Increasing number of cyber-attacks would further boost the growth of the cloud security market in the future

The global cloud security market is estimated to be US$34.8 Billion in 2021 and is expected to reach US$67.6 Billion by 2026, growing at a CAGR of 14.2%. The major factors such as cyber-attacks, data leaks, increased government regulations to improve cybersecurity, due to increased digital transactions there is an increase in the number of cybercrime attacks worldwide, data stored on cloud servers are more susceptible to cyberattacks, which will boost the market growth during the forecasted period.

An increasing number of cyber-attacks due to an upsurge in digitalization is one of the driving factors of the cloud security market. Cyber-attacks have increased rapidly, thereby, resulting in a strong need for cloud security services. The number of data theft cases has exponentially increased in the last five years, owing to the increased generation of digital content and lack of security to protect financial and corporate data. BFSI, followed by IT, telecom and retail, are the most targeted industries. Therefore, the burgeoning number of cyber-attacks and data breach cases would boost the growth of the market in the future.

Organizations are deploying various cloud-based applications on their endpoints, resulting in the growth of high-profile attacks on applications. To secure the web and on-premises applications, organizations are continuously deploying cloud-based application security solutions. Thus, the application security type is expected to grow at the highest CAGR during the forecast period.

The cloud-based managed security services are expected to witness increased adoption in the market, due to their ability to customize the set of services as per requirement. The concept of managed security service offers protection against intruders and cyber-attacks and includes next-generation firewall, content filtering, managed two-factor authentication, and even security consultancy. This is expected to provide ample opportunities for market players.

The market is largely driven by product launch strategy. The increasing adoption of cloud-based services and their diverse use across varying industries such as healthcare, BFSI, IT and telecom, government and retail has contributed to the growth of the cloud security market.