Spending on security offerings in Asia Pacific is expected to reach US$54.1 billion by 2023, driven by increased adoption at enterprise level.
According to GlobalData findings, the regional market is forecast to expand at a compound annual growth rate (CAGR) of 9.5 per cent during the next four years, spanning all industry sectors.
The increase in spending centres around an enterprise desire to strengthen security positioning in a market impacted by “targeted malware, customer data theft and lack of skilled personals in the security domain”.
“The increasing adoption of connected devices ecosystem, the impending introduction of 5G, inclination of enterprises towards cloud migration and formulation of cyber security policies by countries such as Australia and Singapore will be the key growth accelerators for security spending in the region,” said Sunil Kumar Verma, analyst at GlobalData.
Specific to technology, Verma said security software and services will account for 80 per cent of the overall spending, driven largely in part by enterprise organisations enhancing cyber response capabilities.
Of note to the channel, managed security services, identity and access management and endpoint security platforms will represent the largest three spending areas across the region.
“Reducing security complexity and improving return on investment along with the alignment to their strategic IT initiatives will be the key focus areas for the enterprises,” Verma added. “Along with these, the vendors’ expertise over native capabilities on top of the existing infrastructure offerings (cloud or device database), will also be key in driving the overall security spending in the region.”
As reported by Channel Asia, customer adoption of managed security services is expected to rise exponentially across Asia Pacific during the next four years, driven by demand in Australia, New Zealand and Singapore.
According to GlobalData findings, the market of data and security management is expected to reach US$20.2 billion in Asia Pacific by 2023 as enterprise focus on protecting critical data assets heightens.
From a geographical standpoint, the countries forecast to lead the charge are Australia, New Zealand and Singapore, alongside Japan and South Korea.
During the forecast period, Australia, China and Japan are estimated to become the largest managed security services hotspots in the region, accounting for nearly two-thirds of the overall market by 2023.