Threat Detection and Response Market Balloon with Mobility Risks
Hosted managed detection and response (MDR) is expected to see major growth over the next five years, in part due to increased use of enterprise mobility within the SME market, both in the United States and globally.
Hosted MDR service vendors remotely monitor and manage an organization’s cyberinfrastructure and do not depend on customer premises equipment. They are playing a more critical role as cyber threats are transferring from a company’s core infrastructure to weaker links created by mobile device use.
Globally, the market is conservatively projected to grow from $419 million this year to an estimated $1.6 billion by 2022, which may well be a lowball estimate given the explosion in using mobile devices for work.
The hosted MDR deployment segment will likely experience the greatest lift as it enables efficient protection against a wide range of threats, including malware, phishing, ransomware and cyber threats.
Increased instances of cyberattacks, imminent government regulations and need for compliance are expected to explode the demand for MDR services. The emergence and increased presence of the Internet of Things (IoT) is also a driver.
Nearly 25% of US companies already have experienced some form of ransomware attack, and nearly one in eight reports that this has involved IoT. These failures are a direct result of mid-market companies that are scaling up on their IoT and mobility strategies while lacking security tools.
Alongside mobile devices, IoT hardware including printers, scanners, key locks and industrial controls systems software are vulnerable.
Lack of trust in third party applications and an absence of shared technology could, however, work against the growth in this market. In addition, IT staff at larger organizations lack adequate training on threats outside the immediate computer hardware environment.
Demand for MDR will be highest in the US and Canada as a result of the wider adoption of web-based applications and IoT across various business operations. Leading providers in this area include Arctic Wolf Networks, CrowdStrike, eSentire, FireEye, IBM and NetWorks Group.
Outsourced solutions increasingly are an option for municipalities as well. Arctic Wolf Networks was recently retained to by the city of Sparks, Nevada, to provide it with security operations center (SOC) as a service. This has seen the deployment of an AI-based threat detection system that encompasses the activities of city personnel, including firemen and police officers.
AI is going to play a key role in helping firms to police threats within the enterprise mobility and BYOD area of their operations. Machine learning is already being rolled out and is set to change cyber-security across the board.
A possible role beyond the immediate demand of threat detection is the provision of physical tracking and security access to locations. Mobile devices can be integrated into an AI-managed framework that can replace the need for key cards and security passes by operating from portable devices.