Cloud Access Security Broker Market Size, Share & Trends Analysis Report By Solution (Risk & Compliance Management, Data Security), By Service Model, By Enterprise Size, By End-use, By Region, And Segment Forecasts, 2022 - 2030

Report Overview

The global cloud access security broker market size was valued at USD 6.1 billion in 2021 and is expected to expand at a compound annual growth rate (CAGR) of 17.6% from 2022 to 2030. The growth is primarily attributed to the factors such as increasing convenience of completing the job tasks using shadow informational technology operations, growing requirement for cloud usage, and increasing numbers of cloud-based applications in small and medium-sized businesses. Moreover, informational technology security is costly in-house, so outsourcing cloud security services has become a prominent trend and is also driving the industry growth. Additionally, the application of artificial intelligence and machine learning ensures optimum operational capability through multi-cloud management and contributes to market growth.

Amid the outbreak of the COVID-19 pandemic, technology innovations and digital transformation increased, forcing companies to migrate to the cloud to maximize their business performance and customer success.

Resulting in additional security challenges and positively influencing cloud access security brokers. Furthermore, growing cyber-attacks against cloud systems have created opportunities for the cloud security market. However, cloud access security brokerage is stifled by the corporate spaces, which still rely on traditional security solutions.

A cloud access security broker Shadow IT solution identifies, understands, or secures cloud services to support Shadow IT operations in organizations. The cloud access security broker is used in organizations for improving data security control. By cloud access security broker Shadow IT Solution, enterprises manage all types of potential threats while maintaining an equilibrium between user needs and enterprise security requirements.

This includes data leakage, sanctioning apps in the cloud environment, preventing downloads or uploads of unsanctioned apps, identifying the cloud environment and cloud applications that an organization uses, and mapping them and identifying them. All these ensure complete enterprise security.

For instance, in April 2022, Symantec, a data-centric hybrid security provider, integrate its Data Loss Prevention (DLP) with CloudSOC cloud access security broker for an end-to-end enterprise DLP solution, which features Shadow IT integration with secure web gateways and firewalls, user authentication/multifactor authentication/SSO integrations, and custom dashboards and reports.

C2 and applications enabled small and medium enterprises to access powerful tools more conveniently at a lower cost. However, this transition also brings new challenges around visibility and security. The deployment of new tools such as a cloud-based application security broker helps securely use cloud-native applications.

The growing demand for security among small and medium businesses has led to many prominent companies expanding their cloud access security broker to small and medium enterprises. For instance, in September 2020, Censornet, a cloud security provider, signed a partnership with Z Services HQ, a cloud-based cyber security provider, to provide cloud security in the Middle East & Africa. In this partnership, Z Services leverages newly deployed clouds in the region and provides local resellers with the tools and support they need to penetrate the industry.

The increasing need for cyber security, threat management, intrusion detection, and protection of business leads to outsourcing security services to many companies. Additionally, more factors are driving outsourcing cloud access security broker market growth, including cost-effectiveness as in-house security is expensive, web application security for access to the best tools in the security domain, and continuous vulnerability assessment options.

Several companies are opting to outsource security services to focus on their core activities. For instance, in November 2021, Networks Unlimited, an African technology solutions provider, signed a partnership with Netskope, a U.S.-based cloud, data, and network security provider. This partnership enhanced Networks Unlimited's existing security solutions. Netskope offers customers a quick roll-out in shipping logistics due to its shifting from traditional hardware-based delivery.

However, there is a lack of awareness about cloud access security brokers among corporate spaces, which rely on outdated security solutions. Most organizations are not aware of the advantages and efficiency of cloud access security brokers. Furthermore, less awareness of compliance management, data monitoring, and threat management is another factor limiting the market's growth.

Solution Insights

The data security segment accounted for the largest revenue share of over 35% in 2021. Numerous factors contribute to the segment growth, such as the mobility of data through cloud services, which creates complex choices in terms of balancing business needs with growing risks to provide adequate security and compliance and prevent data loss. Cloud access security brokers also act as a policy enforcement center, applying multiple types of security policies to the business that utilizes the cloud, regardless of the device.

Risk and compliance management are expected to grow at a considerable rate, owing to factors such as managing potential legal and compliance threats and reducing the organization’s overall risk of violating financial and reputational standards. A cloud access security broker is used to monitor cloud-related activity and apply security, compliance & governance rules to cloud-based resources. The solution provides data loss prevention, malware detection, and remediation so that sensitive information can’t leave the organization’s network.

Service Model Insights

The software as a service segment accounted for the largest market share of over 45% in 2021. The factor contributing to the high adoption of Software as a Service among the service model is the sustained use of cloud-based applications by cloud service providers and the ease of setting up Software as a service cloud storage solution. Faster deployment, mobility, reduced cost, and scalability are also driving factors of Software as a Service.

Thus, cloud access security broker solutions are in high demand. Furthermore, artificial intelligence disrupts the SaaS model in several ways, enhancing its key characteristics. The combination of SaaS and AI allows businesses to leverage data more effectively, customize services, improve security, and supplement human capabilities.

The platform as a service is expected to grow at a d rate, owing to factors such as increasing adoption of cloud-based services by SMEs, demands of cost and time reduction, and providing data agility and enterprise cloud services to support every device. Moreover, the platform as a service provides a pay-per-use option which is also driving the market growth.

Additionally, the rapid industry growth contributes to the greater need to reduce time to market and cost of application development and streamline application management. Furthermore, major industries are spending more on cloud services due to COVID-19, and relying heavily on public cloud services to meet short-term business goals is also contributing to the overall industry growth.

Enterprise Size Insights

The large enterprises segment accounted for the largest revenue share of over 55% in 2021, attributed to the accessing and viewing of critical data inside a cloud system for better control, collaboration control, and management of information rights. Integrated data-centric auditing and protection with enterprise digital rights management allow cloud access security brokers to prevent unauthorized access and unwanted activities, and to enforce data-centric security policies. User and entity behavior analytics (UEBA) is growingly adopted by large organizations for knowing the anomaly in behavior, use of threat intelligence, malware identification, and many more.

The small and medium enterprises (SMEs) segment is expected to grow at a considerable rate. The major driver behind the market's growth is the increasing need for cloud access security brokers in small and medium-sized businesses. Many small startups use third-party cloud support systems since they don't have cloud storage support. These companies hold sensitive data such as employee information, finance and accounting, and HR-related data. Cloud storage is not feasible for small and medium-sized businesses due to a lack of capital and structural strength.

End-use Insights

The IT & telecommunication segment accounted for the largest market share of over 18% in 2021. There is a growing demand for cloud access security broker solutions in this sector. As many organizations are shifting towards cloud services the requirement for cloud access security also increases. Additionally, the telecom sector is considered one of the most vulnerable sectors to cybersecurity attacks.

For instance, according to a report published by Efficient IP, a network automation company, in collaboration with a research firm, in 2020, around 83% of the global telecommunication companies witnessed somewhat DNS-malware-based attacks that proved harmful to their businesses in the year 2019. Moreover, people are increasingly working from home. For threat detection and sensitive data, detection companies are using cloud access security broker systems.

The banking and finance segment is expected to grow at a considerable rate over the forecast period. The growing use of cloud computing for customer relationship management, regulatory compliance, and fraud detection is contributing to growth in this segment. The cloud access security broker also takes responsibility for securing cloud infrastructure across regions, availability zones, and edge locations. It also secures computing storage, databases, and network software. Integrating external key managers with client-side encryption provides data protection and privacy. 

Regional Insights

North America dominated the cloud access security broker market in 2021 with a revenue share of over 45%. Growing concern about data security from fraud and data breaches is propelling the sales of cloud access security broker solutions in this region. High competition and new private players are also contributing to the high growth of cloud access security broker solutions in this region. 

Moreover, the use of the cloud by businesses in the US has improved in a number of ways to preserve operational functionality, provide business continuity, and avoid misconfiguration. As methods of cloud data security, companies are steadily incorporating data loss prevention, data encryption, data threat protection, and data integrity monitoring, which is also driving the growth of the industry.

The Asia Pacific is anticipated to register significant growth over the forecast period. The segment's growth is attributed to increasing innovations through research and development, and rising demand for a cloud-based solution among numerous small and medium enterprises. Moreover, the presence of many large developing countries such as China, India, and Japan and the growing cloud infrastructure in these regions contribute to the growth of the regional industry.

Increasing awareness of cyberattacks and corporate espionage is also contributing to market growth. Furthermore, the rapid adoption of advanced technology and the emergence of prominent vendors also contribute to the growth of this region.

Key Companies & Market Share Insights

Several companies are entering into strategic partnerships, mergers and acquisitions, and collaborations to offer more quality services. For instance, in October 2021, Forcepoint, a provider of data-first security, announced the acquisition of Bitglass Inc., a provider of security service Edge (SSE). In this acquisition, Forcepoint introduces its SSE platform, including secure cloud access, a secure web gateway, and zero-trust network access with data loss prevention, all of which can be managed seamlessly through a single console.

Enterprises are increasingly embracing digital transformation to allow for greater scale and efficiency. Various market players are collaborating to strengthen their positions by helping their clients achieve digital transformation and gain competitive advantages. For instance, in April 2021, Broadcom Inc., a provider of infrastructure software solutions, collaborated with Google Cloud, one of the leading cloud solutions providers, to enhance the integration of cloud services for Broadcom's core software solutions. The partnership enabled Broadcom to migrate Symantec's web security services and cloud access security broker to Google Cloud and cloud-based cyber security solutions. Some prominent players in the global cloud access security broker market include:

• Bitglass, Inc.

• Broadcom Corporation

• Censornet

• Forcepoint

• Iboss

• Lookout, Inc.

• McAfee, LLC

• Microsoft Corporation

• Netskope

• Proofpoint, Inc.

Cloud Access Security Broker Market Report Scope

Global Cloud Access Security Broker Market Segmentation

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2017 to 2030. For this study, Grand View Research has segmented the global cloud access security broker market report based on solution, service model, enterprise size, end-use, and region:

• Solution Outlook (Revenue, USD Million, 2017 - 2030)

  • Control and Monitoring Cloud Services

  • Risk and Compliance Management

  • Data Security

  • Threat Protection

  • Others

• Service Model Outlook (Revenue, USD Million, 2017 - 2030)

  • Infrastructure as a Service

  • Platform as a Service

  • Software as a Service

• Enterprise Size Outlook (Revenue, USD Million, 2017 - 2030)

  • Large Enterprises

  • Small & Medium Enterprises (SMEs)

• End-use Outlook (Revenue, USD Million, 2017 - 2030)

  • BFSI

  • Government

  • Healthcare

  • IT & Telecom

  • Manufacturing

  • Retail & Consumer Goods

  • Education

  • Others

• Regional Outlook (Revenue, USD Million, 2017 - 2030)

  • North America

    • U.S.

    • Canada

  • Europe

    • U.K.

    • Germany

  • Asia Pacific

    • China

    • India

    • Japan

  • Latin America

    • Brazil

  • MEA