Cyber Security M&A Review - decoding deals in the global Cyber Security industry

Global Cyber Security spending is expected to reach $60 billion in 2011 and is forecast to grow at 10 percent every year during the next three to five years.

In most global regions, the private sector accounts for the majority of Cyber Security spending, the U.S. is the notable exception where government spending is almost equal to the private sector.

Key drivers underpinning growth in Cyber Security spending include:

  • Increasing cyber threats, both from new actors and new threat vectors (the paths that attacks can take).
  • Greater vulnerabilities due to the more pervasive use of technology, particularly mobile devices and cloud computing.
  • Increasing awareness by organizations and consumers of the threats and potential threats.
  • Changes in technology driving product and service innovation of security solutions.
  • Increasing regulation, particularly those enforcing the requirement to secure personal data.
  • Changes in outsourcing: some organizations are increasingly relying on partners for security, whilst others are growing internal security spending to maintain greater levels of control.