The cybersecurity industry has been growing steadily for the last decade, experiencing particularly explosive growth starting in 2019, with $7.6 billion invested in the industry – a 44% increase from 2018. Cybersecurity Investment in the Last Decade With many companies announcing remote-first policies indefinitely and over $3.7 billion in funding already recorded in 2021, we expect this momentum to continue ( find more information about 2021 funding here). And attack surface management company Expanse, which announced exceeding 100% year-over-year growth in October 2020, inked an $800 million acquisition by Palo Alto Networks. Just as the pandemic accelerated cloud transformation, it also also accelerated the momentum of cloud security companies like Lacework, Aqua Security, OwnBackup, Axonius and more, all of which have raised rounds of over $100 million since the pandemic began. As companies increased their cloud usage and number of internet-connected assets, it created a much larger attack surface. While companies have been slowly moving to the cloud for the past decade, the pandemic greatly accelerated digital transformation. A wide array of cybersecurity tools can help limit the likelihood of a costly breach. Cyber breaches can be particularly expensive – both in terms of the cost to fix the problem and the potential cost of lost customers due to a lack of trust. In April 2020, the FBI’s Cyber Division reported a fourfold increase in cybersecurity complaints each day as hackers took advantage of remote workers and daily business activities moving online. Highly publicized and damaging data breaches have also played a large part in the rapid expansion of the cybersecurity industry. According to a Gartner report, end-user spending for the information security and risk management market is predicted to become a $207.7 billion market by 2024. The cybersecurity industry has been experiencing rapid global growth for the past decade and, with many companies forced to transition to online, the pandemic only increased this urgency and the relevance of the industry.
About 58% are seed-stage companies, 32% are in early stage, and 10% are in late stage. About 1,500 cybersecurity companies around the globe have received venture funding since 2017 and have not yet exited. Global venture funding for the cybersecurity industry hit an all-time high in 2020, reaching $7.8 billion. There are several common areas of cybersecurity, including, but not limited to: network security, cloud security, data loss prevention, intrusion detection, identity and access management, endpoint protection, and anti-malware. What is cybersecurity?Ĭybersecurity is the practice of defending systems from information disclosure and threats. In this report we take a look at how the cybersecurity venture capital scene has grown over the last decade, how it was impacted by the pandemic, and its outlook for 2021 and beyond. In turn, it also led to the rise of new cybersecurity startups poised to capitalize on the opportunity, and venture capitalists flooding the industry with new funding. This led to an increase in data and sensitive document transfers occurring in the cloud, and companies seeking increased protections against hackers and data breaches. With scattered workforces, complete digital adoption was no longer a choice, but a necessity. This is on pace to smash the 2020 record.Īs COVID-19 spread across the globe and many companies transitioned to remote work, the need for cybersecurity increased immensely. In 2021, over $3.7 billion in cybersecurity investments have been recorded globally so far.Just a few months into 2021, nine new cybersecurity unicorns have already emerged, well surpassing the 2020 record. 2020 recorded six new cybersecurity unicorns, a record for a single year at the time.Israel is the second leading country in the industry – over 20% of the country’s venture funding went to cybersecurity companies in 2020.recorded 76% of all global cybersecurity funding in 2020, at $5.9 billion. Investment in cybersecurity companies has increased more than ninefold since 2011.Despite the global pandemic, 2020 was a record year for cybersecurity investments with over $7.8 billion invested in the industry globally.
0 kommentar(er)
