Austin, Texas, USA, May 01, 2025
Futurum Updates Its Cybersecurity Market Forecast, Reflecting Robust Growth and Spending
The global cybersecurity market is poised for unprecedented growth, with new research from The Futurum Group projecting a compound annual growth rate (CAGR) of 11.6% from 2024 to 2029. By the end of the forecast period, the market is expected to reach an estimated US$287.6 billion, underscoring the urgent and growing demand for advanced cybersecurity capabilities across every sector and region.
The increasing complexity and digitalization of global value chains drive the acceleration in market growth. Enterprises today rely more than ever on interconnected multi-cloud environments, sprawling networks of diverse and interconnected Internet of Things (IoT) devices, and software-rich operations. These expanding digital ecosystems present lucrative targets for cybercriminals and nation-state actors who leverage artificial intelligence (AI)-driven tools to launch increasingly sophisticated attacks for financial, political, and strategic gain.
“Cybersecurity is no longer a siloed IT concern. It is a boardroom priority and a cornerstone of enterprise risk management,” said Fernando Montenegro, Vice President at The Futurum Group. “Organizations must invest in security not just to prevent breaches, but to ensure operational continuity and protect their most valuable digital assets.”
Cloud Security remains the largest market segment in 2024 at US$37.1 billion, comprising over 22% of total cybersecurity spending, per The Futurum Group’s estimates. This spending reflects heightened concerns over cloud misconfigurations, compliance gaps, and the increased migration of workloads to hybrid cloud environments.
In response to today’s sophisticated threat landscape, cybersecurity technologies must evolve to address new requirements:
- Application Security must account for rising API threats and vulnerabilities in third-party software components. As modern applications increasingly rely on modular code and integrations, securing the software supply chain becomes a critical priority.
- Cloud Security must mitigate misconfigurations and meet growing compliance demands. To minimize risk in dynamic, ephemeral environments, this requires continuous posture management and automated remediation.
- Data Security must ensure both breach prevention and reliable data recovery. Solutions must incorporate encryption, masking, and immutability features to protect data at rest, in motion, and during recovery.
- Endpoint Security must safeguard a diverse mix of managed and unmanaged devices. Security policies must adapt to a decentralized workforce, bring your own device (BYOD) trends, and the proliferation of smart devices in enterprise environments.
- Identity and Access Management (IAM) must securely manage both human and machine identities. Granular, context-aware access controls and real-time anomaly detection are key to preventing privilege misuse and lateral movement.
- Risk Management solutions must enable faster response times amid talent shortages. Leveraging automation and AI-driven analytics is essential to reduce manual workloads and detect threats at earlier stages.
- Network Security must navigate the challenge of encrypted traffic while maintaining robust defense, detection, and response capabilities. Organizations must invest in deep packet inspection, TLS decryption, and behavior-based anomaly detection to close visibility gaps.
As digital transformation continues to reshape the global economy, cybersecurity will remain at the heart of operational resilience, stakeholder trust, and sustainable growth. Organizations proactively investing in modern, adaptive cybersecurity frameworks will be better positioned to innovate confidently and navigate future disruptions.
Read more in the “1H 2025 Cybersecurity Market Sizing & Forecast Report” on the Futurum Intelligence Platform.
About Futurum Intelligence for Market Leaders
Futurum Intelligence’s Cybersecurity IQ service provides actionable insight from analysts, reports, and interactive visualization datasets, helping leaders drive their organizations through transformation and business growth. Subscribers can log into the platform at https://app.futurumgroup.com/, and non-subscribers can find additional information on Futurum Intelligence’s Cybersecurity IQ service here.
Follow news and updates from Futurum on X and LinkedIn using #Futurum. Visit the Futurum Newsroom for more information and insights.
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Author Information
Fernando Montenegro serves as the Vice President & Practice Lead for Cybersecurity at The Futurum Group. In this role, he leads the development and execution of the Cybersecurity research agenda, working closely with the team to drive the practice's growth. His research focuses on addressing critical topics in modern cybersecurity. These include the multifaceted role of AI in cybersecurity, strategies for managing an ever-expanding attack surface, and the evolution of cybersecurity architectures toward more platform-oriented solutions.
Before joining The Futurum Group, Fernando held senior industry analyst roles at Omdia, S&P Global, and 451 Research. His career also includes diverse roles in customer support, security, IT operations, professional services, and sales engineering. He has worked with pioneering Internet Service Providers, established security vendors, and startups across North and South America.
Fernando holds a Bachelor’s degree in Computer Science from Universidade Federal do Rio Grande do Sul in Brazil and various industry certifications. Although he is originally from Brazil, he has been based in Toronto, Canada, for many years.
With a focus on data security, protection, and management, Krista has a particular focus on how these strategies play out in multi-cloud environments. She brings approximately 15 years of experience providing research and advisory services and creating thought leadership content. Her vantage point spans technology and vendor portfolio developments; customer buying behavior trends; and vendor ecosystems, go-to-market positioning, and business models. Her work has appeared in major publications including eWeek, TechTarget and The Register.
Prior to joining The Futurum Group, Krista led the data protection practice for Evaluator Group and the data center practice of analyst firm Technology Business Research. She also created articles, product analyses, and blogs on all things storage and data protection and management for analyst firm Storage Switzerland and led market intelligence initiatives for media company TechTarget.
