Edge Security Market Size By Component (Solutions & Services), Deployment (Cloud, and On-Premise), and Vertical (BFSI, Government & Defense, Retail & E-commerce, Energy & Utilities, Manufacturing, Healthcare & Life Sciences, IT & Telecom, and Others), and Region - Market Share, Trend Analysis, Competitive Intelligence, Historical Data, and Forecast 2023 - 2032

Market Perspective

The Edge Security Market size was worth around USD 19.94 billion in 2022 and is predicted to grow around USD 62.47 billion by 2032 with a compound annual growth rate of roughly 12.01% between 2023 and 2032. Mobile and Internet of Things applications are the main forces behind edge computing and security.

Applications for mobile and IoT are expanding rapidly. In order to process the vast quantity of data being generated and consumed at the edge, there is a constant demand for more highly accessible, low-latency, incredibly performant, secure, and easily scalable systems.

Edge security is a sector of the worldwide security market that deals with protecting network designs and network edge devices like gateways, endpoints, and IoT devices. The rise of IoT and connected devices, as well as the necessity to safeguard cloud environments, remote working, and distributed workforces, have enhanced the importance of the edge security market.

VMWare Inc., Zscaler Inc., Trend Micro Incorporated, Sophos Ltd., Palo Alto Networks, and others are some of the leading companies in the global market. In the upcoming years, it is anticipated that the edge security market would experience considerable growth due to the rising adoption of edge computing and the rise in connected devices.

Key Insights

• Based on components, the services segment held the largest market share in 2022
• Based on deployment, the cloud segment dominated the market in 2022
• Based on vertical, the BFSI segment generated the highest revenue in 2022
• On the basis of region, North America accounted largest market share in 2022

Increasing Demand for Secure Access to Cloud Services and Websites is Propelling the Market Demand

Security Service Edge (SSE) is used to replace traditional Secure Web Gateways (SWGs) and enforce policy controls over user access to web, cloud, and internet applications. By managing policies through SSE, end users can access content both inside and outside the network with reduced risk.

In addition, SSE can enforce corporate internet and access control policies for compliance purposes and includes Cloud Security Posture Management to protect against insecure misconfigurations that may lead to security breaches. The AT&T Cybersecurity Insights Report 2022 highlights that the ideal edge networks are 5G and cloud when it comes to ensuring secure access to PaaS, IaaS, and SaaS.

Adoption of New Technology such as 5G is Opening New Market Opportunities

5G and edge computing are interrelated technologies that significantly enhance application performance and provide real-time processing capabilities for large amounts of data. With 5G delivering speeds up to 10x faster than 4G, and mobile edge computing reducing latency by bringing computation closer to the end-user on the network, businesses can enable highly responsive, low-latency applications such as V2X, cobots, and remote surgery.

The success of these applications relies on end-to-end latency measured in milliseconds, which is only possible with highly reliable and low-latency communications, and 5G technology provides the impetus to make that possible. Additionally, 5G technology provides enhanced mobile broadband capabilities for use cases with large data rates, such as augmented and virtual reality.

According to the Ericsson Mobility Report published in Favorable market conditions, including increased competition and favorable regulatory environments, are expected to contribute to the rapid acceleration of the 5G market in the Gulf Cooperation Council countries.

Recent Development

November 2022- North America and Northeast Asia are likely to have the highest penetration of 5G subscriptions by the end of 2022, followed by the Gulf Cooperation Council countries at 20% and Western Europe at 11%.

September 2022: Integrated telecoms company Deutsche Telekom and Palo Alto Networks have partnered. Both businesses would provide a managed Secure Service Edge as part of this partnership. In order to ensure consistent, high-performance access to apps by the user.

Segmentation Analysis

Based on deployment, the market is bifurcated into cloud and on-premise. The cloud segment dominated the market. A cloud security solution called cloud access security broker (CASB) is intended to highlight the shortcomings of traditional network security paradigms. This can be used to give network visibility and threat protection for a company's cloud applications either physically or through the use of software-as-a-service (SaaS).

The attack surface is widened and the requirement for security at each place is emphasized by a distributed edge evolution. Solutions for multi-cloud, hybrid-cloud, and multi-tenant edge deployments are provided by cloud-based edge security solutions. By providing a zero-trust security model across all edge locations, it delivers tried-and-true solutions for IoT, LAN, API, and application security. Edge security solutions powered by the cloud remove the difficulty of administering legacy application-based solutions.

On the basis of the vertical, the market is categorized into BFSI, government & defense, retail & e-commerce, energy & utilities, manufacturing, healthcare & life sciences, IT & telecom, and others. The BFSI segment dominates the market share during the forecast period. The BFSI industry deals with a significant amount of personal information and private data of its shareholders, making it a prime target for severe attacks and threats. With the increasing popularity of online and mobile banking, the potential for network attacks and data breaches continues to grow. To address these challenges and maintain data security, there is a pressing need for efficient data protection solutions. This shift in trends toward improved data security is expected to drive the segment's expansion in the coming years.

Regional Landscape

North America is Dominating the Market Share as it has High Consumers Demand in the Industry

North America has the highest revenue share in the edge security market due to its favorable business dynamics, robust institutional pillars, and thriving environment for innovation and financial methods. The increasing adoption of 5G and IoT services in the region has led to a growing demand for edge computing and edge security solutions. Moreover, North America serves as a hub for a large number of edge security solution providers who are investing in R&D to create advanced services and products, which will further drive the market's growth in the region.

The rapid adoption of cloud services and digitization has accelerated the development of edge security solutions, which are essential for ensuring effective and secure corporate operations. To keep pace with these emerging technologies and trends, manufacturers are creating innovative products that enable enterprise-level innovation in data-intensive applications. These trends are expected to have a positive impact on local industry trends.

Competitive Landscape

• Zscaler Inc.
• Palo Alto Networks
• Broadcom
• Cisco Systems, Inc.
• Barracuda Networks, Inc.
• Forcepoint
• Check Point Software Technologies Ltd.
• Hewlett Packard Enterprise Development LP
• Akamai Technologies
• McAfee, LLC.

The global edge security market is segmented as follows:

By Component

• Solutions
• Services

By Deployment

• Cloud
• On-Premise

By Vertical

• BFSI
• Government & Defense
• Retail & E-commerce
• Energy & Utilities
• Manufacturing
• Healthcare & Life Sciences
• IT & Telecom
• Others

By Region

• North America
  • The U.S.
  • Canada
  • Mexico
• Europe
  • France
  • The UK
  • Spain
  • Germany
  • Italy
  • Nordic countries
    • Denmark
    • Finland
    • Iceland
    • Sweden
    • Norway
• Benelux Reunion
  • • Belgium
    • The Netherlands
    • Luxembourg
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • New Zealand
  • Australia
  • South Korea
  • Southeast Asia
    • Indonesia
    • Thailand
    • Malaysia
    • Singapore
    • Rest of Southeast Asia
  • Rest of Asia Pacific
• The Middle East & Africa
  • Saudi Arabia
  • UAE
  • Egypt
  • Kuwait
  • South Africa
  • Rest of the Middle East & Africa
• Latin America
  • Brazil
  • Argentina
  • Rest of Latin America