PAC Webinar - "Show me the money!" - evaluating market opportunities in cyber security
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© PAC Show me the money! Evaluating Market Opportunities in Cyber Security 2014 PAC Webinar
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Transcript of PAC Webinar - "Show me the money!" - evaluating market opportunities in cyber security
© PAC
Show me the money! Evaluating Market Opportunities in Cyber Security
2014
PAC Webinar
© PAC 2014 Show 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
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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.
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Cyber security market segments
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Cyber security segments
The is no digital economy without digital trust
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Market size
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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
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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.
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boosters
The economy & discretionary spend
Skill shortages
New technologies & deperimeterisation
Regulation & compliance
Increasing threat landscape
!"
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$ £ ¥ € ¢
Fragmented legislation
Market dampers
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Market players
Local specialists IT services generalists Defence contractors
Technology vendors Consultancies Telecoms specialists 8
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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
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Market implications
Rate of adoption
Show me the Money! - The Market Opportunity in Cyber Security
Integrated security solutions
Managed services
2018 2013 2014 2015 2016 2017
Data-led governance
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Security services market structure
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Managed security services
Discrete C&SI security projects
Advisory services (GRC, technology trends, etc.)
Cloud-based security services (Syaas)
Embedded C&SI security input
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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
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Growth challenges – services
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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
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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
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Growth challenges – software
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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
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Things that are NOT differentiators:
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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
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Questions
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Duncan Brown [email protected]
Mathieu Poujol [email protected]
Your questions are welcome!!
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How can PAC support you?
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SITSI® Cyber Security market research
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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!
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PAC’s Cyber Security team
2014
Mathieu Poujol!Principal Consultant Cyber Security & Infrastructures PAC Group
Duncan Brown!Director PAC UK"
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Franck Nassah!Senior Vice President PAC France"
Dominic Trott!Senior AnalystPAC UK"
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Eugen Schwab-Chesaru!Managing Director Software & IT ServicesEastern Europe """
Biswajit Banerjee!Senior Analyst Software & IT ServicesAPAC "
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PAC France!Pierre Audoin Consultants Immeuble Actualis - 2e étage 21 boulevard Haussmann 75009 Paris, France Tel: +33 (0) 1 56 03 67 24 [email protected] !!!
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""
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About us!
PAC IndiaPierre Audoin Consultants 610-611, Ashoka Estate, 24 Barakhamba road, New Delhi - 110001, India Tel: +91 (0) 11 4353 [email protected]
2014
