Security Operations Centre as a Service (SOCaaS) Market – Trends Forecast Till 2030

Market Snapshot

Market Overview

The global Security Operations Center as a Service (SOCaaS) market size was estimated at USD 6.4 billion in 2023 and is projected to reach USD 13.4 billion in 2030 at a CAGR of 11.2% during the forecast period 2024-2030.

The Security Operation Center (SOC) as a service market is witnessing significant growth, driven by the escalating frequency and sophistication of cyberattacks. Businesses worldwide are increasingly turning to SOC solutions to bolster their cybersecurity defenses, particularly in light of the rising number of data breaches and cyber threats. According to a survey by the UK Government, 40% of micro and small businesses in the UK experienced cyberattacks in 2023, with phishing being the most common, followed by more advanced threats such as malware and ransomware. This surge in cyber threats underscores the critical need for advanced security measures, propelling the demand for SOC as a service. Additionally, the impact of the COVID-19 pandemic has further accelerated the adoption of SOC solutions, as the shift to remote work has exposed organizations to greater cybersecurity risks. Cybercriminals exploited the pandemic's chaos, with incidents of malware and phishing campaigns exploiting public fear, as reported by Kaspersky. This trend has amplified the need for robust SOC services to protect distributed networks and sensitive data. The market is also being driven by the increasing costs associated with data breaches, with IBM estimating the average cost of a data breach at USD 67.7 million in 2020. The implementation of intelligent SOC frameworks enables enterprises to enhance their threat management capabilities, providing a comprehensive view of security risks and improving incident response. Various implementation models, including in-house, co-managed, and fully managed SOCs, are being adopted by organizations. Managed Security Service Providers (MSSPs) are key players in this market, offering end-to-end security operations management, supported by threat researchers and data scientists. Notable developments include Inspira Enterprise's launch of its next-generation global security operations center in Mumbai, enhancing its capability to deliver 24/7 managed security services. The market's growth is further supported by the expansion of SOC solutions, with vendors continuously enhancing their offerings to meet the evolving security landscape. The increasing emphasis on audit compliance, proactive policy enforcement, and comprehensive security monitoring continues to drive innovation and adoption in the SOC as a service market.

Delvens Industry Expert's Standpoint

The rise of AI-driven SOC services marks a transformative shift in the cybersecurity landscape, particularly in threat detection and response capabilities. By harnessing advanced Artificial Intelligence (AI) algorithms, these services enable real-time analysis of extensive data sets to swiftly identify and mitigate cyber threats. For example, Vectra AI's collaboration with Neutron Engineering underscores the integration of cutting-edge cyber detection tools with expert service delivery, enhancing proactive cybersecurity measures for businesses. As remote work models become increasingly prevalent, the attack surface for cyber threats has expanded significantly. Organizations are turning to SOC as a service to ensure continuous monitoring, threat detection, and rapid response capabilities across dispersed networks. These services offer scalable and specialized security solutions tailored to remote environments, safeguarding critical networks and data from evolving cyber threats. The demand for SOC as a service is driven by the need for robust cybersecurity measures that adapt to the dynamic digital landscape, where remote access and distributed workforces pose new challenges for traditional security frameworks.

Moreover, the proactive nature of AI-driven SOC services empowers organizations to pre-emptively address vulnerabilities and respond swiftly to emerging threats, bolstering their overall cyber resilience. This strategic approach not only enhances operational security but also aligns with regulatory compliance requirements and industry best practices. As businesses prioritize proactive cybersecurity investments, the market for AI-driven SOC services is poised for substantial growth, catering to the evolving cybersecurity needs of modern enterprises.

Market Portfolio

Key Findings

• On the basis of Service Type, the threat detection and incident response segment has emerged as the fastest-growing service type within the SOC as a Service (SOCaaS) market, driven by its critical role in combating increasingly sophisticated cyber threats. This segment focuses on rapid threat detection, expert incident response, and proactive measures to prevent breaches. As cyberattacks become more complex, organizations are turning to SOCaaS providers for specialized services that offer real-time monitoring, advanced threat analysis, and efficient coordination during security incidents. The growing demand for these capabilities reflects organizations' priorities to protect digital assets, ensure business continuity, and mitigate the impact of cyber threats effectively. This trend positions the threat detection and incident response segment as a key catalyst for SOCaaS market expansion in the coming years.

• On the basis of Organization size, in 2022, the large enterprises segment led the SOC as a service market with significant revenue, totalling around USD 1.5 million. These enterprises are leveraging collaborations with innovative technology providers and cybersecurity experts to expand their capabilities. For instance, in July 2023, LogRhythm partnered with Infoline Tec Group Berhad, a leading IT infrastructure and cybersecurity services provider. This collaboration aims to introduce a Security Operations Centre (SOC) in Malaysia, integrating LogRhythm's SIEM technology. The initiative is designed to bolster cybersecurity services by offering advanced solutions for threat detection and response, catering to the evolving security needs of organizations in the region.

• On the basis of Industry vertical, in 2023, the BFSI segment held a significant 27% share of the security operations center as a service (SOCaaS) market. Within this sector, SOCaaS plays a crucial role in monitoring financial transactions in real-time. It continuously analyses transactions to detect unusual patterns or discrepancies that could signal fraud or unauthorized activities. Key anomalies monitored include multiple transactions from different locations, irregular amounts, or unusual timing. This proactive approach not only prevents financial losses but also safeguards the integrity of financial operations and enhances customer trust, crucial in today's digital and interconnected financial environment.
   
• The market is also divided into various regions such as North America, Europe, Asia-Pacific, South America, and Middle East and Africa. North America maintains its leading position in the SOC as a Service (SOCaaS) market, driven by several key factors. This includes the concentration of major industry players, a high incidence of cyberattacks, widespread adoption of cloud-based technologies, and stringent adherence to robust security regulations. These elements collectively contribute to North America's significant market share, underscoring its pivotal role in advancing cybersecurity solutions and safeguarding digital environments against evolving threats.

Regional Analysis

North America to Dominate the Market

• North America maintains its leadership in the SOC as a Service (SOCaaS) market due to several key factors. It benefits from a robust presence of major industry players, frequent cyberattacks, rapid adoption of cloud technologies, and stringent regulatory requirements. This combination underscores North America's vulnerability to cyber threats, driving demand for SOCaaS to ensure vigilant monitoring and protection of critical infrastructure and sensitive data. The region's proactive approach to compliance further enhances its position as a leading market player, with organizations leveraging SOCaaS to meet rigorous security standards.

• In Asia Pacific, rapid growth in the SOCaaS market is fueled by government initiatives aimed at enhancing cybersecurity across various countries. For instance, Singapore's Cyber Security Agency (CSA) is issuing licenses to cyber security service providers to elevate service standards and protect consumer interests. This regulatory support and increasing cybersecurity awareness are driving significant revenue growth in the region's SOCaaS market, making it a dynamic growth area.

• Europe is poised to experience the fastest growth in the SOCaaS market, driven by a strong commitment to bolstering cybersecurity measures and operational efficiency. The region sees increasing adoption of managed security services as enterprises seek to fortify defences against evolving cyber threats while managing operational costs effectively. Cloud-based security solutions are also gaining traction, offering scalability, cost-efficiency, and advanced technologies like AI and machine learning for enhanced threat detection and response capabilities. This adoption trend supports the expansion of SOCaaS offerings in Europe, catering to diverse industry needs and strengthening overall cybersecurity posture.

Competitive Landscape

• Ntt
• Verizon
• Lumen Technology
• Atos
• Fortinet
• Thales
• Kaseya
• Cloudflare
• At&T Cybersecurity Inc.
• Arctic Wolf
• Trustwave
• Proficio
• Airbus
• Connectwise
• Clearnetwork, Inc.
• Esec Forte
• Cybersafe Solutions
• Teceze
• Netsurion
• Foresite Cybersecurity
• Ascend Technologies
• Safeaeon
• Wizardcyber

Recent Developments

• In June 2023, AT&T France partnered with Vertek from the US to launch Unified Security Management (USM) Anywhere services aimed at enterprises. This collaboration integrates Vertek's advanced Security Operations Center (SOC), offering proactive and predictive threat detection and mitigation services. Leveraging AT&T Cybersecurity's platform, the SOC services include real-time intrusion detection, continuous monitoring, rapid response capabilities, vulnerability scanning, behavioral monitoring, as well as Security Information and Event Management (SIEM) and log management. Together, these capabilities enhance client defenses against global cyber threats, providing robust cybersecurity solutions for businesses.

• In April 2022, NTT Communications (Japan) launched "OsecT," a cloud-based security service aimed at SMEs that focuses on visualizing and identifying security risks within factory production line control systems. The service enhances risk visibility and promptly identifies anomalies, aligning closely with the objectives of Security Operations Center as a Service (SOCaaS). By addressing vulnerabilities in control systems, "OsecT" enhances security in manufacturing environments, contributing to resilience and aligning with broader SOCaaS market goals.

Reasons to Acquire

• Increase your understanding of the market for identifying the most suitable strategies and decisions based on sales or revenue fluctuations in terms of volume and value, distribution chain analysis, market trends, and factors.
   
• Gain authentic and granular data access for the Security Operations Center as a Service (SOCaaS) Market to understand the trends and the factors involved in changing market situations.
   
• Qualitative and quantitative data utilization to discover arrays of future growth from the market trends of leaders to market visionaries and then recognize the significant areas to compete in the future.
   
• In-depth analysis of the changing trends of the market by visualizing the historic and forecast year growth patterns.

Report Scope