Security analytics market forecast to exceed $7 billion by 2020 despite cybersecurity labor shortage
- International Data Corporation (IDC ) sees the big data technology and services market growing at a compound annual growth rate (CAGR) of 23.1 percent through the next four years, with annual spending reaching $48.6 billion in 2019. Big data analytics tools will be the first line of defense, combining machine learning, text mining and ontology modeling to provide holistic and integrated security threat prediction, detection, and deterrence and prevention programs, according to recent predictions by The International Institute of Analytics (IIA).
- The security analytics market size is estimated to grow from USD $2.1 Billion in 2015 to USD $7.1 Billion by 2020, at a CAGR of 27.6 percent from 2015 to 2020, according to a recent report from Markets and Markets. The government and defense vertical is expected to hold the largest market share of the security analytics market. Verticals such as BFSI, healthcare, and retail will be the key growing verticals during the forecast period.
- The security analytics market is expected to grow significantly in the North American region due to the increasing number of security breaches, continued line of sophisticated attacks, and the existence of obsolete cyber defense systems in organizations, according to a report from MicroMarketMonitor. The report states that vendors in the security analytics market are constantly innovating and remodeling their existing architecture to develop better and more secure systems.
- By 2016, 25 percent of large global companies will have adopted big data analytics for at least one security or fraud detection use case, according to Gartner.
- Anton Chuvakin, Research Vice President with Gartner, recently stated “As many organizations continue to struggle with utilizing traditional security tools… the expectation that they will magically adopt security analytics approaches as well as big data technologies is questionable at best — the emerging tools make some tasks easier, but come with their own skill requirements“.
- “A big challenge in the cybersecurity analytics space is sifting through all the vendor hype to find the right tool… since each company has its own unique needs and the market is crowding with new entrants ranging from major tech vendors to startups flush with lots of VC cash to power their marketing spin” says Steve Morgan, Editor-In-Chief at Cybersecurity Ventures and the Cybersecurity Market Report. “An even bigger challenge is finding security practitioners who have real-world big data analytics experience in the context of combating cyber-threats. There’s a small universe of cyber-pilots who have seen active duty in this space”.
- The cybersecurity labor shortage may be the biggest barrier to security analytics adoption. The SANS Institute 2015 Analytics and Intelligence Survey states that most organizations are struggling mightily with finding the right skill sets to properly operate and maintain a security analytics platform for detection and response. In fact, this was overwhelmingly cited as the top impediment to discovering and following up on attacks today. Finding these skill sets in today’s marketplace is difficult due to incredibly high demand for top talent that understands SIEM and correlation, forensics, event management and now, with analytics in the mix, pattern analysis across large diverse datasets.
- Cisco has become a major player in the security analytics space with their recent acquisition of Lancope(Alpharetta, Ga.), No. 2 on the Cybersecurity 500 list of the world’s hottest and most innovative cybersecurity companies and a leading provider of network visibility and security intelligence. Through a successful partnership between the companies, Lancope has been part of Cisco’s security solution for many years and now they are coming together as one entity. The combined solutions secure customers’ resources and critical assets by using their network as a sensor — providing enhanced visibility, context, and control over threats.
- Cybersecurity Ventures predicts that large tech vendors will continue acquiring their way into the security analytics market, much the way they have in other security sectors. IBM, Microsoft, and Cisco have entered the market that way, and the trend is expected to continue as the security analytics revenue opportunity grows.