Managed Security Services Market to Soar to USD 84.1 Billion by 2032, Driven by Rising Cyber Threats

(MENAFN- P&S Intelligence) According to the latest market research study published by P&S Intelligence, the global managed security services market is poised for substantial expansion, with projected revenues of USD 34.2 billion in 2024 and a robust CAGR of 12% during 2025–2032, culminating in a valuation of USD 84.1 billion by 2032. This remarkable growth is largely driven by the escalating complexity of cyber threats, the surge in data volume from digital interactions, and the increasing pressure from governmental regulations on data protection and compliance.

Digital transformation continues to expose organizations to a new wave of cyber vulnerabilities, particularly with the widespread integration of technologies like cloud computing, artificial intelligence (AI), and machine learning (ML). In response, businesses are increasingly turning to managed security service providers (MSSPs) to safeguard their digital assets and infrastructure. These services not only offer advanced threat detection but also enable compliance with industry-specific regulations while minimizing internal IT strain. The market’s upward trajectory is further supported by the rising incidences of ransomware, the shift toward cloud-based solutions, and the evolving cyber-attack vectors associated with the Internet of Things (IoT).

Key Insights

• The managed detection and response (MDR) segment will lead the market in 2024 with a 30% revenue share and is anticipated to grow at a CAGR of 12.5% through 2032, owing to the heightened sophistication of threats and the integration of AI and ML in detection systems.

• Fully managed services will dominate the market in 2024 with a 70% share, favored by small and medium enterprises (SMEs) lacking in-house expertise and seeking cost-effective, comprehensive security solutions.

• Co-managed services will experience the fastest growth at a CAGR of 13% from 2025 to 2032, driven by organizations looking for hybrid security models that combine internal oversight with external expertise.

• Large enterprises are projected to contribute 65% of market revenue in 2024, backed by their complex infrastructure needs and significant compliance obligations.

• SMEs will see a CAGR of 13% from 2025 to 2032, as scalable solutions and rising cybersecurity awareness boost adoption among smaller businesses.

• The BFSI sector will remain the largest industry segment in 2024, with a 35% market share, attributed to the sector’s strict regulatory landscape and the need to protect sensitive financial data.

• Healthcare and life sciences will be the fastest-growing industry vertical, at a 12% CAGR, due to increased digitization of health records and strict compliance requirements like HIPAA.

• North America will dominate geographically in 2024 with a 40% market share, bolstered by advanced tech adoption, stringent regulations, and high-profile cyber incidents.

• The Asia-Pacific region will be the fastest-growing market, at a 12.5% CAGR during 2025–2032, driven by increasing digital transformation, cybersecurity investment, and the growing role of SMEs in regional economies.

• IoT security services are a major market trend, addressing the vulnerabilities posed by the proliferation of connected devices across industries.

• The need for advanced protection from zero-day attacks, polymorphic malware, and insider threats is propelling the demand for MSSPs across industries.

• Talent acquisition and retention pose a significant challenge, with a global shortage of cybersecurity professionals threatening service quality and innovation.

• Major players driving innovation and market competitiveness include IBM, Wipro, Tata Consultancy Services, Trustwave Holdings, Secureworks, BDO Global, and Accenture.

• Recent industry developments include AT&T’s partnership with WillJam Ventures to launch a standalone cybersecurity firm, Rapid7’s ASEAN expansion via TruVisor, and Trustwave’s release of a managed SIEM service for Microsoft Sentinel.

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