Spending on security solutions and services in the Asia Pacific region, excluding Japan is expected to grow at 14 per cent year on year in 2021, as per International Data Corporation’s (IDC) Worldwide Semiannual Security Spending Guide.
During the peak of the pandemic, digitalisation, cloud adoption, security transformation, and cyber-attacks are some of the key drivers of the security market in the region.
According to IDC, industry verticals such as banking, telecommunications, federal/central, and state/local government have spent the highest on IT security. Together, these industries will constitute over 50 per cent of the total security spending in the region.
The fastest-growing sectors in 2021 will be state/local governments (20 per cent) and utilities (15.5 per cent) – driven by Covid’s digital transformation of utility transmission and distribution networks, as well as increased efforts in data security, compliance, and governance.
According to the report, services will remain the largest technology group, accounting for over 45 per cent of the market in 2021 and the fastest-growing submarket with a compound annual growth rate (CAGR) of 14.5 per cent during 2020-25.
Managed security services and consulting services are leading the segment, which accounts for more than 50 per cent of the security services spending.
Security hardware will be the second-largest technology group in the security market.
The segment will be led by network security solutions including unified threat management, intrusion detection, virtual private network (VPN), and firewalls. These technologies are essential for buyers who depend on them every day for their jobs, IDC said. Over the forecast period, security software will grow by 13.2 per cent. Endpoint security, identity, and digital trust software solutions will continue to lead the security software market in 2021, the report stated.
