The global cybersecurity market is expected to more than triple to $657 billion by 2030, from $197 billion in 2021, according to a new report from Next Move Strategy Consulting.
According to analysts, the market is expected to grow at a compound annual growth rate (CAGR) of 12.8% from 2022 to 2030. Three major drivers propel the market forward.
- Increase in Phishing and Malware Attacking Businesses
- Internet of Things, Artificial Intelligence, Increased Adoption of Employees Using Their Own Devices in Remote Settings
- Overall increase in number of cyberattacks worldwide
North America is expected to hold the highest cybersecurity market share in 2021 and dominate the market throughout the forecast period, according to Next Move.
Where is the cybersecurity market headed?
Research and Markets is more conservative about cybersecurity market growth than Next Move. The global cybersecurity market is projected to reach $300 billion by 2027, growing at a compound annual growth rate (CAGR). That’s just over 11% over his 2019-2027 forecast period, says a new report from Research and Markets.
According to analysts, the strong growth of the market is due to the following reasons:
- Growing demands for network security and privacy
- Growing Adoption of Cloud Computing
- Growing Need for Digital Transformation in Telecom Industry
- Frequency of cyberattacks
- Strengthening of regulations on information security
Malware drives the market
According to Next Move, sophisticated malware has greatly increased the potential for cybercriminals to infiltrate, take over and damage entire IT networks, which is driving the growth of the cybersecurity insurance market. On the other hand, the high cost of cybersecurity insurance is restraining the market growth. Still, according to researchers, as the cybersecurity market grows, so will the cybersecurity insurance market.
Recent studies predict that this segment will reach $32.6 billion by 2028, growing at a compound annual growth rate (CAGR) of 18.8% through 2028, according to Research and Markets.
Of that figure, approximately two-thirds will be generated by solutions by 2028, with the remainder generated by services. Overall, demand for cybersecurity insurance by service organizations has grown faster than demand for solutions since 2019. In 2019, the market size reached $6 billion.