The rate in which major data breaches are taking place is increasing in frequency, as well as sophistication. This has led the vast majority of organizations to spend a considerable amount in cyber security, with high profile companies spending hundreds of millions dollars annually. So the forecast by Cybersecurity Market Report indicating the global spend on cyber security products and services will surpass $1 trillion for the five-year period from 2017 to 2021 seems highly plausible. With so much at stake, the Q3 2016 edition of the Cybersecurity 500 is an insightful read for those looking to find out who the major and up-and-coming players are in the segment.
The Cybersecurity 500 is compiled by Cybersecurity Ventures to highlight the leading global cyber security solutions and services companies, as well as the mergers and acquisitions, investments and IPO activity in the sector.
Global cyber security spend is increasing, with Gartner reporting globally $81.6 billion will be spent by the end of 2016, which is a 7.9 percent increase from 2015. And as virtually everything individual consumers and organizations do moves online or gets connected, the cyber threat will only increase, thus requiring more security services.
As Jeremy King, President at Benchmark Executive Search, said,
“Cyber will never go away as the bad guys will never stop exploiting this new medium.”
And he believes the $1 trillion market forecast from Cybersecurity Ventures barely scratches the surface.
The report more than anything increases the awareness and recognition of the companies that are delivering innovative solutions to protect the digital assets of organizations. Companies are not limited to large and recognizable brands, as the report also highlights VC backed start-ups, emerging players, providers said to grow around productized or vertically focused services, and obscure firms with game changing technologies ready to make their mark in the industry.
Some of the companies in the top 25 of the Cybersecurity 500 for Q3 2016 are:
- root9B is the No. 1 listed company in the report , which provides cybersecurity consulting and operational support
- Sera-Brynn, a cyber risk management and compliance firm.
- Mimecast, an email security provider.
- Digital Defense, Inc. (DDI) is in the vulnerability management sector.
- Code Dx, an application security company devoted to scan the world’s code for defects and weaknesses.
- Nexusguard a global DDoS attack and prevention thought leader.
While these companies have cemented their place on the top 25, the report also showcased up and coming firms to keep an eye on. They include: SAS Institute, ManageEngine (News – Alert), Inspired eLearning, Ravello Systems and Cato Networks.
As for companies that are getting funded, PhishMe, which trains employees to recognize and defeating phishing attacks launched on their employers raised $42.5 million in venture funding for its continual growth. The potential growth in cyber security has caught the attention of established corporations in other IT segments. One of the companies is Oracle (News – Alert), which earlier this year acquired Ravello Systems, an up-and-coming firm in this new report.
Cyber security firms will continue to grow as the persistent threat in the digital environment keeps getting worse. As King pointed out,
“The companies on the Cybersecurity 500 list earned a spot because the lure for bad guys stealing money, data, IP, secrets, reputations or intentions is just too great. Cyber War is here! A war for defensive solutions, offensive strategies, and a war for top talent.”