Cybersecurity spending in Asia Pacific is expected to reach $36 billion in 2024, marking an increase of 12.3 percent from the previous year, IDC reports.
IDC’s latest Worldwide Semiannual Security Spending Guide said the escalating cyber threats utilizing AI, such as deepfakes, pretexting, and identity theft, are driving a heightened demand for comprehensive security solutions.
Sharad Kotagi, Market Analyst at IDC Asia Pacific, emphasized the need for solutions encompassing threat detection, automated remediation, and behavioral analysis capabilities to combat these evolving threats.
Leading the charge in security investments from an industry end-user perspective in 2024 are the Financial Services, Government, and Telecommunications sectors, contributing to over 50 percent of the total security spending in APeJ.
These sectors are strategically investing to adapt to technological advancements like open banking, digital payments, and e-governance, alongside the modernization of IT infrastructure and evolving compliance regulations.
The demand for security in complex IT environments, spanning networks, cloud services, and endpoints, remains high amidst a cybersecurity talent shortage. This scenario presents lucrative opportunities for vendors and partners to offer diverse security services. Notably, services, particularly Managed Services, are anticipated to lead the market, constituting nearly 40 percent of security spending and projected to grow at a 12.8 percent five-year CAGR.
Benjamin Ten, Research Analyst at IDC Asia Pacific, pointed out that regulatory requirements and data protection laws are expected to drive spending on security consultation and integration services. Moreover, the managed security services market is poised for growth due to the increasing complexity of IT environments and the persistent shortage of cybersecurity talent in the region.
Within security software, leading segments such as Endpoint security, Information and Data Security Software, and Identity and Digital Trust Software collectively represent a significant portion of the overall spending in 2024.
Meanwhile, security hardware spending is dominated by network security needs, including firewalls, intrusion detection and prevention, unified threat management, and virtual private networks, IDC report indicated.
As cyberattacks continue to escalate in APeJ, there is a pressing need to recalibrate strategies for addressing cyber threats. China leads regional security investments, comprising over 40 percent of total spending in 2024, with a 13.5 percent five-year CAGR. Australia and India follow closely, contributing over 25 percent to the APeJ security spending, signaling the growing emphasis on cybersecurity across the region.
InfotechLead.com News Desk
