Market Dynamics
Global Cyber Situational Analysis Market Drivers
Increasing Demand for IoT and BYOD Devices
IoT and BYOD are relatively new technologies due to wireless communications and mobile computing developments. These technological advancements have seen a rise in adoption rates over the past four to five years. About one-quarter of all cellular Internet of Things connections are made through China's telecommunications carriers. China Telecom, China Unicom, and China Mobile are global market leaders for cellular IoT connections. Since these technologies use wireless networks, cybercrime and data loss are more excellent. BYOD usage in organizations increases data loss risk. Lost devices are the most considerable BYOD security risk. The widespread use of these gadgets and technologies has increased the need for cyber assessment, driving market growth.
Growing Popularity of Electronic Data Interchange (EDI)
Electronic data is a large part of the current business model due to its cost-effectiveness, processing speed, and ease of storing large amounts of data. Manufacturing, healthcare, retail, and education increasingly use electronic media for data storage and transfer. Electronic data interchange (EDI) is gaining popularity alongside electronic data storage. Need to increase business efficiency drives EDI adoption. Exchanging or storing information electronically leaves it susceptible to attack. The healthcare industry can reduce this by rapidly adopting EHRs (Electronic Health Records). When dealing with sensitive patient information, hospitals must ensure that no unauthorized parties access computerized records. Demand for cyber situational awareness systems has increased due to this pattern.
Global Cyber Situational Analysis Market Restraints
Increasing Reluctance while Share Sensitive Information
For many organizations, data has become a vital resource, with applications in effective decision-making, efficient data access, data mining, and sharing. Numerous industries, including financial, retail, telecom and IT, government, and manufacturing, have sizable data repositories constantly being updated. Data and information have to be shielded from malicious attacks and unauthorized access. Organizations are being encouraged by the growing significance of big data to draw significant conclusions from vast amounts of historical data. Thus, all businesses can benefit significantly from this data. Therefore, as cyber threats have increased, businesses and users have adopted adequate security infrastructure to guard against data outsourcing and comply with strict government regulations. In this situation, users will likely choose on-premise or physical storage solutions, which would restrain the market's expansion.
Global Cyber Situational Analysis Market Opportunities
E-commerce will Improve Cyber Situational Awareness
The smartphone adoption rate has peaked globally and is predicted to decline, leading to a two-fold increase in growth during the forecast period. The integration of optical fibers and high-end wireless connectivity, as well as other network technology advancements, have made it easier for regular users to access the internet. The simultaneous use of smartphones and the internet has raised e-demand commerce and given the sector a market value of USD 1 trillion. Additionally, almost all e-commerce activities require secure platforms and appropriate transaction validation. The handling of such highly confidential data increases the need for careful examination of the network and related infrastructure, opening up lucrative market opportunities.
Regional Analysis
The global cyber situational analysis market is bifurcated into four regions, namely North America, Europe, Asia-Pacific, and LAMEA.
North America Dominates the Global Market
North America is the most significant revenue contributor and is expected to grow at a CAGR of 20.4% during the forecast period. Major countries included in the region are the U.S. and Canada. The risk of cyber threats within the area has increased due to increased technology spending and the massive integration of cutting-edge digital systems in almost every sector. An essential factor promoting this transition is the rising popularity of cloud computing. Sales, marketing, and customer service departments' increasing demand for cloud-based CRM and ERP solutions significantly contribute to the overall situation.
Asia-Pacific is expected to grow at a CAGR of 25.8%, generating USD 105,634.03 million during the forecast period. Around 40–45% of the world's data centers are located in Asia–Pacific, which is predicted to surpass the United States in the following two years. More and more businesses are heavily relying on cloud services because they provide convenient opportunities for relocation. However, this makes users a more appealing target for online criminals. More significant data breaches occurred in 2021 due to insufficient data protection and the inevitable growth of cloud-based threats. China, India, Japan, Indonesia, Thailand, Malaysia, the Philippines, Australia, Singapore, Sri Lanka, Bangladesh, New Zealand, and the rest of Asia Pacific are among the powerful nations analyzed in the market (South Korea, Taiwan, and Pakistan).
Brazil, Mexico, Colombia, Oman, the United Arab Emirates, Saudi Arabia, South Africa, Qatar, and the rest of LAMEA are the principal nations examined in the cyber situational analysis market. The increase in technological investments in the area, from automotive to medical technology, has created a massive opportunity for the cyber situational awareness market. Security solutions are now required due to the increased use of intelligent solution technology, particularly by government authorities in Qatar, Bahrain, and the UAE. The Middle East is experiencing an exponential increase in internet adoption compared to other regions.
Segmental Analysis
The global cyber situational analysis market is segmented by component, solution type, deployment model, organization size, and industry vertical.
Based on the component, the global cyber situational analysis is bifurcated into solutions and services.
The solution segment owns the largest market share and is expected to grow at a CAGR of 21.8% during the forecast period. The working behavior of the infrastructure, including its visualization and comprehension of the current IT infrastructure, as well as its defensive behavior, serves as the primary definition of cyber situational awareness. Cyber situational awareness also performs other crucial tasks like monitoring the IT infrastructure's operations, analyzing critical parts of the IT infrastructure, spotting essential malicious activity, and responding appropriately. Threat intelligence is not complete without cyber situational awareness, which enables quick and informed decisions in emergencies.
Based on the solution type, the global cyber situational analysis is bifurcated into network forensics, network traffic analysis, DNS threat analysis, network detection and response, network performance monitoring and diagnosis, intrusion detection system, and intrusion prevention system.
The network forensics segment is the highest contributor and is expected to grow at a CAGR of 12.2% during the forecast period. Network forensics mainly deals with a thorough analysis of network architecture, starting with capturing, recording, and looking at network events to find the origin of attacks or security loopholes within a network. The main applications of this technology include hacking, fraud, insurance firms, data theft, industrial espionage, defamation, trafficking in illegal substances, credit card cloning, software piracy, and electoral law. The leading solutions that come into play in network forensics are firewalls, analytics, log management tools, and packet analysis. An in-depth forensics investigation of suspected malicious network security incidents can be quickly and efficiently carried out using IBM's QRadar product, which offers a detailed track path of a potential attacker.
Based on the deployment model, the global cyber situational awareness market is bifurcated into on-premise and cloud.
The on-premise segment owns the highest market share and is expected to grow at a CAGR of 21.0% during the forecast period. In contrast to placing systems at a remote location, like a server room or cloud, the on-premise deployment model for cyber security allows for the installation of software and will enable applications to run on systems that are already on the premises of an organization. These software programs have more advanced security features, encouraging large financial institutions and businesses to use them. In this case, a provider owns the necessary hardware, like phone and cable modems, and offers security services without getting involved in day-to-day management. Companies are generally reluctant to move these privatized data from an on-premises deployment to the cloud, which fuels market expansion in the U.S. and Europe.
Applications are licensed and delivered using the cloud, and functions and related queries are handled remotely. By utilizing this software, businesses can avoid committing to costly IT resources, wait months for deployment, or make significant upfront hardware investments. Two important factors that encourage the adoption of this model are cost-effectiveness and the availability of prompt services. In the future, it is anticipated that this deployment model will grow significantly and surpass the on-premise deployment model.
Based on organization size, the global cyber situational awareness market is bifurcated into large enterprises and small and medium-sized enterprises.
The most significant market contributor, the large enterprise segment, is expected to grow at a CAGR of 22.1% over the forecast period. Companies with more than 1,000 employees are considered large enterprises. These businesses collect enormous amounts of private data. The need for efficient cyber situational awareness systems has increased due to the significant threat of attacks against these large businesses. Large businesses are concentrating more on data security due to the recent rise in cyberattacks and the complexity of threats.
Additionally, a sharp rise in public awareness of IT security has made it easier for these companies to contract security services to outside parties. Further, big data and other emerging technologies are forcing these companies to build a resilient infrastructure to defend against the rise of cyberattacks. The adoption of the cyber situational awareness market is driven by this scenario, which forces these businesses to concentrate on high-performance and comprehensive security infrastructure rather than cost and resource considerations.
Based on industry verticals, the global cyber situational awareness market is bifurcated into military and defense, healthcare, aerospace, marine security, automotive, mining, oil and gas, IT and telecom, government agencies, BFSI, and energy and utilities.
The BFSI segment contributed the most to the market and is expected to grow at a CAGR of 22.6% during the forecast period. Retail, private, corporate, and investment banking service providers, NBFCs (non-banking financial companies), mutual funds, pension funds, insurance service providers, and other smaller financial entities are all included in the BFSI industry vertical. Cyber attackers target the banking and finance sector the most, which causes significant economic losses for nations. System protection and security management have become more critical due to the adoption of advanced technologies to handle large volumes of data. With greater integration of technology, the financial services industry is observing a striking shift in the service model, which fuels an increase in technology-related fraud.
Top Key Players
Cyware
Firemon Llc.
Honeywell Technologies
IBM Corporation
Marklogic Corporation
Palantir Technology Inc.
Palo Alto Networks
SAS Institute Inc.
Verint System Inc.
Others
