Globally, the managed security service market rose 11 percent to $14.3 billion in 2013. In 2012, the industry grew 11 percent from 2011, said Infonetics Research.
56 percent of 2013 security service revenue came from CPE-based services, while cloud-based offerings contributed 44 percent.
Content security services account for almost half of all cloud-based security service sales, Infonetics said in its 2014 Cloud and CPE Managed Security Services report, which analyzes and forecasts the market for cloud- and customer premises equipment (CPE)-based security services delivered by service providers to small, medium, and large businesses.
The report noted that large organizations represent the largest opportunity for security services through 2018.
The cloud-based security service segment is forecast by Infonetics to grow 60 percent over the next 5 years (2013-2018), reaching $10 billion in 2018.
“The never-ending stream of highly-publicized distributed denial of service (DDoS) attacks is causing companies of all types and sizes to begin investigating DDoS protection, and for many this protection will come in the form of hosted or cloud-based services like those provided by Prolexic and Verisign,” said Jeff Wilson, principal analyst for security at Infonetics Research.