Cybersecurity Spending Poised to Rise in 2018
The quest for digital transformation coupled with an array of new regulatory concerns and cyberattacks is driving enterprises to invest in cybersecurity. According to Report Cybersecurity to hit $90 Billion in 2018. Several cybersecurity companies—Check Point Software Technologies (CHKP), Palo Alto Networks (PANW), Fortinet (FTNT), Qualys (QLYS), Proofpoint (PFPT), and FireEye (FEYE)—are well-positioned in a market expected to grow 19% to $90 billion this year, a new market research report says.
GBH Insights gauged cybersecurity spending on software and services protecting enterprises and governments worldwide over the next 12 to 18 months. "Based on analysis and survey work, It’s believe the top areas of security spending over the next year will be around cloud security, next generation firewall technology, email security, cyberasset and threat vulnerability, and identity access management," GBH analyst Daniel Ives said in the report.
A computing landscape fraught with breaches, a majority of which go unreported, has created a climate for a spike in spending, GBH says, citing incidents at Intel (INTC) and Equifax (EFX) as two of the more egregious examples. Cyberthreats to enterprise and government networks have intensified as more organizations move proprietary data to the cloud with an ever-growing mobile workforce. At the same time, advanced persistent threats against infrastructure, such as power grids, nuclear facilities, and water supply, are "translating into significant increases in cyber security budgets both in the U.S. and around the world to defend against these sophisticated cyber terrorist threats," GBH says.