Managed Security Services Market (Updated Version Available)

Key Market Overview:

Managed Security Services market size garnered over USD 27.4 Billion in 2022 and is projected to reach around USD 78.4 Billion by 2030, growing at a CAGR of 12.4% during the forecast period (2022-2030).

Managed security service providers (MSSPs) are the services that address multiple business-critical concerns faced by organizations in terms of cybersecurity. A security service provider offers assistance to these enterprises via features such as the creation and deployment of complex security infrastructure, management of tools and platforms, executing the incident response, and offering uninterrupted security monitoring 365 days a year.

Enterprises located on a global level have started the large adoption of such managed security services for the benefits such as real-time security monitoring, the controlled overseeing of patch upgrades and management, relevant security audits and assessments, and others. Thus, the increased demand for security services especially among large business enterprises is projected to bolster the market presence during the forecast period.

Furthermore, the rising emphasis on cloud technology adoption along with the augmented demand for IoT devices poses the need for robust security infrastructure or services. Several business enterprises adopt such services due to the low-cost, pay-per-use model and comprehensive access to security patches. Thus, the growing importance of cybersecurity coupled with the reliability of data and infrastructure facilitates the adoption of managed security services among cloud computing and IoT devices in multiple end-use industries for improved resource management.

Report Attributes	Report Details
Study Timeline	2018-2030
Market Size in 2030 (USD Billion)	78.4 Billion
CAGR (2022-2030)	12.4%
By Deployment	On-premise, and Cloud
By Organization	Large Enterprises, Small & Medium-Sized Enterprises
By Application	Managed IAM, Distributed Denial of Services (DDoS), Vulnerability Management, Managed IDS/IPS, Managed Firewall, Endpoint Security, Managed Detection and Response, Managed SIEM, Unified Threat Management, and Others
By End Use	BFSI, Government and Public Sector, Healthcare, IT and Telecom, Retail & E-commerce, Manufacturing, and Others
By Geography	Asia-Pacific [China, Southeast Asia, India, Japan, Korea, Western Asia] Europe [Germany, UK, France, Italy, Russia, Spain, Netherlands, Turkey, Switzerland] North America [United States, Canada, Mexico] Middle East & Africa [GCC, North Africa, South Africa] South America [Brazil, Argentina, Columbia, Chile, Peru]
Key Players	IBM Corporation, Fortinet, Dell SecureWorks, Deloitte, Rapid 7, BT Group, DXC Technology Company, Accenture, Verizon Communications, CenturyLink, Check point Software Technologies Ltd., Broadcom-Symantec Corporation, Wipro, HP Enterprises, Cisco Systems Inc., AT&T, Trustwave, and Hewlett Packard Enterprise Development LP

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Market Dynamics:

Driver:

The increased complexity of the latest cyber security systems requires enhanced adoption of planned security policies along with incident response planning and recovery strategies. Thus, the growing adoption of security services among businesses propels market growth during the forecast period. Moreover, the enhanced adoption of trends such as Bring Your Own Device (BYOD) and Choose Your Own Device (CYOD) at organizations accelerates the demand for security services due to the increased emphasis on cybersecurity threats and device vulnerability to cyber criminals.

Restraint:

The lack of in-house resources and continuous need for security management hampers the market growth in terms of ineffective management of security monitoring outside business hours. Furthermore, the MSSPs assist with security log monitoring services only and do not extend to a deeper level of security incident investigations. Thus, the unprecedented false positives and lack of integration among security tools restrict the market growth during the forecast period.

Opportunity:

The scope of enhancement for cost-effective and robust security services is anticipated to pose lucrative opportunities for market growth in terms of large adoption among business enterprises. Additionally, endpoint security in healthcare is expected to provide creative opportunities in terms of data protection, prevention of unauthorized system modifications, and reduced risks of dangerous malware introduction.

COVID-19 Impact:-

The COVID-19 pandemic created opportunities for augmented demand in the managed security services market due to surging trends like work-from-home, BYOD, and others. The remote working operations among business enterprises due to the lockdown impositions by governing authorities resulted in increased usage of such security services like firewalls and threat management in digital infrastructures. A drastic shift has been observed in conventional working models as the majority of businesses allowed employees access to a cloud network for the work processes. This created the need for safe and secure digital platforms to access business information and also prevent any data theft issues from cyber intruders. Post COVID-19, the usage of managed security services witnessed the continued demand from enterprises for reduced risks of cyberattacks. Thus, the overall adoption of in-house IT security accelerated the market growth for security governance of administrative tasks.

Microencapsulation Market Segmentation:



By Deployment

The deployment segment is bifurcated into on-premise, and cloud. The cloud segment accounted for the major share contribution to the managed security services market during the forecast period. Cloud security solutions offer easy compatibility with the existing operational teams and business processes. Thus, cloud-based safety solutions are largely adopted for the features such as application governance, encryption, and malware detection and prevention. Furthermore, on-premise security is also primarily deployed in several business organizations. Such deployment requires a dedicated server and specialists for controlled management of the overall security systems. Thus, the enterprises that require complete control over the company data exchange and network systems opt for such on-premise deployment of security monitoring and management.

By Organization

The organization is segmented into large enterprises, and small & medium-sized enterprises. Large enterprises are anticipated to support market growth in terms of volume. The major function of these managed security services is to provide a precise internal and external scan across multiple IT network assets. Thus, large enterprises require continuous scans of huge server hosts, databases, and hosts via structured and distributed security deployment. Additionally, small & medium-sized enterprises (MSMEs) are also projected to contribute a significant market share during the forecast period. Multiple MSMEs highly rely on preventive security measures to lower the operational costs of the business and reduce the overall risks of data theft or cyberattacks. Thus, these enterprises opt for inclusive security measures for the safety and security of properties, assets, clients, and employees.

By Application

The application segment is separated into managed IAM, distributed denial of services (DDoS), vulnerability management, managed IDS/IPS, managed firewall, endpoint security, managed detection and response, managed SIEM, unified threat management, and others. The managed firewall is estimated to contribute the largest share to the market growth during the forecast period. The firewall offers features such as anti-virus technology, web content filtering, and regular reporting on network threats, usage, website access, and others. Thus, enterprises highly rely on managed firewalls for gaining access to detailed reports about cyber security measures. Also, endpoint security is adopted by businesses to provide comprehensive protection from any kind of sophisticated malware via vulnerability detection. Thus, the high usage of AI threat intelligence, VPN, and ZTNA functionality supports the favorable adoption of endpoint security.

By End Use

The end-user segment is divided into the Banking and Financial sector (BFSI), government and public sector, healthcare, IT and telecom, retail & e-commerce, manufacturing, and others. The BFSI and IT and telecom are expected to support the augmented market statistics during the forecast period. Banks and IT firms have access to sensitive consumer records that are highly prone to cyberattacks and data thefts. Thus, the surging numbers of network attacks and data breaches in terms of cash transactions require the vital implementation of such managed security solutions. Additionally, the Banking sector also relies on security services to reduce the risks of sabotages like DDoS attacks and data breaches. Thus, the augmented adoption of security services for immediate incident response and early resolution during the security breach supports the segment growth during the forecast period.

By Region

By Region
The regional segment comprises of Europe, North America, Asia Pacific, Latin America, the Middle East, and Africa. In the context of the region, North America is anticipated to contribute a major share to the growing market trends. The large presence of MSSPs and favorable consumer awareness in terms of cybersecurity support the surged adoption of such security services in end-use industries like healthcare, public institutions, and the IT sector in the North American region.



Additionally, Asia Pacific is also projected to provide lucrative growth opportunities for the expansion of market presence across the region. The scope of introducing elements such as cloud computing, IoT, and other advanced operational technologies in developing countries such as Brazil and Mexico is estimated to propel the market demand. The emerging business facilities and surging risks of cyberattacks on vulnerable consumer data results in the high usage of security services.

Managed Security Services Market Competitive Landscape:

The market research report published on the managed security services market offers an analysis of the in-depth market trends, key development strategies, and other crucial factors that affect the recent market position. The market has attracted major audiences comprising research and development areas, technology investors, system integrators, and other crucial firms in terms of security services. Thus, the market players gain an opportunity to implement business strategies and relevant product innovations to gain a competitive edge over other rival firms. Following are the key industry players that comprise the latest market concentration–

• IBM Corporation
• Fortinet
• Dell SecureWorks
• Deloitte
• Rapid 7
• BT Group
• DXC Technology Company
• Accenture
• Verizon Communications
• CenturyLink
• Check point Software Technologies Ltd.
• Broadcom-Symantec Corporation
• Wipro
• HP Enterprises
• Cisco Systems Inc.
• AT&T
• Trustwave
• Hewlett Packard Enterprise Development LP