The cybersecurity market is booming. All thanks to substantial demand for highly sophisticated cyber defence and digital safety resources. The demand has resulted in massive growth in this sector. Which is now expected to grow from USD 152.71 billion to USD 248.26 billion by 2023 at a growth rate of 10.2% year on year.
They say war drives innovation – and this is as true today for companies large and small alike. Except now, the war is fought online. There’s no denying that the global arms race has officially kicked off. And increasingly frequent and advanced cyber terrorism drives innovation in this area.
Cybercriminals are pooling together and forming organised attacks. All while accessible network attack surfaces expand daily. So there’s a rising need for better cybersecurity solutions in both the public and private sectors.
Yet supply is struggling to keep up due to the lack of a large enough skilled labor force. Resulting in high demand for more sophisticated preventive methods. And people who have the right skills and resources. These services are extremely valuable and sought after as companies continue to fight to acquire the best security software and service providers.
Listed below are four areas of cybersecurity that offer lucrative investment opportunities as they continue to gain momentum.
Bespoke Security Solutions
Data breaches have become a massive predicament for businesses. Plenty of news coverage and stricter regulations have added to this reputational headache. Over 1244 data breaches were recorded in the US alone in 2018. Unfortunately, as concerning as that is, this problem isn’t going away anytime soon.
Which is why security companies have switched strategy. They went from generalised protection methods to focusing on specific strategies tailored for each client. Instead of installing an overlay of standard protection systems, these companies are looking at specific solutions for the attack types a client is likely to face.
The demand for companies that can handle bespoke security solutions is driving premium rates and steep acquisition prices.
Taking Over With AI and Machine Learning
Artificial intelligence still has a long way to go before it becomes an autonomous resource. But for now, great strides in machine learning has assured its place as a focal point in the future of cybersecurity.
There’s been plenty of speculation and talks about the role that AI will play in the future of digital sectors, including in cybersecurity. Right now, growing concerns of data protection and wide adoption of the IoT is fuelling the need for AI-based security solutions.
The technology is already making headway in attack identification and risk analysis. And it’s filling a gap in the market for cloud-based security. Culminating in an expensive but bankable venture at a projected market value of USD 38.2 billion by 2026.
Large-Scale VPN Adoption
The VPN market is one of cybersecurity’s fastest growing sectors, with the adoption of VPN technology quickly picking up all over the world. VPNs are especially popular among the growing remote workforce. It’s also popular with travellers who want to access their accounts while overseas. As well as among those who use public WiFi or live in countries that have strict online regulation laws.
This overwhelming need for anonymity and protection has created the perfect environment for exponential growth. However, finding the best VPN company to invest in can be problematic. There are plenty of inexperienced newcomers entering the market.
Still, this is a rather low-risk area for those looking to invest in cybersecurity. All thanks to recent changes, including anti-privacy bills and an increase in surveillance tactics.
Biometric Authentication Methods
Passwords might have been all the rage 20 years ago, but they aren’t the most secure form of authentication anymore. In fact, weak and compromised passwords are one of the leading causes of data breaches. But biometrics are much harder to crack and are steadily taking precedence over other authentication methods.
While adoption is still slow under individual users, companies realise the benefits of biometrics in cybersecurity. Biometric solutions are becoming a preferred go-to for large companies who wish to safeguard their assets. Big names like Apple have already invested large sums into this area.
This is the perfect time to invest in cybersecurity as the demand is high and growing. Especially under small to medium businesses who have become aware of the need to bolster their security but lack in-house resources. Supply is still struggling to catch up, but it won’t stay that way forever. This is one of the fastest growing market sectors in the world, and it’s time to cash-in now.