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Security Software in Telecom Market: market outlook till 2030
August 2022 by
The growth of LTE networks has made it possible for the telecom sector to offer seamless connectivity by expanding its networks throughout urban, rural, and distant places. However, the frequency of cyberattacks has also increased due to this network expansion. Although the telecom ecosystem connects most of the world, it can also increase cybersecurity or national security hazards. Ecosystem regulation must find a balance: too little can lead to risk, while too much can reduce the supply of competitive vendors and goods, increasing the cost of technology for businesses and stifling innovation by creating a market with minimal competition.
Although most nations have concluded that the advantages of an ICT ecosystem exceed the hazards, some have adopted a protectionist stance, often known as security nationalism.
Additionally, there is a significant demand for security software in the telecom market due to increased broadband adoption, rising internet penetration, and rising data service needs. DDoS attacks have grown by 19% in the past two years, starting precisely in the second half of 2018, and they have also continued to rise during the second half of 2019 and 2020.
The adoption of cloud data storage and services has significantly increased among businesses. Significant market demand is being driven by increased cyberattacks on telecom networks and cloud data. Additionally, increasing mobile and IoT device usage speeds up market expansion. Establishing secure networks is also encouraged by the availability of long-lasting business solutions and the rise in data breach events.
Global Security Software in Telecom Market was valued at USD 3,599.4 Million in 2018 and is projected to reach USD 15.45 Billion by 2030, growing at an estimated 11.42 percent CAGR over period of 2030.
Analysis of COVID-19
The COVID-19 outbreak has benefited the telecom market’s already-competitive security software. The economic downturn, which resulted in many employments being lost, declining discretionary spending, and the enormous steps people made to make a career online are all factors that have contributed to the market upheaval. The danger of cybersecurity is expanding across all industry verticals due to growing transformations in the IT and telecom sector and the digital transformation of the economy.
The main issues with decentralized security, increased bandwidth demands on existing security monitoring, incorporating security by design into the manufacture of IoT devices, and the requirement for appropriate encryption at each phase of digital transactions are all simultaneously helping the security software in the telecom market. Following the lockdown, it is anticipated that the demand for telecom security software is likely to increase even more.
Cloud-Based Platforms and Growing Digitization
Globally, businesses and organizations are expanding and becoming more numerous, which raises their demand for telecom and internet services. As a result, telecom businesses integrate security software into their systems, which is expected to create considerable market potential.
Furthermore, the spread of SaaS and cloud-based platforms would speed up industry expansion. Additionally, it is predicted that the telecom market would provide security software with significant development potential due to emerging technologies and digital transformation in enterprises.
North America is driving the global market growth for telecom security software.
The dominant participant in the global market for telecom security software has traditionally been North America. In 2018, the area’s market value rose to USD 1162.9 million. By 2025, the market for security software in telecom in North America is expected to reach a value of USD 2886.7 million, growing at a 12.2 percent CAGR. This growth is majorly attributed to the growing demand for IoT-enabled solutions and cloud services in the region. Additionally, the countries in the region, mainly US and Canada, are witnessing high-profile cyberattacks, further stimulating the demand for advanced security software in the telecom industry.
Asia-Pacific region is expected to hold a significant share in the global security software in the telecom market owing to rapid digitization and advancements in the cloud computing technologies in the region. The market in the region is likely to value USD 1651.7 million by 2025, registering a 15.5% CAGR during the forecast period. The threat of cyberattacks and technological vulnerability support the growth of the global security software in the telecom market.
In order to fulfil demand for the advanced security solutions, the companies are collaborating even with the small or regional but significant players in the market. For instance, January 2021, to create OneBox MEC, an integrated multi-access edge computing solution, SK Telecom, Dell Technologies, and VMware announced their collaboration. Access to data at edge locations will be made more dependable and safer thanks to the new software.
Source: marketresearchfuture.com
