Market Overview
- The global Application Security market is expected to grow at a CAGR of over 21% during the forecast period (2020-2027).
- This is mainly due to the rising need for compliance with regulatory requirements and increasing sophistication level of cyber-attacks.
- Application security is the process of making apps more secure by finding, fixing, and enhancing the security of apps. Much of this happens during the development phase, but it includes tools and methods to protect apps once they are deployed.
- The report covers all the major trends and drivers playing a vital role in the growth of the global Application Security market. The market has been segmented based on region, deployment, types of security testing, and industry vertical.
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Market Dynamics
- The global Application Security market growth is primarily driven due to an increasing number of companies looking to develop their apps, in addition to purchasing a record number of applications and incorporating open source code into their applications, as the vulnerabilities and risks associated with these applications have also risen exponentially.
- Therefore, the rising number of cyber-attacks globally will force various organizations to regularly fix bugs and use Application Security to reduce the number of vulnerabilities of their software and application. Hence, driving the global Application Security market.
Market Segment Analysis
- By deployment, the global Application Security market is segmented into On-premise and cloud. In 2018, the On-premise deployment segment accounted for the largest market share in the global market. On-premises deployment widely used in verticals like Retail, BFSI, and government and defense; mainly to secure sensitive data, financial records, accounting information, and money transfers. On-Premise deployment is a traditional approach to implement Application Security solutions across enterprises. The organizations where user credentials are critical for business operations would prefer the on-premises deployment, as it provides them with the flexibility to control their IT systems. However, the cloud deployment segment is expected to grow at an exponential rate, mainly due to the rising adoption of cloud-based solutions.
- By vertical, the global Application Security market is segmented into BFSI, Retail, Government and defense, Education, and Others. In 2018, Retail and BFSI vertical together accounted for more than 40% market share in the global application security market. The BFSI is the most targeted industry vertical, as it deals with large volumes of sensitive and private financial data. The enterprises in BFSI are demanding for security policy management solutions to ensure irreversible security. Moreover, the BFSI vertical is the most regulated, as it has to comply with many security requirements.
Market Geographical Analysis
- By geography, the global Application Security market is segmented into North America, Asia-Pacific (APAC), Europe, South America, and the Middle East and Africa (MEA).
- In 2018, North America accounted for the largest market share. However, APAC is expected to witness a higher CAGR than other regions during the forecast period. North America is a mature market, due to various factors, such as standards, regulations, advanced IT infrastructure, the presence of a large number of enterprises, and the availability of proficient technical expertise. Therefore, North America is expected to grow at a steady and maintain its dominant position in the global market over the forecast period.
- In Europe, the Application Security market is expected to witness strong growth over the forecast period. The European countries have formed a regulatory body named ENISA, which has been working to make Europe cyber secure. Moreover, awareness regarding the benefits of patching, coupled with an increase in the number of applications and Operating System (OS), has led to the widespread acceptance of Application Security solutions.
- APAC Application Security market is expected to grow exponentially over the forecast period due to an increased demand for cloud computing among small and medium-sized enterprises (SMEs). Countries like Singapore, which has seen ICT infrastructure as a key enabler in boosting the overall competitiveness in the region, based on creating new industries and new businesses, thereby encouraging economic growth.
Market Competitive Trends
- Global Application Security Market is moderately concentrated with the presence of global and regional players in the market. Major players with prominent shares in the market are focusing on expanding their customer base across foreign countries. These companies are leveraging strategic collaborative initiatives to increase their market shares and profitability.
- Some major players in the market are IBM Corporation, Oracle Corporation, Fortinet Inc., Veracode (CA Technologies), Synopsys Inc., WhiteHat Security, Inc. (NTT Security Corporation), Rapid7, Inc., Qualys, Inc., SiteLock, LLC, Contrast Security, Positive Technologies, Fasoo.com, Inc., and among others.
- In March 2019, Oracle developed new advanced customer support which will help it thrive in the cloud. The new support will increase the customer's cloud performance and compliance.
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