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PAC Webinar - "Show me the money!" - evaluating market opportunities in cyber security
1.
© PAC Show me
the money! Evaluating Market Opportunities in Cyber Security 2014 PAC Webinar
2.
© PAC 2014Show
me the Money! - The Market Opportunity in Cyber Security Your questions are welcome!! Duncan Brown Director, Cyber Security PAC UK Mathieu Poujol Principal Consultant Cyber Security & Infrastructures PAC Group Today’s Presenters 2
3.
© PAC Scope definitions PAC
definition: Cyber security is defined as technology, services and policies that protect public sector and commercial organizations from the risk of electronic attacks in order to minimize business disruption. Cyber security is mostly an infrastructure- and middleware-based market, but it impacts all ICT systems, from network to business applications. 2014Show me the Money! - The Market Opportunity in Cyber Security3
4.
© PAC Cyber security
market segments 2014Show me the Money! - The Market Opportunity in Cyber Security4 Cyber security segments The is no digital economy without digital trust
5.
© PAC Market size 2014Show
me the Money! - The Market Opportunity in Cyber Security5 Total Security IT Services and Software Market Size 2013 and Growth Trends 2013-2017 1.7bn 1.7bn 1.4bn +8.4% +8.5% +6.5% +7.0% Some Territories by Market Size Some Territories by Growth All figures in Euros 31.5bn 12.1bn 8.8% Worldwide Market Size Worldwide Market Growth
6.
© PAC Main trends ●
The advent of the digital economy around cloud and mobility has boosted a softer, more open IT security perimeter. ● The need of a holistic and converged approach across all IT area. ● The core, the critical part of the IT systems, needs to be hardened: ü The coconut has to give way to the mango. ● Security needs to focus more strongly on the data and business side than on IT infrastructures, as was the case before. ● Infrastructure security remains mandatory. ● Global security governance to master complexity ● The market is maturing fast, from a specialist-driven approach to a more generalist approach. ● Government actions and investment are critical in this market. 20146 Show me the Money! - The Market Opportunity in Cyber Security
7.
© PAC boosters The economy
& discretionary spend Skill shortages New technologies & deperimeterisation Regulation & compliance Increasing threat landscape !" 2014Show me the Money! - The Market Opportunity in Cyber Security7 $ £ ¥ € ¢ Fragmented legislation Market dampers
8.
© PAC 2014 Market
players Local specialistsIT services generalists Defence contractors Technology vendorsConsultancies Telecoms specialists8
9.
© PAC Is security
too hard for CISOs? ● Manage the increasing complexity of business and IT systems ● Complexity of the threat landscape, too many solutions, more attacks that are more complex etc. ● Lack of resources constraining budget and efficiency ● Increasing pressure from businesses, regulators and governments 2014Show me the Money! - The Market Opportunity in Cyber Security9
10.
© PAC 2014 Market
implications Rate of adoption Show me the Money! - The Market Opportunity in Cyber Security Integrated security solutions Managed services 20182013 2014 2015 2016 2017 Data-led governance 2014Show me the Money! - The Market Opportunity in Cyber Security © PAC10
11.
© PAC Security services
market structure 2014Show me the Money! - The Market Opportunity in Cyber Security11 Managed security services Discrete C&SI security projects Advisory services (GRC, technology trends, etc.) Cloud-based security services (Syaas) Embedded C&SI security input
12.
© PAC Growth opportunities
– services Position cyber security at the heart of your offerings • It’s not a nice-to-have • It’s an enabler for SMAC, DT, and compliance • Top-down approach: from risk to vulnerabilities to tools Offer an integrated suite of products that provide a comprehensive view of security posture • Multiple software vendor partnerships are inevitable – today • You’ll probably have to do the integration yourself • Security is part of a bigger picture that contains business continuity and risk management Cyber security is not an isolated silo • Asset and system management • From business to infrastructure 2014Show me the Money! - The Market Opportunity in Cyber Security12
13.
© PAC Growth challenges
– services 2014Show me the Money! - The Market Opportunity in Cyber Security13 Achieve scale quickly – eat or be eaten • M&A is firmly on the agenda • Numerous cyber security boutiques exist, with a footprint in local markets Liaise with governments • Cyber security market depends on local regulations, certifications, etc. The battle is in the professional services, SI and consulting space • Consulting and event/threat intelligence are must-haves • MSS will be first to commoditize and/or move to the cloud
14.
© PAC Growth opportunities
– software Cloudify everything • But keep the ability to be privately hosted and on premises • Data residency and visibility matter in a post-PRISM world • Analytics is your next weapon – villains are already using it Become the cyber security platform partner • With a large, integrable offer • With a broad range of partners • IT security remains a best-of-breed market – be the best Ease of use at the end-point, and in the operations centre • Skills are rare and expensive • Skills are even rarer at the end point 2014Show me the Money! - The Market Opportunity in Cyber Security14
15.
© PAC Growth challenges
– software 2014Show me the Money! - The Market Opportunity in Cyber Security15 Partnerships & alliances are key to growth • As services grow you need partners for pull-through • Watch for a shift in balance from direct to indirect sales Integrate or evaporate • The software trend is towards simplify and integrate • … which is the same thing! • Niche players will become increasingly squeezed Technology areas to invest in are: • Vulnerability management: the first step in cyber security • Behavioural analytics: IA for cyber security • Encryption and obfuscation of data • Biometric integration into IAM • Security by design – integration with ADEs and ISVs
16.
© PAC Things that
are NOT differentiators: 2014Show me the Money! - The Market Opportunity in Cyber Security16 Security capability in your portfolio • But the lack of is a negative differentiator How many events you scan each day • Threat intelligence is a differentiator (for now) How many SOCs around the world • 24x7x365 availability and redundancy is mandatory Things that are differentiators: Local capacities • Both for professional and managed services Business knowledge • As security embraces more data and applications specifics End to end capacities • Clients want more holistic approaches Differentiators
17.
© PAC Questions 2014Show me
the Money! - The Market Opportunity in Cyber Security17 Duncan Brown d.brown@pac-online.com Mathieu Poujol m.poujol@pac-online.com Your questions are welcome!!
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© PAC How can
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© PAC SITSI® Cyber
Security market research 2014Show me the Money! - The Market Opportunity in Cyber Security19
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© PAC Your benefits: Market
growth Client needs analysis PAC’s consulting services for cyber security Marketing & Communication Competitive positioning Account & deal support, M&A advice and support Understand clients’ needs and priorities, by detailed segment Comparative analysis by market, segment or deal Supports your campaigns with content-based collateral Competitive edge through knowledge advantage! Map your portfolio to clients’ key business issues Position to win, focus effectively, secure deals Awareness creation and credible presentation of capabilities! 20 2014Show me the Money! - The Market Opportunity in Cyber Security
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© PAC PAC’s Cyber
Security team 2014 Mathieu Poujol! Principal Consultant Cyber Security & Infrastructures PAC Group Duncan Brown! Director PAC UK" " Franck Nassah! Senior Vice President PAC France" Dominic Trott! Senior Analyst PAC UK " " Eugen Schwab-Chesaru! Managing Director Software & IT Services Eastern Europe " " " Biswajit Banerjee! Senior Analyst Software & IT Services APAC " Show me the Money! - The Market Opportunity in Cyber Security21
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© PAC PAC France! Pierre
Audoin Consultants Immeuble Actualis - 2e étage 21 boulevard Haussmann 75009 Paris, France Tel: +33 (0) 1 56 03 67 24 info-france@pac-online.com !! ! From strategy to execution, PAC delivers focused and objective responses to the growth challenges of Information and Communication Technology (ICT) players. Founded in 1976, PAC is a privately held research & consulting firm for the software and ICT services market. PAC helps ICT vendors to optimize their strategies by providing quantitative and qualitative market analysis as well as operational and strategic consulting. We advise CIOs and financial investors in evaluating ICT vendors and solutions and support their investment decisions. Public institutions and organizations also rely on our key analyses to develop and shape their ICT policies. For more information, please visit: www.pac-online.com PAC’s latest news: http://blog.pac-online.com" " PAC Germany Pierre Audoin Consultants Holzstrasse 26 80469 Munich, Germany Tel: +49(0) 89 23 23 68 0 Fax: +49(0) 89 719 62 65 info-germany@pac-online.com ! PAC Romania Pierre Audoin Consultants Negustori 12 023953 Bucharest-2 - Romania Tel.: +40 (0) 21 410 75 80 Fax: +40 (0) 21 410 75 81 info-romania@pac-online.com ! PAC U.S. Pierre Audoin Consultants 192 Lexington Avenue - Suite 1101 New York, NY 10016, USA Tel: +1 646 277-7250 Fax: +1 646 607-1716 info-us@pac-online.com !! ! PAC UK Pierre Audoin Consultants 2nd Floor, 15 Bowling Green Lane London EC1R 0BD United Kingdom Tel.: +44 (0) 207 251 2810 Fax: +44 (0) 207 490 7335 info-uk@pac-online.com !! ! PAC Brazil Pierre Audoin Consultants Rua Pedro de Toledo, 130, Office 61, Vila Clementino Sao Paulo 04039-030 Brazil Tel.: +55 (11) 5539 0280 Fax: +55 (11) 5539 0280 info-latam@pac-online.com About us! PAC India Pierre Audoin Consultants 610-611, Ashoka Estate, 24 Barakhamba road, New Delhi - 110001, India Tel: +91 (0) 11 4353 4818 info-apac@pac-online.com 2014
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