As we head into 2018, a trio of issues is coming together to produce a perfect storm of cyber security concerns that promises a boom for spending on cyber security vendors and managed service providers.
Leading technology market analysts, Gartner, are predicting an 8% jump in spending on cyber security, with organisations worldwide spending $96.3 billion on security in 2018. This increase in spending will include a doubling of the number of organisations investing in multiple data security tools by 2020.
This jump in spending will be driven by three separate trends:
- The first trend is a global spike in data breaches in 2017, with organisations reacting to more high profile cyber attacks and data breaches. Cyberattacks such as WannaCry, Equifax and most recently the Uber breach, have a direct effect on security spend, with the impact of these types of attacks lasting up to three years.
- The second trend is towards increasing government rules on data privacy and regulatory compliance. A new cyber security law in China, which came into effect in 2016, is a good example, along with the EU General Data Protection Regulation coming into force in May 2018.
- At the same time, skills shortages in security expertise will continue to drive the move to outsourcing. Scarce skill sets will remain at a premium, leading organisations to seek external help from security consultants, managed security service providers and outsourcers.
Looking ahead, Gartner estimates that by 2019, total enterprise spending on outsourcing will increase to 75% of the total spending on security software and hardware products.
Here at Transputec we are already seeing a surge in interest from all types of customers in shoring up their cyber security defences and seeking the right expertise to protect their IT systems.
The most interest is, not surprisingly, in how our leading-edge penetration testing and network monitoring solutions can combine to provide an expertly tailored cyber security strategy to enable compliance with new EU data security laws. If you would like some advice as we head into 2018 please get in touch.
Head of Cyber Security