Global Network and Application Security Testing Market
An Overview of Emerging Trends and Growth Opportunities For Test
Solution Vendors
Contents
Section Slide Numbers
Executive Summary 4
Market Overview 9
Network Security Testing Market -
• External Challenges: Drivers and Restraints 16
• Forecast and Trends 28
• Market Share and Competitive Analysis 46
Application Security Testing Market 50 • External Challenges: Drivers and Restraints 55
• Forecast and Trends 66
• Market Share and Competitive Analysis 75
The Last Word 78
Executive Summary
• The global network security testing market generated revenue of $ million in 2012,
amounting to a growth of
percent over the previous year. On the other hand, the
global application security testing market generated revenue of $
million with a total
shipment of
thousand units in 2012.
• Going forward, there will be a sharp increase in the number of zero-day attacks targeted
at governments, large enterprises, and the banking and financial sectors. Industry experts
agree that the techniques hacktivists, members of organized crime, and government
spies use for espionage are gaining in sophistication.
• In recent years, numerous high-profile security breaches and sophisticated attacks have
greatly increased awareness of security concerns. These attacks indicate a shift in
attacker profiles and have spiked security awareness.
• Today, attackers have the resources and know-how to string together zero-day attacks to
work their way from the Internet into databases or process controls. Governments and
businesses are rapidly adopting the latest security testing methodology to harden
systems against Advanced Persistent Threats (APT) attacks.
Compound Annual Growth Rate
%
(CAGR, 2012-2016) Market Concentration%
(% of market share held by top 2 companies)
Executive Summary—Market Engineering Measurements
Market Stage
Growth
Market Revenue
$
M
(2012)
Market Size for Last Year of Study Period
$
M
(2016) Base Year Market Growth Rate%
Customer Price Sensitivity(scale:1 [Low] to 10 [High])
Degree of Technical Change
(scale:1 [Low] to 10 [High])
Network Security Testing Market: Global, 2012
For a tabular version click here.
Stable Increasing Decreasing
Note: All figures are rounded. The base year is 2012. Source: Frost & Sullivan
Average Product Development Time
Years
Number of Companies that Exited(2012) Number of Companies that Entered (2012) Number of Competitors
(active market competitors in base year)
Executive Summary—Market Engineering Measurements
(continued)
Competitor Overview
Stable Increasing DecreasingIndustry Advancement
Marketing Spend as a Percent of Market Revenue%
Average R&D Spend by Product%
Market
Units/Volume
(000)
(2012)
Executive Summary—Market Engineering Measurements
Compound Annual Growth Rate
%
(CAGR, 2012-2016) Market Concentration%
(% of market share held by top 3 companies) Market Stage
Growth
Market Revenue$
M
(2012)Market Size for Last Year of Study Period
$
M
(2016) Customer Price Sensitivity(scale:1 [Low] to 10 [High])
Degree of Technical Change
(scale:1 [Low] to 10 [High])
Application Security Testing Market: Global, 2012
For a tabular version click here.
Stable Increasing Decreasing
Note: All figures are rounded. The base year is 2012. Source: Frost & Sullivan
Executive Summary—CEO’s Perspective
2
An increase in APTs and zero-day attacks
will drive the demand for security testing.
3
The security testing market will continue to
evolve, as new technologies and attacking
techniques are discovered.
4
Vulnerability management is gaining
visibility as an essential security
technology.
1
Market growth has been stimulated by
sophisticated threats and attacks.
Market Overview—Definitions
With a rapid increase in the evolution and adoption of new technologies, new security threats and vulnerabilities are emerging faster than ever before. The general awareness of security attacks and of the importance of security testing has grown significantly over the past decade. Security test solutions are used to find vulnerability or flaws in the network, application, or operating platforms that could
potentially be exploited by attackers or hackers in order to cause business disruption, data leakage, or a threat of any other kind.
Most businesses worldwide have employed some kind of security solution in order to prevent data or revenue loss due to internal or external attacks. As hackers and cybercrime groups continue to exploit the existing system and manage to find new ways of initiating attacks, the importance of using
advanced test methodologies to detect and manage zero-day attacks and vulnerabilities becomes critical.
At this point in time, network security is not tied closely with enterprises and government organizations. This circumstance will change, as we expect consolidation to take place, which will make security a third pillar of computing. In light of the current situation, cyber security cannot be separated from business operations.
Market Overview—Key Questions This Study Will Answer
Is the market growing, how long will it continue to grow, and at what rate?
How does the competitive landscape look after a series of acquisitions that took place in 2012?
What are advanced persistent threats (APT), and what is their impact on the test equipment market?
What are the key trends in this market across various end-user segments and regional markets?
Source: Frost & Sullivan
Which competitors are leading the market and which are emerging? Which competitors are growing and why?
Market Segmentation
Source: Frost & Sullivan
Total Security Testing Market
Network Security Testing • Firewall test equipment • VPN test equipment • IDS/IPS test equipment End-user Groups
• Service providers and carriers • Network equipment manufacturers • Enterprises
• Other end users* Application Segments • R&D
• Manufacturing
• Installation and maintenance Geographic Segments
• North America • Europe
• Asia-Pacific • Rest of World
Application Security Testing • Vulnerabilities management
The study does not slice the revenue Forecast and trends for individual sub-segments of the Network Security and
Application Security markets.
End-user groups • Financial
• Government • Healthcare • Education