Endpoint Security Market Size, Share & Industry Analysis, By Component (Software and Services), By Deployment (Cloud and On-premises), By User Type (Commercial and Consumer), By Enterprise Type (Large Enterprises and Small & Medium Enterprises), By End-use (BFSI, Telecom & IT, Retail, Healthcare, Government & Public Sector, Transportation, and Others), and Regional Forecast, 2024-2032

The global endpoint security market size was valued at USD 13.60 billion in 2023. The market is projected to grow from USD 14.86 billion in 2024 to USD 30.29 billion by 2032, exhibiting a CAGR of 9.3% during the forecast period.

Endpoint security solutions assist organizations in securing the network and the entry points that bridge internal data. The advanced security solution is considered cybersecurity's frontline solution deployed by organizations to secure their enterprise network infrastructure. Increasing implementation of the Bring-Your-Own-Device (BYOD) policy is expected to propel the growth of the market. For instance, Fortinet, Inc. launched FortiXDR for web threat intelligence detection XDR solution. Similarly, BlackBerry Limited launched managed detection and response (MDR) service. Also, Broadcom, Inc. has launched Adaptive Protection for endpoint security.

Emerging technologies, such as cloud, Artificial Intelligence (AI), the Internet of Things (IoT), and others, are immensely integrated with solutions. Also, the increasing need for security solutions across diverse industries has forced key players in the market to develop advanced security solutions.

The COVID-19 pandemic has compelled companies to implement work from home policies for their employees. The pandemic has increased the risk of endpoint devices getting affected by viruses. According to IDC, around 70% of breaches targeted endpoint devices in 2020. There has been a surge in email attacks during the pandemic period. According to PWC research reports, cyber-attacks in India doubled in the starting three months of 2020. Thus, the demand for endpoint solutions is likely to increase during the forecast period.

Endpoint Security Market Trends

AI-enabled Automated Responses to Drive Product Adoption

Artificial intelligence (AI)-end-use organizations deploy based solutions to secure their business units against external threats and data breaches. Also, the increasing usage of technologies, including cloud services and IoT, has become essential to providing improved endpoint protection. Companies such as Cisco Systems, Inc., FireEye, Palo Alto Networks and others are offering AI-enabled security solutions to detect endpoint attacks. Similarly, these companies are developing Machine Learning (ML)-based solutions for tracing cyber-attacks using behaviour-based approaches. ML technology assists organizations in detecting unauthorized activities at the endpoint devices and alerts the system before it occur. Also, AI is expected to play an essential role in detecting zero-day attacks.

The endpoints of a linkage are usually the furthermost vulnerable parts. That is why most endpoint security applications select AI-powered mechanisms to recognize trigger alerts, and malware or make baselines for adequate behavior. Generative AI can be used to generate virtual scenarios and scripts that classify network animalities and identify vulnerabilities. It empowers enterprises to make better-informed decisions on enhancing security at their locations.

AI-based solutions can detect and inform the type of attack. For instance, BlackBerry Cylance uses AI to compare the new file with other past malware attack samples to check the virus's presence. Thus, with its ability to immediately detect the threat, AI-enabled automated responses are likely to fuel the demand for security solutions.

Endpoint Security Market Growth Factors

Rising Implementation of Bring Your Own Devices to Propel Market Growth

Enterprises are adopting the BYOD policy across their business units to provide flexibility to the employees. Also, the growing use of remote location servers, networking and connected devices has increased the number of endpoints in organizations. Endpoint solutions assist organizations in securing endpoints and tracking unauthorized activities and device behavior. Thus, the rising implementation of the BYOD policy is likely to drive the global endpoint security market growth. For instance, in July 2021, Trend Micro Inc. partnered with Microsoft Corporation. This partnership aims to offer secure cybersecurity solutions to joint clients.

Increasing Number of Connected Devices Aids the Product Demand

The network attacks across the sectors are increasing owing to flourishing digitalization and adoption of open-source connected devices and solutions. Similarly, the rising adoption of solutions, such as the internet of things, industrial control systems, and smart sensors is likely to drift various endpoint attacks.

Further, in January 2021, Fortinet, Inc. introduced FortiXDR, an artificial intelligence (AI)-based, completely automated web threat intelligence detection XDR solution. The increased need for solutions is expected to acquire traction as a result of cumulative investments from countries such as Canada, Qatar, India, Spain, South Korea, Germany, France, Italy, and others.

RESTRAINING FACTORS

Shortage of Skilled Labor to Hamper Market Growth

Organizations deploy endpoint solutions to safeguard their network infrastructure from various attacks. However, several organizations are experiencing a shortage of skilled technical professionals to update and operate the security systems enabled by emerging technologies. As the technology keeps evolving, providing continuous training to technical staff is quite expensive, particularly for SMEs. Thus, this is likely to hamper the adoption of endpoint protection solutions. However, to overcome such barriers, organizations need to conduct frequent digital skills training.

Endpoint Security Market Segmentation Analysis

By Component Analysis

Services Segment to Gain Traction Stoked by Increasing Adoption of Endpoint Solutions

Based on component, the market is categorized into software and services. The software segment is predicted to capture the largest market share. The growth is owing to the rising demand for advanced software to mitigate the continuously rising number of unknown cyberattacks. In addition, companies with less IT knowledge are increasingly relying on managed services for real-time assistance. The demand for expert services is growing as the endpoint system is upgraded and advanced. As a result, endpoint services are becoming increasingly important to stay up with security technologies and compliances.

By Deployment Analysis

On-premises Segment to Dominate Backed by High Preference for IT Solutions

Based on deployment, the market is segmented into cloud and on-premises. The on-premises segment is expected to dominate the market. On-premise is projected to be driven by large organizations that deploy in-house IT solutions.

The cloud segment is expected to grow owing to its ease of implementation and scalability.

Cloud-driven endpoint security offers an incorporated approach that integrates centralized control over cyber threats. It quickly identifies and preferably dissuades intrusions. Deep learning, evidence-powered techniques and predictive analytics can be integrated into machines, allowing them to defend against cyber security threats.

Furthermore, SMEs are shifting toward overcloud deployment security, which will certainly limit cloud solutions.

By User Type Analysis

Commercial Type to Lead Due to Adoption of Endpoint Security Software across SMEs

Based on user type, the market is segmented into commercial and consumer. The commercial segment is projected to hold the largest market share due to the rising penetration of endpoint security software across small & medium enterprises to provide security to the enterprise operational system. Endpoint security solutions in the commercial sector help to reduce business downtime, automate security operations, and enable secured and safe remote work for employees. Hence, a higher percentage of vendors’ revenue comes from the commercial sector as compared to consumer sales, contributing to the market growth in commercial endpoint security.

By Enterprise Type Analysis

Large Enterprises to Lead Fueled by Adoption of Advanced Connected Technology

The market is categorized into large enterprises and Small & Medium Enterprises (SMEs) by enterprise type. The large enterprises segment is likely to lead the market owing to the rising adoption of BYOD policies and advanced connected devices.

On the other hand, software vendors are developing customized security solutions for SMEs. These security solutions are developed to cater to the industry's safety criteria at a far lower cost. This is anticipated to increase the product demand in small and medium-sized businesses. The market growth is also benefiting from increased awareness of advanced security solutions.

By End-use Analysis

Growing Private and Crucial Data to Boost Demand for Endpoint Protection in Healthcare

Based on end-use, the market is categorized into BFSI, telecom & IT, healthcare, retail, healthcare, transportation, government & public sector, and others. Endpoint protection solutions are in high demand in healthcare owing to the increasing volume of data. Healthcare data is regarded as the most critical data, and there is now an increase in the number of assaults all around the world. In addition, the growing use of advanced medical equipment, wearable devices, and electronic data increases the number of endpoint devices in the healthcare business. This is driving the demand for endpoint solutions.

Similarly, the government and public sectors are experiencing tremendous growth as a result of the industry's rising digitization and automation. Furthermore, the rising demand for BYOD and work-from-home policies is posing various issues for IT businesses in terms of providing a secure network, which is projected to fuel market growth. Endpoint software helps safeguard different essential data and information in the BFSI industry, which if abused by hackers, can result in massive losses.

REGIONAL INSIGHTS

North America is expected to hold the highest endpoint security market share during the forecast period. The growing usage of connected devices and the internet of things across a variety of businesses in the area is driving up demand for security solutions. Also, the presence of various security solution providers in the U.S. is expected to gain traction throughout the projected period.

Similarly, Europe is likely to gain significant market growth during the forecast period due to greater emphasis on enhancing cyber security infrastructure in the following years. Germany and the U.K. are projected to dominate the market to deal with the growing number of cyber-attacks and German firms have increased their IT budgets. Similarly, the UK government has issued end-user device recommendations to firms that provide external device deployment.

Asia Pacific is likely to witness rapid growth during the forecast period owing to increasing IT spending across the industries. Companies are rapidly adopting AI, internet of things, cloud, and other technologies to develop advanced security solutions. China is likely to lead the Asia Pacific market. The rapidly expanding 5G infrastructure is accelerating the adoption of endpoint solutions in China. Also, due to increased national security concerns, the Indian government is likewise concentrating on data protection.

List of Key Companies in Endpoint Security Market

Companies Focus on Providing Advanced Security Solutions for Enterprises

Prominent providers, such as Intel Corporation, VMware Inc., McAfee LLC, Sophos Inc., Palo Alto Network Inc., AO Kaspersky Lab, and others, are acquiring the companies to gain expertise. Further, market players are concentrating on providing advanced and robust endpoint protection solutions by incorporating new technologies such as AI, machine learning, and others into their existing products.

List of Key Companies Profiled:

• BlackBerry Limited (U.S.)


• Cisco Systems, Inc. (U.S.)


• Palo Alto Network Inc. (U.S.)


• Fortinet, Inc. (U.S.)


• VMware, Inc. (U.S.)


• CrowdStrike (U.S.)


• AO Kaspersky Lab (Russia)


• Ivanti (U.S.)


• Trend Micro Inc. (Japan)


• Check Point Software Technologies Ltd. (Israel)


• Sophos Ltd (U.K.)

KEY INDUSTRY DEVELOPMENTS:

• November 2023 – SentinelOne expanded its alliance with Pax8 to create substantial prospects for MSPs, the cybersecurity company. The two-year settlement would see more SentinelOne tools coming to the Pax8 marketplace.


• August 2023 – Trend Micro introduced a new offering developed to authorize service partners MSSPs and MDR (managed detection and response) enterprises to grow and build their MDR and SOC-as-a-service solutions.


• April 2023 – Syxsense, a Unified Security and Endpoint Management (USEM) solution provider, partnered with EVOTEK to deliver endpoint management and security services to customers using various Syxsense solutions such as Syxsense Secure, Syxsense Manage, and Syxsense Enterprise.


• April 2023 – VMware introduced new security abilities to help stop cyber threats. VMware continued the extension of the cloud-driven patch management abilities of Workspace ONE, which is essential to endpoint security.


• February 2023 – ESET partnered with Intel to enhance ESET endpoint security software technologies using Intel hardware-based ransomware protection to deliver security to all-sized businesses.

REPORT COVERAGE

The report highlights leading regions across the world to offer a better understanding of the user. Furthermore, the report provides insights into the latest industry trends and analyzes technologies deployed at a rapid pace at the global level. It further highlights some of the growth-stimulating factors and restraints, helping the reader gain in-depth knowledge about the market.

REPORT SCOPE & SEGMENTATION