Data Center Security Market Report 2025

This report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market’s historic and forecast market growth by geography.

The data center security market size has grown rapidly in recent years. It will grow from $13.57 billion in 2024 to $15.73 billion in 2025 at a compound annual growth rate (CAGR) of 16%. The growth in the historic period can be attributed to rising cybersecurity threats, demand for data privacy and compliance, increase in data generation, cloud computing growth.

The data center security market size is expected to see rapid growth in the next few years. It will grow to $27.22 billion in 2029 at a compound annual growth rate (CAGR) of 14.7%. The growth in the forecast period can be attributed to increase in ransomware and extortion attacks, iot and edge computing security, adoption of zero trust security, increase in security automation. Major trends in the forecast period include technological advancements, artificial intelligence (AI) and machine learning (ML), advancements in multi-layered security, increased use of micro-segmentation.

The rising incidence of cyberattacks and data thefts is expected to drive the growth of the data center security market in the future. A cyberattack involves unauthorized attempts to gain access to personal computers, computing systems, or networks with the intent to cause harm, while data theft refers to the unauthorized transmission or storage of sensitive personal, private, or financial information. The growing digitalization of data, the proliferation of connected devices, and the increasingly sophisticated tactics used by cybercriminals are contributing to the rise in cyberattacks and data thefts. These attacks can exploit vulnerabilities in login credentials, program codes, algorithms, and other proprietary tools or procedures. As a result, the data center security market, which focuses on safeguarding data centers from threats, attacks, and unauthorized access, is expanding. For example, in May 2024, the Information Commissioner's Office, a UK-based government agency, reported that over 3,000 cyber breaches were recorded in 2023, with the finance sector accounting for 22% of incidents, followed by retail (18%) and education (11%). Consequently, the increasing frequency of cyberattacks and data thefts is driving the demand for data center security solutions.

The growing adoption of cloud computing platforms is expected to fuel the expansion of the data center security market. Cloud computing provides on-demand access to computing resources and services over the Internet. As cloud services continue to grow, data center security plays a crucial role in protecting the physical and network infrastructure that underpins these platforms, ensuring the safety of data and services from unauthorized access and potential threats. For example, in December 2023, Eurostat, a Luxembourg-based government agency, reported that 45.2% of European Union enterprises used cloud computing in 2023, marking a 4.2 percentage-point increase from 2021. This includes internet-based access to software, computing power, and storage capacity. As a result, the increasing adoption of cloud computing platforms is driving the demand for robust data center security solutions.

Prominent players in the data center security market are focused on developing groundbreaking products, like the compact firewall solution, to enhance their market presence. A compact firewall solution typically encompasses features such as virtual private network (VPN) support, antivirus, antispam, antispyware, and content filtering capabilities. For example, in August 2022, Fortinet Inc., a US-based company specializing in data center security solutions including firewalls, endpoint protection, and intrusion detection systems, introduced the FortiGate 4800F series, heralded as the fastest compact firewall globally for hyperscale data centers. Powered by 16 Fortinet 7th generation network processors (NP7), it boasts exceptional performance metrics for a compacted firewall. Its Security Compute Assessments deliver up to 34 times greater efficiency compared to competitor solutions, with the ability to handle approximately 19 times more connections per second. The FortiGate 4800F hyper-scale firewalls empower businesses and Mobile Network Operators (MNOs) to run multiple applications concurrently, reduce their hardware footprint, and effectively secure their IT infrastructures.

In May 2023, DartPoints LLC, a US-based company specializing in data center security, cloud, and cybersecurity services, acquired Venyu Solutions Inc. for an undisclosed sum. With this acquisition, DartPoints LLC now boasts a portfolio of 11 data centers spanning across 10 U.S. markets, five states, and three regions. These facilities collectively comprise over 325,000 square feet of space and provide 20 megawatts of electricity. Venyu Solutions Inc. is a US-based company focused on data center security.

Major companies operating in the data center security market are Google LLC, Dell Inc., Huawei Technologies Co. Ltd., Amazon Web Services Inc., Siemens AG, International Business Machines Corp, Cisco Systems Inc., Schneider Electric SE, Honeywell International Inc., Broadcom Inc., Hewlett Packard Enterprise Development LP, Tyco International PLC, VMware Inc., Equinix Inc., NetApp Inc., Palo Alto Networks Inc., Juniper Networks Inc., Fortinet Inc., Citrix Systems Inc., McAfee Corp., Checkpoint Software Technologies Ltd., Trend Micro Inc., Nutanix Inc., CyrusOne LLC, Coresite LLC, QTS Realty Trust Inc., Carbonite Inc., Acronis International GmbH, Nextlabs Inc., Veritas Technologies LLC.

North America was the largest region in the data center security market in 2024. The regions covered in data center security report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa. The countries covered in the data center security market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The data center security market consists of revenues earned by entities by providing services such as threat protection, storage transformation services, security assurance, network expansion and unified communication. The market value includes the value of related goods sold by the service provider or included within the service offering. The data center security market also includes sales of servers, storage devices and networking equipment. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

Data center security encompasses both digital and physical infrastructure as well as strategies that shield data center operations, applications, and information from malicious threats. Its primary objective is to defend against risks related to the privacy, integrity, and accessibility of vital commercial information resources, including associated intellectual property.

Data center security consists of two main components including solutions and services. Solutions in this context refer to the requisite tools and services essential for constructing and maintaining a data center. These data centers can be categorized as mid-sized, enterprise, or large, each requiring specific physical and logical security measures. These security measures find application in various industry verticals including banking, financial services, insurance (BFSI), IT and telecommunications, government and defense, healthcare, media and entertainment, among others.

The data center security market research report is one of a series of new reports that provides data center security market statistics, including data center security industry global market size, regional shares, competitors with a data center security market share, detailed data center security market segments, market trends and opportunities and any further data you may need to thrive in the data center security industry. This data center security market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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