The document discusses the emerging cyber security opportunity in India. It notes that cybercrime was a $1.5 trillion market globally in 2018, far exceeding India's GDP. COVID-19 has accelerated digitization and work from home trends, creating more opportunities for cyberattacks. The Indian cyber security industry was expected to reach $3.05 billion by 2022 prior to COVID-19, with the BFSI and IT/ITeS sectors spending the most. The pandemic is increasing threats like phishing while also shifting IT spending priorities to security. Overall the long term prospects for India's cyber security industry remain promising due to increased digitization across industries.

1. Impact of COVID-19 on Indian Urban Mobility by Sam Ghosh 19th July 2020

2. Emerging Cyber Security Opportunity in India by Sam Ghosh 30th October 2020
Emerging Cyber Security Opportunity
Executive Summary
● $1.5 Trillion - that was the size of the Global cybercrime market in 2018. In comparison, the Indian GDP in the same year was US$2.7 trillion.
The Dark web activity has spiked over 300% since 2017. As per NortonLifeLock Cyber Safety Insights Report, 2019, globally 350 million
consumers became the victim of cybercrime only in one year.
● Back in India, the rapid growth of data-driven tech companies prompted the lawmakers to enact a legal framework for cybersecurity, especially
around financial services. These legal requirements have driven the Indian Cybersecurity industry.
● Just when the COVID-19 lockdowns started, cyber-attacks also surged. Between March and April 2020, India has witnessed a staggering 86%
increase in cyber-attacks.
● Due to social distancing, many industries are rapidly getting digitised almost in a haphazard manner, bringing more and more critical data online.
This is creating a fertile ground for cybercrime.
● The pandemic is bringing unique challenges for both enterprises and individuals in terms of protecting their sensitive data from cyber-attacks.
● People who never shopped online are now shopping online, people who shopped online before are shopping for things online which they never
shopped online. The rapid growth of e-payments is bringing unique challenges not only in terms of payment security but also privacy and
fake/illegal eCommerce sites.
● The IT spending is expected to be lower this year but companies are prioritising security spending with spending on cloud and collaboration.
● The medium to long-term prospects for the cyber-security industry looks promising given the rapid digitisation of digitally naive industries,
increasing access to enterprise systems from mobile devices, migration of critical processes to the cloud systems, and increasing online
transactions, etc.
● Apart from that, as many small and medium-sized businesses are forced to adapt to the increasingly digital world, demand for cyber-security
products/platforms is expected to increase as many smaller businesses may not have the resources to avail security consulting services.
Growing Cyber Threat Indian Cyber Security Industry Impact of COVID-19

3. Emerging Cyber Security Opportunity in India by Sam Ghosh 30th October 2020
Growing Cyber Threat Indian Cyber Security Industry Impact of COVID-19
The Emerging Cyber Security Opportunity
Emerging Cyber Security Opportunity

4. Emerging Cyber Security Opportunity in India by Sam Ghosh 30th October 2020
Emerging Cyber Security Opportunity Growing Cyber Threat Indian Cyber Security Industry Impact of COVID-19
Emerging Cyber Security Opportunity : Global Cyber Security Market (Pre-COVID Projection)
● As per Fortune Business Insights, the global Cyber Security market is expected to reach US$282 billion by
2027 from US$112 billion in 2019 growing at a CAGR of 12.2%.
Source: Fortune Business Insights
Global Market Indian Market

5. Emerging Cyber Security Opportunity in India by Sam Ghosh 30th October 2020
Emerging Cyber Security Opportunity Growing Cyber Threat Indian Cyber Security Industry Impact of COVID-19
Emerging Cyber Security Opportunity : Indian Cyber Security Market (Pre-COVID Projection)
● As per the pwc-DSCI Report 2019, the Indian Cyber Security market is expected to be US$ 3.05 billion by
2022 growing at a CAGR of 15.7%.
Source: pwc-DSCI
Global Market Indian Market

6. Emerging Cyber Security Opportunity in India by Sam Ghosh 30th October 2020
Emerging Cyber Security Opportunity Growing Cyber Threat Indian Cyber Security Industry Impact of COVID-19
Growing Cyber Threat

7. Emerging Cyber Security Opportunity in India by Sam Ghosh 30th October 2020
Emerging Cyber Security Opportunity Growing Cyber Threat Indian Cyber Security Industry Impact of COVID-19
Growing Cyber Threat: Statistics
● As of 2018, Cybercrime was a US$1.5 trillion business, ~57% of which accounted for illegal online markets, ~33% trade
secret/IP theft, ~11% Data Trading, and the rest in CaaS and Ransomware.
Data: Bromium
Statistics Drivers

8. Emerging Cyber Security Opportunity in India by Sam Ghosh 30th October 2020
Emerging Cyber Security Opportunity Growing Cyber Threat Indian Cyber Security Industry Impact of COVID-19
Growing Cyber Threat: Statistics
● As per NortonLifeLock Cyber Safety Insights Report 2019, globally 350 million consumers became the victim of cybercrime
only in one year. More than 1/3rd of which were from India.
Data: NortonLifeLock
Statistics Drivers

9. Emerging Cyber Security Opportunity in India by Sam Ghosh 30th October 2020
Emerging Cyber Security Opportunity Growing Cyber Threat Indian Cyber Security Industry Impact of COVID-19
Growing Cyber Threat: Statistics
● Estimated 2.1 billion hours lost globally in 2019 to resolve cyber crimes. 43% of the victims lost some amount of money.
Data: NortonLifeLock
Statistics Drivers

10. Emerging Cyber Security Opportunity in India by Sam Ghosh 30th October 2020
Emerging Cyber Security Opportunity Growing Cyber Threat Indian Cyber Security Industry Impact of COVID-19
Growing Cyber Threat: Cyber Risk Drivers
Increasing Digital Transactions
05 ● As per Mckinsey, global digital transactions stood at US$2 trillion in 2019.
● Digital transactions were growing at a CAGR of 7.4%.
Rapid Digitisation
04 ● Various sectors are getting digitised rapidly.
● Digitisation is bringing more and more data, which was previously offline, online.
Geopolitics
03 ● Cyber attacks are becoming more and more prominent from state-controlled agencies.
● Complicated geopolitical situations are increasing such attacks.
Data Economy
02
● The growth of data science is creating new data-driven business models.
● More and more products (wearables, virtual assistants, etc) are being created to gather data.
● Personalisation and customisation are becoming a competitive advantage.
Growth of Dark Web
01
● Dark web activity has spiked over 300% since 2017.
● The rise of blockchain-based cryptocurrencies increased the anonymity of criminal transactions.
● By 2018, the cybercrime was more than a 1.5 trillion-dollar market.
Growth of Cloud and SaaS
06
● A survey by IDC shows that almost 80% of companies experienced cloud data breaches
in the recent past
● As more and more businesses move to the cloud, cloud data breaches are expected to
increase.
Growth of Social Media
07 ● Social media-enabled crimes are generating global revenues of at least $3.25bn for the global
cybercrime economy annually.
Growth of Mobile Internet
08
● More and more users are accessing digital services and cloud with mobile devices.
● Mobile devices often are less protected and often become an entry point for
cybercriminals.
Statistics Drivers

11. Emerging Cyber Security Opportunity in India by Sam Ghosh 30th October 2020
Emerging Cyber Security Opportunity Growing Cyber Threat Indian Cyber Security Industry Impact of COVID-19
Indian Cyber Security Industry

12. Emerging Cyber Security Opportunity in India by Sam Ghosh 30th October 2020
Emerging Cyber Security Opportunity Growing Cyber Threat Indian Cyber Security Industry Impact of COVID-19
Indian Cyber Security Industry: Product and Services Market
● Products constitute a little more than half of the Indian Cyber Security market and the product market is expected to grow
faster than the services market.
Data: pwc-DSCI
Market Players Policy Push

13. Emerging Cyber Security Opportunity in India by Sam Ghosh 30th October 2020
Emerging Cyber Security Opportunity Growing Cyber Threat Indian Cyber Security Industry Impact of COVID-19
Indian Cyber Security Industry: Product Market by Category
● Security Incident Detection and Response (IDR) constitute ~1/3rd of the Indian Cyber Security Product market, followed by
Network Security with 1/4th of the market.
● Data Security is expected to be the fastest-growing product sector, followed by Endpoint Security and Access Management.
Data: pwc-DSCI
Market Players Policy Push

14. Emerging Cyber Security Opportunity in India by Sam Ghosh 30th October 2020
Emerging Cyber Security Opportunity Growing Cyber Threat Indian Cyber Security Industry Impact of COVID-19
Indian Cyber Security Industry: Services Market by Category
● Security Operations has the largest market share (39%) in Services, followed by Security Implementation(23%) and Security
Testing (21%).
● Security Testing and Incident Response are expected to be the fastest-growing service sectors.
Data: pwc-DSCI
Market Players Policy Push

15. Emerging Cyber Security Opportunity in India by Sam Ghosh 30th October 2020
Emerging Cyber Security Opportunity Growing Cyber Threat Indian Cyber Security Industry Impact of COVID-19
Indian Cyber Security Industry: Cyber Security Verticals
● BFSI spends the most on Cyber Security in India, followed by IT/ITeS.
● IT/ITeS spending on Cyber Security is expected to grow the fastest, followed by BFSI.
Data: pwc-DSCI
Market Players Policy Push

16. Emerging Cyber Security Opportunity in India by Sam Ghosh 30th October 2020
Emerging Cyber Security Opportunity Growing Cyber Threat Indian Cyber Security Industry Impact of COVID-19
Indian Cyber Security Industry: Major Players in India
Company Products and Services Other Details
Quick Heal Provider of IT security solutions ● Founded in Pune in 1995
● Total Funding: $8.27M
Cyberoam Network security and threat management
solutions for enterprises
● Founded in Ahmedabad in 1999
● Total Funding: $10.3M
Mantra Softech Developer of biometrics and distributor of
security & surveillance products
● Founded in Ahmedabad in 2006
Paladion Big data analytics and machine learning
based threat detection and vulnerability
assessment
● Founded in Bangalore in 2000
● Total Funding: $17.6M
Aujas Platform for security analytics and risk
assessment
● Founded in Bangalore in 2008
● Total Funding: $14.6M
Market Players Policy Push

17. Emerging Cyber Security Opportunity in India by Sam Ghosh 30th October 2020
Emerging Cyber Security Opportunity Growing Cyber Threat Indian Cyber Security Industry Impact of COVID-19
Indian Cyber Security Industry: Major Players in India
Company Products and Services
eMudhra Public key infrastructure and online security
solutions
● Founded in Bangalore in 2008.
Network Intelligence Vulnerability management, security
consulting and service
● Founded in Mumbai in 2001
● Total Funding: $4.87
iViZ Security Cloud-based penetration testing and
application security service provider
● Founded in Bangalore in 2005
● Total Funding: $5.8M
Lastmile Platform for last mile payments
management
● Founded in Hyderabad in 2009
Vehere Communication and cyber intelligence
technology provider
● Founded in Kolkata in 2006
● Total Funding: $3.33M
Market Players Policy Push

18. Emerging Cyber Security Opportunity in India by Sam Ghosh 30th October 2020
Emerging Cyber Security Opportunity Growing Cyber Threat Indian Cyber Security Industry Impact of COVID-19
Indian Cyber Security Industry: Policy Push
● In recent years due to the rapid growth of data-driven tech-startups in India, regulatory agencies enacted many data-security
and privacy related regulations.
● These regulations are acting as a stimulus for the Cybersecurity industry in India.
Market Players Policy Push
Regulation
The Aadhar Act, 2016 This act mandated the creation of The Unique Identification Authority of India (UIDAI). UIDAI was created to
issue Unique Identification numbers (UID), named as "Aadhaar", to all residents of India. Aadhaar is the
world’s largest biometric database.
The Information Technology Act 2000 (the IT
Act)
Provides legal recognition and protection for transactions carried out through electronic data interchange and
other means of electronic communication. Also contains provisions for safeguarding electronic data,
information or records, and preventing unauthorised or unlawful use of a computer system.
The Information Technology (Reasonable
security practices and procedures and sensitive
personal data or information) Rules 2011
Prescribes reasonable security practices and procedures to be implemented for collection and the processing
of personal or sensitive personal data.
Information Technology (The Indian Computer
Emergency Response Team and Manner of
Performing Functions and Duties) Rules 2013
The Computer Emergency Response Team (CERT-In) has been established as the nodal agency responsible
for the collection, analysis and dissemination of information on cyber incidents and taking emergency
measures to contain such incidents.

19. Emerging Cyber Security Opportunity in India by Sam Ghosh 30th October 2020
Emerging Cyber Security Opportunity Growing Cyber Threat Indian Cyber Security Industry Impact of COVID-19
Indian Cyber Security Industry: Policy Push...
Market Players Policy Push
Regulation
The Information Technology (Information
Security Practices and Procedures for Protected
System) Rules 2018
Mandates information security measures to be implemented by organisations that have protected systems.
The Personal Data Protection Bill, 2019 The Bill governs the processing of personal data by: (i) government, (ii) companies incorporated in India, and
(iii) foreign companies dealing with personal data of individuals in India.
RBI - Cyber Security Framework in Banks Mandates the cybersecurity framework for Banks in India.
SEBI- Cyber Security & Cyber Resilience
framework for Stock Brokers / Depository
Participants
Mandates the cybersecurity framework for Stock Brokers and Depository Participants.
National Cyber Security Strategy 2020 - DSCI
submission
Awaiting cabinet approval

20. Emerging Cyber Security Opportunity in India by Sam Ghosh 30th October 2020
Emerging Cyber Security Opportunity Growing Cyber Threat Indian Cyber Security Industry Impact of COVID-19
Impact of COVID-19

21. Emerging Cyber Security Opportunity in India by Sam Ghosh 30th October 2020
Emerging Cyber Security Opportunity Growing Cyber Threat Indian Cyber Security Industry Impact of COVID-19
Impact of COVID-19: Forces at Play
Indian
Cyber
Security
Industry
COVID Related
Threats
Work-from-Home
/ EdTech
Rapid
Digitisation
Rapid Growth of
SaaS and Cloud
Increasing
Online Payments
Mobile Internet
Growth
Lower IT
Spending
Forces at Play Impact

22. Emerging Cyber Security Opportunity in India by Sam Ghosh 30th October 2020
Emerging Cyber Security Opportunity Growing Cyber Threat Indian Cyber Security Industry Impact of COVID-19
Impact of COVID-19: Forces at Play: Changing IT spending pattern
● As per a Gartner report, Global IT spending in the year 2020 is expected to be 8% lesser than in 2019.
Devices and Data Center systems are expected to be worst affected.
● As per a survey of CIO.com, IT spending focus is shifting from AI, Data Analytics, and Data Centres to
Cloud, Collaboration tools, Mobility, and Security.
Data: Gartner Source: CIO.com
Forces at Play Impact

23. Emerging Cyber Security Opportunity in India by Sam Ghosh 30th October 2020
Emerging Cyber Security Opportunity Growing Cyber Threat Indian Cyber Security Industry Impact of COVID-19
Impact of COVID-19: Forces at Play: COVID Related Threats
● Just when lockdowns started in India and the world, Cyberattacks also surged. Between March and April
2020, India has witnessed a staggering 86% increase in cyber-attacks.
● As per INTERPOL, the cyber threats varied from malicious domains, online scams, phishing,
data-harvesting, ransomware and DDoS, etc.
● In June, the Computer Emergency Response Team of India (CERT-In) reported preparation for a large scale
phishing attack on the pretext of free COVID tests.
Forces at Play Impact

24. Emerging Cyber Security Opportunity in India by Sam Ghosh 30th October 2020
Emerging Cyber Security Opportunity Growing Cyber Threat Indian Cyber Security Industry Impact of COVID-19
Impact of COVID-19: Forces at Play: Work-from-home / EdTech
● Google, Microsoft, Uber, Facebook, Reuters, Twitter, Amazon, and many other companies are allowing their
employees to permanently work from home.
● As more and more people working and attending classes online, cybercriminals also increased their efforts
to breach these systems.
● INTERPOL: “Threat actors are exploiting vulnerabilities of systems, networks, and applications used by
businesses, governments, and schools to support staff who are now working remotely. As the growing
number of people relying on online tools overburdens the security measures put in place prior to the virus
outbreak, offenders search for more chances of exposure to steal data, make a profit or cause disruption.”
● CERT-In reported multiple vulnerabilities in Zoom Video Conferencing Application.
Forces at Play Impact

25. Emerging Cyber Security Opportunity in India by Sam Ghosh 30th October 2020
Emerging Cyber Security Opportunity Growing Cyber Threat Indian Cyber Security Industry Impact of COVID-19
Impact of COVID-19: Forces at Play: Rapid Digitisation
● COVID-19 lockdowns have accelerated the digital transformation of many industries.
● Apart from education and online payments, grocery delivery, health-tech, etc. are expected to get a boost
from the pandemic.
● Rapid digitisation means that information which never been online will come online often in a haphazard
way. This is likely to create opportunities for cybercriminals.
Forces at Play Impact

26. Emerging Cyber Security Opportunity in India by Sam Ghosh 30th October 2020
Emerging Cyber Security Opportunity Growing Cyber Threat Indian Cyber Security Industry Impact of COVID-19
Impact of COVID-19: Forces at Play: Rapid Growth of SaaS and Cloud
● The pandemic is forcing companies to push their business on the cloud and using SaaS to continue
operations when the workforce is working from home.
● Many corporates avoided cloud applications due to concerns over data security. Due to COVID-19 concerns
over business continuity have superseded the concern of data security.
● Not only non-critical operations, but companies are also now pushing their critical operations online.
● This trend creates growing cyber threats for enterprises as well as for their employees.
Forces at Play Impact

27. Emerging Cyber Security Opportunity in India by Sam Ghosh 30th October 2020
Emerging Cyber Security Opportunity Growing Cyber Threat Indian Cyber Security Industry Impact of COVID-19
Impact of COVID-19: Forces at Play: Increasing E-Payments
● While all payment modes were negatively affected as the lockdowns started in India, e-payment modes
(especially mobile) payment recovered quickly. ATM withdrawals were still lower than pre-COVID levels in
August.
● This growth of e-payments brings unique cyber crime-related challenges as sensitive data (banking card
info. etc ) can get exposed online.
Data: RBI
Forces at Play Impact

28. Emerging Cyber Security Opportunity in India by Sam Ghosh 30th October 2020
Emerging Cyber Security Opportunity Growing Cyber Threat Indian Cyber Security Industry Impact of COVID-19
Impact of COVID-19: Forces at Play: Mobile Internet Growth
● The pandemic has caused rapid growth in mobile data consumption.
● As per a survey by EY, data consumptions increased by 20%-25% in 2 months. The same growth took 2
years before the pandemic.
● Time spent on the smartphone has increased by nearly 27% to an average of 4.3 hours per user per day.
● This trend creates growing cyber threats to enterprises as well as their employees.
● Mobile devices often are less protected and often become an entry point for cybercriminals.
Forces at Play Impact

29. Emerging Cyber Security Opportunity in India by Sam Ghosh 30th October 2020
Emerging Cyber Security Opportunity Growing Cyber Threat Indian Cyber Security Industry Impact of COVID-19
Impact of COVID-19: Impact of COVID-19 on Cyber Security Industry
● The pandemic is bringing unique challenges for both enterprises and individuals in terms of protecting their sensitive data from
cyber-attacks.
● Many industries are rapidly getting digitised almost in a haphazard manner, bringing more and more critical data online. This is creating a
fertile ground for cybercrime.
● People who never shopped online are now shopping online, people who shopped online before are shopping for things online which they
never shopped online before. The rapid growth of e-payments is bringing unique challenges not only in terms of payment security but also
privacy and fake/illegal eCommerce sites.
● The IT spending is expected to be lower this year but companies are prioritising security spending with spending on cloud and
collaboration.
● The medium to long-term prospects for the cyber-security industry looks promising given the rapid digitisation of digitally naive industries,
increasing access to enterprise systems from mobile devices, migration of critical processes to the cloud systems, and increasing online
transactions, etc.
● Apart from that, as many small and medium-sized businesses are forced to adapt to the increasingly digital world, demand for
cyber-security products/platforms is expected to increase many smaller businesses may not have resources to hire security services.
Forces at Play Impact

30. Emerging Cyber Security Opportunity in India by Sam Ghosh 30th October 2020
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