Worldwide spending on security products and services is expected to grow significantly over the next five years as companies look to address a wide range of security threats and regulatory requirements, according an International Data Corporation report. In 2019, companies will spend $106.6 billion on security-related hardware, software and services, an increase of 10.7% from 2018. By 2023, that number will reach $151.2 billion. The largest component of security spending this year—$47 billion—will be for services like managed security and threat monitoring, integration, consulting, and IT education and training.
Nearly $38 billion will be allocated to software products, including for endpoint security, identity and digital trust, and security analytics, intelligence, response and orchestration. Hardware spending will amount to $21 billion, particularly for network security products like firewalls and intrusion detection and prevention technologies. Banking, manufacturing and federal government sectors are expected to be the top market segments.