Security Spending Expected to Grow

Morgan O'Rourke


December 2, 2019

Findings - SecurityWorldwide 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.

Morgan O’Rourke is editor in chief of Risk Management and director of publications for the Risk & Insurance Management Society, Inc. (RIMS)