be security-related services, which will account for nearly 45% of all security spending worldwide in 2016. The largest segment, managed security services, is forecast to generate revenues of $13 billion this year. Security software will be the second largest category in 2016, with endpoint security, identity and access management, and security and vulnerability management software driving more than 75% of the category's revenues. Finally, security hardware revenues will reach $14.0 billion in 2016, led by purchases of unified threat management systems. One of the fastest growing segments of the security products market will be user behavior analytics software with a CAGR of 12.2%.

Figure 1

Managed security services will generally be the largest segment of spending among the industries making the largest security investments. Identity and access management software and unified threat management hardware will typically receive the greatest share of revenues in each of these categories.

"The pace and threat of security attacks is increasing every year, especially across compliance-driven industries like healthcare, telecom, government and financial services," said Eileen Smith, program director, Customer Insights and Analysis. "In addition to the traditional challenges of risk and regulatory compliance, digital transformation and the use of 3rd Platform technologies are putting even more pressure on organizations across all industries to develop and execute on a new generation of security measures."

From a geographic perspective, the United States will be the largest market for security products throughout the forecast. In 2016, the U.S. is forecast to see $31.5 billion in security-related investments. Western Europe will be the second largest market with revenues of nearly $19.5 billion this year, followed by the Asia/Pacfic (excluding Japan) region. Asia/Pacfic (excluding Japan) will also be the fastest growing region with a CAGR of 13.8% over the 2016-2020 forecast period, followed by the Middle East & Africa (MEA) and Western Europe.

The Worldwide Semiannual Security Spending Guide quantifies the global revenue opportunity for both core and next-generation security purchases. The guide offers detailed forecast data for security spending by 20 industries across eight regions and 53 countries. Unlike any other research in the industry, the comprehensive spending guide was designed to help IT decision makers to clearly understand the industry-specific scope and direction of security-related spending today and over the next five years.

Related Topics
  • Enterprise,
  • IDC,
  • News,
  • North America,
  • Research and Trials,
  • Security,
  • Tracker

More Like This

5G

Vodafone Italia and Telecom Italia intend to enter into a new network sharing partnership

Feb 21, 2019

5G

Verizon outlines 5G-era growth strategy

Feb 21, 2019

5G

Open Source for 5G strives to increase interoperability, reduce cost and establish broader business ecosystems

Feb 21, 2019

5G

AT&T unlocks the power of Edge Computing: Delivering interactive VR over 5G

Feb 21, 2019

Cellular IoT

AT&T, OneLife Technologies announce the first LTE-M certified medical and health data wearable

Feb 21, 2019

This content extract was originally sourced from an external website (IDC) and is the copyright of the external website owner. TelecomTV is not responsible for the content of external websites. Legal Notices

Email Newsletters

Stay up to date with the latest industry developments: sign up to receive TelecomTV's top news and videos plus exclusive subscriber-only content direct to your inbox – including our daily news briefing and weekly wrap.

Subscribe

Top Picks

Highlights of our content from across TelecomTV today

Debate 4: Analytics, Machine Learning and the Edge

1:06

Guide to TIP: Edge Computing

5:09

Lumina Networks: Tying the old to the new with SDN

3:15

The Route from CSP to DSP is Open

  • TelecomTV
  • Decisive Media

TelecomTV is produced by the team at Decisive Media

Menu
  • News
  • Videos
  • Channels
  • Directory
  • Webcasts
 
  • Surveys
  • Debates
  • Perspectives
  • Events
  • About Us
Our Brands
  • TelecomTV Tracker
  • TelecomTV Perspectives
  • DSP Leaders Forum
  • Open Service Provider
  • The Great Telco Debate
Get In Touch
info@telecomtv.com
+44 (0) 207 448 1070

Request a Media Pack

Follow
  • © Decisive Media Limited 2019. All rights reserved. All brands and products are the trademarks of their respective holder(s).
  • Legal Notices