Application Security Market - Forecasts from 2021 to 2026

The application security market is projected to witness a CAGR of 22.38% during the forecast period to reach a market size of US$22.655 billion by 2026, increasing from US$5.511 billion in 2019. Security systems for application operations including web and mobile applications, reduce the risks of security breaches. Nowadays, software applications are integral parts of any business environment, irrespective of the company's primary business operation. Every day, hackers hack an average of 30,000 websites. About 64 percent of corporations have been victimized by a cyber-attack. There is an attack somewhere on the Internet every 39 seconds. Malware is spread via email about 94% of the time. The Internet blocks an average of 24,000 malicious mobile apps every day. (Source: Comita.org). Because these software applications are frequently accessed by the network and thus susceptible to a variety of security threats, they have been a big concern to different organizations. As a countermeasure against threats from the outside, organizations secure the software used to run their business operations in order to safeguard their critical data.

Growth Factors

Growth in retail

Since the advent of e-commerce over two decades ago, retailers have come into contact with more information about their customers and can collect this information. Businesses that engage in retail and e-commerce manage large volumes of sensitive information, including credit card numbers and personal data. The volume of bad bot traffic to retail websites increased by 788% in October 2020 in connection with the launch of popular new gaming consoles and Black Friday sales. An attempt was made to promote a new criminal marketplace by leaking 1 million stolen credit card numbers on hacking forums recently. There are serious implications for online retailers. (Source: Compita.org). Hackers are increasingly targeting this data, which makes it more important to protect it. Due to the proliferation of connected devices including kiosks, point-of-sale (POS) systems, and handheld devices in physical stores, a vast amount of customer information has been generated. Software applications and services are evolving to deal with these threats so that retail businesses can keep their networks, data, applications, and endpoints secure (from malware or breaches). Cyber-attacks have caused huge revenue losses at nearly one out of three retailers, according to the Cisco 2017 Annual Cyber Security Report.

Restraints

Return on investments and budget constraints are keeping companies from investing

Many enterprises leave thousands of applications susceptible because they do not extend their applications beyond business-critical functions, such as payment processing or ordering goods and services. Updates of unused, non-business-critical applications are not performed frequently enough, resulting in problems. Small and medium-sized businesses believe investing in these applications will be detrimental. This is because unutilized applications can lead to long-term security threats since they can be cracked easily and gain access to the IT infrastructure, irrespective of whether they are business-critical or rarely used. Additionally, 66% of internally developed applications are not tested for critical vulnerabilities due to low budgets or ignorance of the organizations, according to Veracode, a UK company. The application security market has been restrained by budget constraints and ROI.

COVID-19 impact on the application security market

With the rising popularity of smartphones and mobile devices during the COVID-19 pandemic, for a variety of applications, including office work, shopping online, and access to social media, the development of mobile security applications has increased. As the mobile app market grows, app security is becoming increasingly important during the development phase in order to minimize the risk of data breaches and loss. As a result of the COVID-19 pandemic, the government has also mandated that mobile applications be implemented, particularly whilst traveling, which has also increased the need for increased security measures. The COVID-19 pandemic led to a positive impact on demand for mobile app security for these reasons.

Segmentation:

By Deployment Model

• On-Premise
• Cloud

By Solution

• Web Security
• Anti-Virus
• Anti-Theft
• Data Backup and Recovery
• IAM and Authentication
• Others

By Industry Vertical

• Government
• Communication and Technology
• Retail
• Education
• Healthcare
• BFSI
• Military and Defense
• Others

By Geography

• North America
• USA
• Canada
• Mexico
• South America
• Brazil
• Others
• Europe
• United Kingdom
• Germany
• France
• Others
• Middle East and Africa
• Turkey
• Egypt
• South Africa
• Others
• Asia Pacific
• China
• Japan
• India
• Australia
• Others