Cybersecurity market generated 2x bigger revenue than TikTok in 2020, Q1
The cybersecurity industry continues to grow, surpassing the most popular applications or services. According to data analyzed by Atlas VPN, the total cybersecurity revenue hit 10.4 billion US dollars during the first quarter of 2020. The number is twice as big as what TikTok, a hyper-popular entertainment application, generated.
Between January and March of 2020, the online security market generated 10.4 billion dollars in revenue, while TikTok made 46% less, hitting 5.6 billion USD. At the same time, Uber, a ride-hailing taxi application, made 3.5 billion USD in revenue.
During the first quarter of 2020, network security was the most lucrative field: out of 10.4 billion dollars revenue, network security solutions generated 3.7 bn USD, Canalys report reveals.
Network security tools are designed to prevent various threats online, such as malicious actors accessing one’s device without permission and stealing their information. The best-known network security tools are antivirus software solutions or VPN services. For example, researches even show that Danes and Australians are more afraid of cyber attacks than Covid-19.
Antivirus software services protect internet users from unwanted malware, while VPNs encrypt online traffic so that third parties can no longer track their online actions.
Meanwhile, the vulnerability management segment accounted for 2.3 billion dollars in revenue in 2020, Q1. Vulnerability management tools help identify and report security flaws in systems and the software that runs on them. The web and email protection field generated 2.3 billion dollars in revenue, as well.
During the first quarter of this year, the endpoint security sector accounted for 1.6 billion USD. Endpoint security tools are dedicated to the corporate network when accessed via remote devices. Endpoint security is often confused with antivirus software; however, the first one covers the entire network, while the second one protects a single device.
Finally, the data security sector accounted for half a billion dollars in revenue. Data security tools are typically used by individual customers, whereas network security solutions are designed for enterprise companies.
Therefore, the cybersecurity market generated a bigger amount of money than TikTok and Uber combined. In total, online security accounted for 10.4 billion dollars, while TikTok and Uber made 9.1 billion dollars. The first quarter of 2020 was very profitable for cybersecurity due to the pandemic beginning in March.
The network security sector made the most profit because organizations aimed to protect their employees working remotely.
Cisco to be the leading vendor in cybersecurity
During the last three years, Cisco has been the leading cybersecurity vendor worldwide. The company provides high-technology products or services, such as networking hardware, software, or telecommunication solutions.
In the fourth quarter of 2017, Cisco accounted for 8.7% of the cybersecurity market share. The percentage increased to 9.6% in the fourth quarter of 2018 and jumped to 10% in the first quarter of 2019. During the first quarter of this year, Cisco accounted for 9.1% of the cybersecurity revenue, according to Canalys.
Right behind Cisco, is Palo Alto Networks, the second-largest cybersecurity company by revenue. In 2020, Q1, Palo Alto, a company that provides advanced firewalls and cloud-based solutions, accounted for 7.8% of market share, which is an all-time high since 2017, Q1: during the time, Palo Alto Networks accounted for 5.9% of the revenue.
Fortinet takes third place in the cybersecurity vendor list leaders. By offering various cybersecurity solutions, such as firewalls or antivirus software, the company accounted for 5.9% of the market shares in 2020, Q1.
Meanwhile, Checkpoint, security software and hardware provider, accounted for 5.4% of the market shares in 2020, Q1. By selling multiple cybersecurity-related products, Symantec accounted for 4.7% of the revenue.
The last three leading online security companies of the first quarter of this year were IBM (4.31%), McAfee (4.01%), and Trend Micro (3.51%). IBM is a multinational technology company that sells computer hardware, while McAfee and Trend Micro are both well-known antivirus software providers.