Data Center Logical Security Market Size
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| CAGR | 9.50 % |
| Fastest Growing Market | Asia-Pacific |
| Largest Market | North America |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Data Center Logical Security Market Analysis
During the time frame of the forecast, the data center logical security market is expected to grow at a CAGR of 9.5%.Data center security solutions are in high demand because there is more data traffic, more cyber threats, and more virtualized data centers.
- Datacenter security deals with protecting organizational data against unauthorized access to safeguard data against security breaches. The increase in internet traffic has placed more importance on the role of data centers in meeting and managing the rising demands during the COVID-19 pandemic.
- Costs for data center security are going up a lot because large companies and service providers are upgrading their data centers to handle more data and the massive waves of cyberattacks.In the past few years, data center security solutions have become more popular and are growing quickly.
- The data center security market is driven by new technologies, more data traffic, a rise in virtualized data centers, and a rise in cyber threats. Along with privacy and security issues, growth is being slowed by the high cost of alternative solutions, the fact that people don't know about them, and the fact that there are so many of them.
- Manufacturers and vendors are interested in emerging economies because of how quickly cloud computing solutions are being adopted, how quickly new technologies are being adopted, and how many new data centers are being built. This gives both established and new vendors in the market a lot of opportunities.
- The global market for logical security for data centers is expected to grow quickly over the next few years.This is because there are more data centers and more cyber threats around the world. According to Cisco, the global data center volume climbed from 2,060 in 2020 to 2,300 in the previous year.
Since the coronavirus pandemic, there has been a lot of growth in the data center market, and many large facilities have been built. Also, companies are working more and more to protect customer data by putting in place security measures. As more businesses adapt to working remotely, there has been a rise in cloud storage and teleconferencing services. This affects the studied market positively.
Data Center Logical Security Market Trends
Increasing Demand for Access Control and Identification Solution
- In recent years, companies have significantly invested in IAM (Identity and Access Management) solutions to perform the jobs that are out of reach for humans since hackers and malicious employees are mostly unknown.
- An identity management cybersecurity breach caused by organized crime, state-sponsored militaries, or other groups can have a lot of negative effects on staff productivity and morale, the IT network, and the reputation of the company.These threats demand a new level of identity and access management solutions.
- In the cloud, data is expanding more quickly and is free to move wherever it is needed by a workforce that is becoming more mobile. The data center logical security market is likely to grow because more and more businesses want to protect their data in the cloud.Informatica, for instance, offers Intelligent Cloud ServicesSM, including user authentication, failover data centers, access controls, and security at the operating system, database, and application levels.
- Moreover, the use of AI and machine learning algorithms is also prevalent for the same. Advancements in this segment have led to machine learning algorithms being used in these solutions.
- The bulk of the authentications are expected to be performed by machine learning technology, as IAM increasingly relies on physical and behavioral biometrics for geolocation data. As these additions are anticipated to enhance the IAM solutions, the demand for these solutions is expected to increase.
European Market to Witness High Adoption of the Solutions
- Cloudscene says that Germany has the biggest market share in Europe, followed by the UK and the Netherlands.Other countries that contribute to the European market include France, Italy, and Poland.
- Despite the economic uncertainties, the region's demand for data centers remains strong. This will lead to the expansion of existing data centers and the building of new ones. The security, latency, and connectivity requirements drive enterprises to adopt data centers.
- Moreover, in April last year, TikTok established a data center in Dublin, Ireland, to house UK and EEA (TikTok) users. It applies a variety of complementary technological, contractual, and organizational safeguards to ensure that these transfers are subject to the same degree of data protection as in the UK and EEA. In practice, this implies that a solid set of physical and logical security measures and numerous rules and data access restrictions for workers safeguard any personal data.
- Logical security in data centers in the region is expected to be driven by the growing number of data centers, which is caused by companies investing and growing in the area.For instance, in October last year, AtlasEdge, a prominent provider of pan-European edge data centers, announced the acquisition of Datacenter One ("DC1"). AtlasEdge's European development continues, with DC1 being Germany's top data center supplier.
- Furthermore, in June last year, Schneider Electric announced a faster, prefabricated data center solution in Europe and a "modernization" of its network management software, Ecostruxure IT.
Data Center Logical Security Industry Overview
The data center logical security market is expected to have a medium level of concentration with multiple players. Product launches, geographical expansion, acquisitions, and R&D activities are key strategies these players adopt in the Data Center Logical Security market. Some key players include major companies such as Cisco, IBM, HP, Dell, McAfee, Inc., and Juniper Networks, among many others.
In August 2022, Microsoft opened a new data center in Qatar. This made the country a bigger part of its global business.This expansion gives Qatar's consumers, organizations, and partners access to cloud services that are highly available, scalable, and strong. This promotes the use of intelligent cloud services and speeds up the digital transformation.
In October 2022, IBM will announce that version 11.5.8 of Db2 will be released first in the cloud. This is a minor update with over 50 changes, including improved performance and compression when loading columnar data, expanded logical backup and restoration to more topologies, and AWS IaaS certifications for Db2 pureScale. All of these changes are driven by the 11.5.8 engine.
Data Center Logical Security Market Leaders
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IBM Corporation
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Cisco Systems, Inc.
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Hewlett Packard Enterprise Company
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Trend Micro Inc.
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McAfee Corp.
*Disclaimer: Major Players sorted in no particular order
Data Center Logical Security Market News
- November 2022: Iron Mountain, a global leader in innovative storage, asset lifecycle management, data center infrastructure, and information management services, expanded its North American data center presence with the acquisition of a 10-acre land parcel and a 50+ MVA substation in Phoenix, Arizona, for the development of a 36-megawatt, 230K sq ft data center. Iron Mountain's current 39-acre facility, which houses its AZP2 (48 megawatts) and AZP1 (41 megawatts) data centers, is close to the site. The first phase of the AZP3 expansion is scheduled to be completed in 2024. AZP3 will be built to BREEAM sustainability criteria and have government-compliant physical and logical security.
- March 2022: Microsoft expanded its global footprint in India by establishing a new data center in Hyderabad. The growth centered on providing superior data security and cloud solutions to corporations, developers, education, start-ups, and government agencies.
- March 2022: In Frankfurt, Germany, Alibaba expanded its global footprint. This expansion provides many cloud computing solutions, including storage, networking, and databases. The newly created data center complies with the highest security requirements and the tight compliance laws outlined in Germany's Cloud Computing Compliance Controls Catalog (C5).
Data Center Logical Security Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
4.1 Market Overview
4.2 Industry Attractiveness - Porter's Five Forces Analysis
4.2.1 Bargaining Power of Buyers
4.2.2 Bargaining Power of Suppliers
4.2.3 Threat of New Entrants
4.2.4 Threat of Substitute Products
4.2.5 Intensity of Competitive Rivalry
4.3 Value Chain Analysis
4.4 Market Drivers
4.4.1 Increasing Safety Concern for Business and Personal Data
4.4.2 Increasing Need for Cloud computing and Data Virtualization
4.5 Market Restraints
4.5.1 Availability of Low Priced Security Software
4.6 Technology Snapshot
5. MARKET SEGMENTATION
5.1 By Solution
5.1.1 Access Control and Identification Solution
5.1.2 Threat Protection Solution
5.1.3 Data Loss Prevention Solution
5.1.4 Other Solutions
5.2 By Service
5.2.1 Security Consulting Service
5.2.2 Security Solution Deployment Service
5.2.3 Support and Maintenance
5.3 By End-user
5.3.1 Banking and Financial Services
5.3.2 Manufacturing
5.3.3 Technology
5.3.4 Energy
5.3.5 Healthcare
5.3.6 Central/Local Government
5.3.7 Entertainment and Media
5.3.8 Other end-users
5.4 By Geography
5.4.1 North America
5.4.1.1 United States
5.4.1.2 Canada
5.4.2 Europe
5.4.2.1 United Kingdom
5.4.2.2 Germany
5.4.2.3 France
5.4.2.4 Italy
5.4.2.5 Rest of Europe
5.4.3 Asia-Pacific
5.4.3.1 China
5.4.3.2 India
5.4.3.3 Japan
5.4.3.4 Rest of Asia-Pacific
5.4.4 Latin America
5.4.4.1 Brazil
5.4.4.2 Mexico
5.4.4.3 Argentina
5.4.4.4 Rest of Latin America
5.4.5 Middle East and Africa
5.4.5.1 United Arab Emirates
5.4.5.2 Saudi Arabia
5.4.5.3 Israel
5.4.5.4 South Africa
5.4.5.5 Rest of Middle East and Africa
6. COMPETITIVE LANDSCAPE
6.1 Company Profiles
6.1.1 IBM Corporation
6.1.2 Cisco Systems Inc.
6.1.3 Hewlett-Packard Enterprise Co.
6.1.4 Trend Micro Inc.
6.1.5 McAfee Inc.
6.1.6 Fortinet Inc.
6.1.7 VMware Inc.
6.1.8 Checkpoint Software Technologies Ltd.
6.1.9 Juniper Networks Inc.
6.1.10 Dell
- *List Not Exhaustive
7. INVESTMENT ANALYSIS
8. MARKET OPPORTUNITIES AND FUTURE TRENDS
Data Center Logical Security Industry Segmentation
Data centers use logical security methods to protect their systems from cyber threats. This involves implementing robust authentication methods for all users, such as two-factor authentication. It also entails encrypting all data in transit, both between the data center and within the data center and any external systems. The Global Data Center Logical Security Market is segmented by Solution Type (Access Control and Identification Solution, Threat Protection Solution, Data Loss Prevention Solution, Others), Services (Security Consulting Service, Security Solution Deployment Service, Support and Maintenance), End User (Banking and Financial Services, Manufacturing, Technology, Energy, Healthcare, Central and Local Government, Entertainment and Media, Other End-Users), and Geography (North America, Europe, Asia Pacific, Latin America, and the Middle East and Africa).
The market sizes and forecasts are provided in terms of value (USD million) for all the above segments.
| By Solution | |
| Access Control and Identification Solution | |
| Threat Protection Solution | |
| Data Loss Prevention Solution | |
| Other Solutions |
| By Service | |
| Security Consulting Service | |
| Security Solution Deployment Service | |
| Support and Maintenance |
| By End-user | |
| Banking and Financial Services | |
| Manufacturing | |
| Technology | |
| Energy | |
| Healthcare | |
| Central/Local Government | |
| Entertainment and Media | |
| Other end-users |
| By Geography | |||||||
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Data Center Logical Security Market Research FAQs
What is the current Data Center Logical Security Market size?
The Data Center Logical Security Market is projected to register a CAGR of 9.5% during the forecast period (2024-2029)
Who are the key players in Data Center Logical Security Market?
IBM Corporation, Cisco Systems, Inc., Hewlett Packard Enterprise Company, Trend Micro Inc. and McAfee Corp. are the major companies operating in the Data Center Logical Security Market.
Which is the fastest growing region in Data Center Logical Security Market?
Asia-Pacific is estimated to grow at the highest CAGR over the forecast period (2024-2029).
Which region has the biggest share in Data Center Logical Security Market?
In 2024, the North America accounts for the largest market share in Data Center Logical Security Market.
What years does this Data Center Logical Security Market cover?
The report covers the Data Center Logical Security Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Data Center Logical Security Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Data Center Logical Security Industry Report
Statistics for the 2024 Data Center Logical Security market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Data Center Logical Security analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
Data Center Logical Security Report Snapshots
