CYBERSECURITY A DETAILED INDUSTRY

ANALYSIS
INDUSTRY -BY HARPREET SINGH
RESEARCH ANALYSIS

Harpreet10767hrc@gmail.com
SL. PARTICULARS/TOPICS
NO

1 Global picture of Cyber Security market

2 Cyber Security industry
3 Brief history of Cyber Security industry
4 Cyber Security exporters share
5 Indian market for Cyber Security industry
6 Cyber Security industry’s contribution to India’s GDP and Manufacturing sector’s GDP
7 Structure of Cyber Security
8 Basic terms
9 Barriers to entry
10 Porter’s 5 force analysis
11 Swot analysis
12 Top key players and major financial pointers
13 E-commerce
14 Key start-ups in Cyber Security industry
15 Key investors in Cyber Security industry
16 Major acquisitions in 2021
17 Government initiatives in apparel industry in India
18 Final thoughts
19 References

INDEX
SECTOR
OVERVIE
W GLOBAL PICTURE OF THE
INDUSTRY
CYBERSECURITY MARKET
The cybersecurity industry covers a wide array of preventative and corrective operational
functions (i.e. identify, protect, detect, respond, and recover) across virtually every medium
(e.g. devices, applications, network, data, and users).

The categorization can be further classified as:

1. USAGE SEGMENT- The global cyber security market is segmented into component,
solution/offering, deployment type, user type, industry vertical, and region. In terms of
component, the market is bifurcated into solution and services. The solution segment is further
divided into hardware and software.
2. GEOGRAPHIC SEGMENT- For what concerns the geographic aspect; this market can be
divided into dominating - whose share in the global revenues is most meaningful - and
peripheral regions, whose share is rather small. Among the former the following regions stand
out with biggest shares in global revenues: North America, Latin America, Asia-Pacific and
Western Europe. Since the turn of the century the cosmetic markets of the BRIC countries
(Brazil, Russia, India, China) have been growing very fast.
MARKET SIZE- $149.67 BILLION

CYBERSECURITY INDUSTRY SEGMENTATION

ANNUAL GLOBAL CYBERSECURITY MARKET (GROWTH RATE)

Asia-Pacific is Expected to be the Fastest Growing Market
 Asia-Pacific is expected to have the highest market growth for cybersecurity solutions over
the forecast period. The strong presence of several market incumbents, coupled with
recent security threats in the region, is expected to accelerate these solutions further.
 India has experienced a rapid increase in cybercrime registration, with the country ranking
fifth in terms of the overall DNS hijacks. Also, according to Gemalto, India accounts for 37%
of the global breaches in terms of records compromised or stolen. Furthermore, the
increasing number of malware and ransomware attacks in the country is a significant factor
driving the adoption of
cybersecurity solutions.
COUNTRIES
According to the 2019
BRIC Internet Security Threat
25% Report by Symantec, the
use of malicious
PowerScripts increased
OTHERS
51% by 1,000%, and
ransomware infections
NORTH AMERICA of enterprises increased
24%
by 12% in 2018.
 Moreover, South Korea is becoming one of the prime targets for cyber-attacks due to the
country’s increasing number of connected devices, advanced use of mobile devices, and
significant intellectual property. In January 2019, according to the National Police Agency
report, cybercrimes increased by nearly 14% in Korea in 2018, reaching about 150,000
cases. This drives the use of cybersecurity in this country.

Value of global Cyber Security industry is around 1,000 billion dollars (1 trillion dollars) which is
about 1% of the world’s total GDP.

BRIEF HISTORY OF CYBERSECURITY INDUSTRY

March 16, 1971 – Discovery of the Creeper Virus

 Believe it or not, the idea of a computer virus preceded computer networks. During the
age of ARPANET (the internet at its earliest form) in 1971, the few users of the network
were surprised when their screens displayed the phrase: “I’m the creeper, catch me if you
can.” At the time, users had no idea who or what it could be. Creeper was a worm, a type
of computer virus that replicates itself and spreads to other systems.

June 9, 1993 – The First DEF CON Conference 

 DEF CON is one of the world’s most popular cybersecurity technical conferences. Started
in June of 1993 by Jeff Moss, it opened in Las Vegas with roughly 100 people. Today the
conference is attended by over 20,000 cybersecurity professionals from around the world.
February 1995 – The Birth of Secure Sockets Layer (SSL) 2.0

 The security protocol that allows people to do simple things like purchase items online
securely was made possible by the Secure Sockets Layer (SSL) internet protocol. Netscape
began developing the SSL protocol not long after the National Center for Supercomputing
Applications released the first web browser. In February 1995, Netscape released SSL 2.0,
which became the core of the language for securely using the web, called Hyper Text
Transfer Protocol Secure. Today, when you see “HTTPS” in a website address, you know
its communications with your browser are encrypted.

Oct. 1, 2003 – Anonymous is Born

Anonymous was the first universally known hacker group. The group has no leader and
represents many online and offline community users. Together, they exist as an anarchic,
digitized global brain. Wearing the mask of Guy Fawkes, the group gained national attention
when the group hacked the Church of Scientology website with distributed DDoS attacks.
Anonymous continues being linked to numerous high-profile incidents; its main cause is
protecting citizens’ privacy.

Jan. 12, 2010 – Operation Aurora Reveals a Nation-as-Hacker

Before 2010, disclosures of security breaches were considered highly unusual. On Jan. 12 of
that year, Google shocked the world when it announced “Operation Aurora,” a major breach on
its infrastructure in China. Google initially thought the attackers’ goal was to access Gmail
accounts of Chinese human rights activists. Analysts discovered the true intent was identifying
Chinese intelligence operatives in the U.S. who may have been on watch lists for American law
enforcement agencies. The attacks also hit more than 50 companies in the internet, finance,
technology, media and chemical sectors.
CYBERSECURITY EXPORTERS SHARE

INDIAN MARKET FOR CYBERSECURITY INDUSTRY

 Cyber security breaches across organizations have become commonplace, regularly
grabbing headlines that alarm both consumers and leaders. As our reliance on data and
interconnectivity swells, developing strong resilience to withstand cyberattacks has never
been more important.

 According to the report study estimates, the cyber security market in India is expected to
grow from USD 1.97 billion in 2019 to USD 3.05 billion by 2022, at a compound annual
growth rate (CAGR) of 15.6%—almost one and a half times the global rate.
 While many factors are contributing to this high growth rate, three factors are significantly
driving the cyber security demand market in India—
 Digital growth
 Increase in cyberattacks
 Stringent regulatory mandates.
With 26% expenditure, BFSI has the largest share in cyber security expenditure.
 IT/ITeS sector is growing the fastest at a CAGR of 18%
 Significant security spending in the government sector will revolve around investments in
defensive measures to counter threats by state actors to critical infrastructure.
 The cyber security spend in other sectors is expected to grow from USD 630 million in 2019
to USD 949 million by 2022, at a CAGR of 14.6%. The major sectors under this ambit include
energy, healthcare and automotiveThe nearby linkage of the material business to farming
(for crude materials like cotton) and the old culture and customs of the country as far as
materials make the Indian materials area remarkable in contrast with the enterprises of
different nations.

CYBERSECURITY CONTRIBUTION TO INDIA’S GDP AND SECTORS

These insights put in perspective the crucial need for embedding cybersecurity services and
capabilities in organization processes and policies:
• The evolving nature of cybersecurity attacks such as web application breaches, ransomware,
reconnaissance, cyber espionage and DDoS attack establishes cyber-risk as a new challenge for
enterprises and government authorities
• The digital economy contributes approximately 15% to India’s GDP and it is expected to grow
to 20% by 2024.
• India’s digital requirements have expanded the data infrastructure to cover more than 120
recognized data centres and cloud networks – which Indian & MNC enterprises and Central &
State Governments leverage and access to store data of not just citizens, but also global and
domestic transactions
• The average mobile and data user in India consumes 15-20 gigabits of data per year
• eCommerce as an industry is expected to grow to $25 Billion by 2024.
• Digital payments in India are growing at 13% CAGR, while the mobile wallets domain will soon
experience growth of 50% CAGR
With greater inclusion of services such as artificial intelligence (AI), Machine Learning (ML), data
analytics, cloud computing and Internet of Things (IoT), across all industry and functional
domains, the scope of cybersecurity has become a challenging and necessary function across all
organizations and enterprises
BARRIERS TO ENTRY
The major barrier to entry in Cyber Securities is the excessive competition. Even surviving in the
market for quite a period of time depends on many factor, placing the right product in the right
time at the right place at the right price.

The moderate profit margin is also one of the factor which industry faces due to high
competitiveness. Excellent communication with the vendors is critical so that their creative
vision is at least somewhat in alignment with what will sell.

Porter’s Five-Forces Model will be used to illustrate business environment of

apparel industry.
THREAT OF ENTRY
Threat of entry to the apparel industry is low. But the economies of scale in production has
significant impact on the entrant. It forces the entrants either to accept cost disadvantage or
produce in a large scale. On the other hand, brand identification and production differentiation
plays the significant role, because brand identification creates a barrier to entry.
THREAT OF SUBSTITUTE
Threat of substitution in this market is very high.
COMPETITIVE RIVALRY
The Cyber industry, due to its low barriers of entry and declined obstacles to trade among
nations, is one of the most highly competitive industry in the world.
 THREAT TO
ENTRY
LOW

POWER OF THREAT OF
SUPPLIERS SUBSTITUE
MODERATE PORTERS HIGH
5 FORCE
MODEL
ANALYSIS

COMPETITIVE POWER OF
RIVALRY BUYERS
VERY HIGH HIGH

SWOT ANALYSIS

TOP KEY PLAYERS IN INDIAN CYBERSECURITY INDUSTRY AND

MAJOR FINANCIALS POINTERS
 SL. NAME LISTED/UNLISTE
NO D
.
1 Marlabs Inc L
2 Ishir L
3 Kratikal L
Tech Pvt Ltd
4 Sattrix L
5 IARM L
Information
Securities
6 Cymune L
Cyber sec.
7 Convosync L
solutions
8 Everdata L
Technologie
s
9 Cyber Sec. L
Hive
10 CiElo Tech. L

E-COMMERCE FASHION AND APPAREL INDUSTRY

 E-commerce cybersecurity is a round clock practice that involves people, procedures and
technological solutions. The privacy and security of customers must be prioritized, and the
benefit is mutual as the shoppers will spend more time purchasing from the business, and
have little to worry about their information being stolen.

KEY STARTUPS IN CYBERSECURITY INDUSTRY

COMPANY LOGO NAME DESCRIPTION
Seconize serves in cloud-
based, AI/ML-
enabled,
automated security
solutions to
ventures who are
surrounded by
digitization and all
the information
about the company
 is on cloud or
drives.
WiJungle WiJungle works
towards developing
and marketing
unified network
security gateway to
companies in more
than 25 countries
across the globe.
WiJungle was
founded in the year
2014, WiJungle was
launched as a
completely free
WiFi service and it
was the first Indian
private company to
bring up this idea.
Lucideus Lucideus was
developed at IIT
Bombay for
information on
security services. It
is an AI-ML enabled
platform which
takes care of
enterprises across
the globe. This
platform monitors
and responds to
cyber-threats
effectively and
reduces cyber-
attacks.
Sequrete Sequretek is a
k cyber-security
startup with an aim
to simplify security
for enterprises and
businesses. It helps
to equip them with
AI and ML-driven
security tools and
 solutions which
makes sure that the
company is secured
and properly armed
against all the
security threats
without any
vulnerability.

KEY INVESTORS IN CYBERSECURITY INDUSTRY

NAME OF THE Amount( in DEAL TYPE

INVESTOR $)
AnchorFree 295M Later Stage VC

Rubrik 261M Series E

Lookout 201M Series F

GOVERNMENT INITIATIVES IN CYBERSECURITY INDUSTRY IN

INDIA

1.National Cyber Security Policy, 2013:[3]

 Creating a secure cyber ecosystem through measures such as a national nodal agency,
encouraging organisations to designate a member of senior management as the Chief
Information Security Officer and develop information security policies.
 Creating an assurance framework.
 Encouraging open standards.
 Strengthening the regulatory framework coupled with periodic reviews, harmonization
with international standards, and spreading awareness about the legal framework.
 Creating mechanisms for security threats and responses to the same through national
systems and processes. National Computer Emergency Response Team (CERT-in) functions
as the nodal agency for coordination of all cyber security efforts, emergency responses, and
crisis management.
 Securing e-governance by implementing global best practices, and wider use of Public Key
Infrastructure.
 Protection and resilience of critical information infrastructure with the National Critical
.Information Infrastructure Protection Centre operating as the nodal agency.
 To promote cutting edge research and development of cyber security technology.

2. Cyber Swachhta Kendra’ (Botnet Cleaning and Malware Analysis Centre)

 The Cyber Swachhta Kendra is a step in the direction of creating a secure cyber ecosystem
in the country as envisaged under the National Cyber Security Policy in India. This centre
operates in close coordination and collaboration with Internet Service Providers and
Product/Antivirus companies to notify the end users regarding infection of their system and
providing them assistance to clean their systems, as well as industry and academia to
detect bot infected systems. The center strives to increase awareness of common users
regarding botnet, malware infections and measures to be taken to prevent malware
infections and secure their computers, systems and devices.

3.Collaboration with industry partners

:Development of Public Private Partnerships is an important strategy under the National Cyber
Security Policy 2013. Pursuant to this aim, under the aforementioned Cyber Swachhta Kendra
initiative, antivirus company Quick Heal is providing a free bot removal Tool.

To combat the ever-evolving techniques of cyber intrusions, the government also recognises
the need for working in collaboration with industry partners. Consequently, Cisco and Ministry
of Electronics and Information Technology’s Indian Computer Emergency Response Team
(CERT-In) have signed a Memorandum of Understanding (MoU) whereby a threat intelligence-
sharing programme will be established, wherein personnel from Cisco and CERT-In will work
collectively to tackle digital threats and develop and incorporate new ways to improve
cybersecurity

CONCLUSION and SYNOPSIS

 Conclusion 1. More attention to both the capacity and capability of the U.S. cybersecurity
workforce is needed.

 Conclusion 2. Although the need for cybersecurity workers is likely to continue to be high, it is
difficult to forecast with certainty the number of workers required or the needed mix of
cybersecurity knowledge and skills.

 Conclusion 3. The cybersecurity workforce encompasses a variety of contexts, roles, and

occupations and is too broad and diverse to be treated as a single occupation or profession.
Whether and how to professionalize will vary according to role and context.

 Conclusion 4. Because cybersecurity is not solely a technical endeavor, a wide range of

backgrounds and skills will be needed in an effective national cybersecurity workforce.

 Conclusion 5. Professionalization has multiple goals and can occur through multiple
mechanisms

 Conclusion 6. The path toward professionalization of a field can be slow and difficult, and
not all portions of a field can or should be professionalized at the same time.

 Conclusion 7. Professionalization has associated costs and benefits that should be weighed
when making decisions to undertake professionalization activities.
REFERENCES
https://www.inc.com/encyclopedia/industry-analysis.html
https://www.crunchbase.com/
https://corporatefinanceinstitute.com/resources/knowledge/strategy/industry-
analysismethods/