Hong Kong Cybersecurity Market Size
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Historical Data Period | 2019 - 2022 |
| CAGR | 13.43 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Need a report that reflects how COVID-19 has impacted this market and its growth?
Hong Kong Cybersecurity Market Analysis
Hong Kong Cybersecurity Market is expected to register a CAGR of 13.43 % over the forecast period (2022 - 2027). The country is digitizing several economic and operational sectors, exposing more organizations to data breaches and cyber-attacks and increasing market demand for new services. Companies are introducing new security products to deliver a safe and secure experience.
- Cybersecurity protects from cyberattacks on networks, information, and personal data. BYOD, AI, IoT, and machine learning are all emerging technologies in cybersecurity. For instance, Machine learning has advantages in outlier detection, which enhances cybersecurity.
- According to a survey conducted by ESET software company, the number of macOS threats detected decreased by 5.9 percent in T3 2021, with Trojans accounting for more than one-third of all macOS threats detected. In 2021, Hong Kong was targeted by a watering hole assault that used iOS and macOS zero-day or N-day vulnerabilities. More targeted and evasive assaults are projected in 2022, with adware being the most prevalent macOS threat.
- In addition, email risks increased by 8.5 percent in T3 2021. Since May 2021, phishing attacks have increased. Detection of a publicly known attack for CVE-2017-11882, a vulnerability in Microsoft Equation Editor, increased by 60% in T3 2021. From September to October 2021, Hong Kong's highest phishing emails mimicked DHL detections.
- Many firms face a critical shortage of skilled cybersecurity employees when dealing with cyberattacks. The quantity of skilled cybersecurity specialists, particularly in Hong Kong, is low compared to the need for security professionals to cope with cyber threats to financial institutions, government organizations, and private sector/industrial firms.
- The COVID-19 epidemic has emphasized the necessity for increased digital security. People have expanded their internet access to maintain personal and professional work. On the other hand, hackers have taken advantage of the situation, focusing on e-commerce, e-payment businesses, and the healthcare system.
Hong Kong Cybersecurity Market Trends
This section covers the major market trends shaping the Hong Kong Cybersecurity Market according to our research experts:
Increasing Demand for Digitalization, Internet and Scalable IT Infrastructure drive the Hong Kong Cybersecurity Market
- While rapid digitization has made lives easier, it has also raised cyber threats. While using the apps, they generate a large volume of data that must be protected. Hackers might intercept data as personal data and information travel through the internet. If they get this sensitive and personal information, it can be misused.
- The cyber-attacks have increased as internet use increases across the country. According to the World Bank, internet users in Hong Kong accounted for 92.4 percent of the country's population in 2020, 91.7 percent in 2019, and 90.5 percent in 2018. According to a survey by the Thales group, In 2021, 47% of global respondents indicated concern about security threats connected to quantum computing.
- Regarding geographical breakdown, Hong Kong, with 55%, stated being most concerned. Quantum computing rests on quantum mechanics and can be used to conduct virtual experiments and other complex problems that present computers cannot solve. Cybersecurity researchers worry that this computer could potentially break most modern cryptography and pose a serious security risk.
- According to a survey conducted by the government of Hong Kong, in 2021, the international internet bandwidth per person in Hong Kong was 20,623.2 kilobits per second, an over 4,000 kilobits per second increase from the previous year. The international internet bandwidth is an indicator of data transmission speed between different countries.
- Furthermore, in 2021 the number of Personal computers at home connected to the internet in Hong Kong from 2012 to 2021 has increased gradually. In 2021, approximately 2.04 million households in Hong Kong had computers connected to the internet. As the use of the internet increases, cybersecurity needs to increase.
Increase in Cyber attacks in Hong Kong Propel the Use of Cybersecurity Solutions amongst Enterprises
- Hong Kong Computer Emergency Response Team (HKCERT23) reviewed Hong Kong's information security environment in 2021 and a forecast for 2022. Phishing events accounted for 3,737 (48%) of the 7,725 security issues addressed in 2021. The number of phishing occurrences climbed by 7% from 2020, continuing a four-year upward trend and reaching a new high. HKCERT advised individuals and companies of the significant information security concerns in 2022, including Metaverse security issues, Non-fungible tokens (NFT), cryptocurrencies, developing technologies, supply chain assaults, and targeted and orchestrated cyber attacks.
- According to a survey conducted by HKCERT, the total number of reported computer security incidents in Hong Kong from 2007 to 2018 increased gradually, and later from 2019 to 2021, it decreased. In 2021, around 7,738 information security incidents were reported in Hong Kong, a decrease from 8,357 reports in the previous year.
- Although cybercriminals will continue to use tried and proven tactics such as phishing emails, unprotected secrets, and exploiting known vulnerabilities, they will also experiment with new technologies such as Java, Adobe Flash, and WebLogic.
- Hackers have used Malware such as Odinaff, Danabot, Backswap, and Camubot to attack banks that use the SWIFT network to convey money-moving messages. The most important revenue possibilities for the Defense/Government cybersecurity industry include expanding government data privacy laws, more cyber threats, and an increasing number of data centers.
- Targeting the software supply chain allows cybercriminals to extend their victim pool and accelerate attacks. Several attack vectors exist during the software development lifecycle: from contributing open source code to building and testing, then deployment and staging in different pre-production settings, and ultimately deployment to a production environment. Developers use various tools and services throughout this lifespan, increasing the attack surface. Furthermore, because DevOps pipelines hold the keys to the castle, attackers are likelier to target popular development tools such as Kubernetes to remain undetected while compromising many levels of an enterprise's network.
Hong Kong Cybersecurity Industry Overview
The Hongkong Cybersecurity Market is moderately fragmented, owing to the presence of several local players. Many key players compete in the market under intense competition to cater to the client companies' security needs. The companies partner with other service providers to offer innovative cybersecurity solutions, exchanging technologies that strengthen existing services and launch new services for different end-users.
- April 2022 - SecurityScorecard, one of the global leaders in cybersecurity ratings, announced a collaboration with TriTech Distribution Limited ("TriTech"), one of leading Hong Kong and Macau-based value-added distributors (VAD), to assist enterprises in the region in gaining greater visibility into security vulnerabilities across their organizations. The collaboration will also assist third-party partners in complying with new government rules, prioritizing remediation for the most serious threats, and protecting important assets.
Hong Kong Cybersecurity Market Leaders
IBM Corporation
Digitpol
Rackspace Technology
Maximus
Edvance International Holdings Limited
*Disclaimer: Major Players sorted in no particular order
Hong Kong Cybersecurity Market News
- April 2022- HCL Technologies (HCL), one of the leading global technology company, announced the expansion of its strategic collaboration with Microsoft to provide robust security capabilities to clients globally. HCL Technologies has earned all four advanced security specialties offered to Microsoft partners. These specializations demonstrate Microsoft partners' ability to offer specialized security services in challenging solutions using Azure.
- June 2022 - The Innovation Hub of the Bank for International Settlements launched new initiatives and expanded its cyber security and green finance trials. The BIS Innovation Hub has announced a fresh set of initiatives across its several centers, revising its work schedule until 2022. They comprise the first three initiatives of the forthcoming Eurosystem Centre and the first comprehensive cyber security research. In addition to the Eurosystem projects, the Innovation Hub's Hong Kong Centre will collaborate with the Bank of Israel and the Hong Kong Monetary Authority (HKMA) on new research on central bank digital currency (CBDC) and cybersecurity.
Hong Kong Cybersecurity 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 INSIGHTS
4.1 Market Overview
4.2 Value Chain Analysis
4.3 Porter's Five Forces Analysis
4.3.1 Threat of New Entrants
4.3.2 Bargaining Power of Buyers
4.3.3 Bargaining Power of Suppliers
4.3.4 Threat of Substitutes
4.3.5 Intensity of Competitive Rivalry
4.4 Impact of Covid-19 on the Market
5. MARKET DYNAMICS
5.1 Market Drivers
5.1.1 Increasing Demand for Digitalization and Scalable IT Infrastructure
5.1.2 Need to tackle risks from various trends such as third-party vendor risks, the evolution of MSSPs, and adoption of cloud-first strategy
5.2 Market Restraints
5.2.1 Lack of Cybersecurity Professionals
5.2.2 High Reliance on Traditional Authentication Methods and Low Preparedness
5.3 Trends Analysis
5.3.1 Organizations in Hong Kong increasingly leveraging AI to enhance their cyber security strategy
5.3.2 Exponential growth to be witnessed in cloud security owing to shift toward cloud-based delivery model.
6. MARKET SEGMENTATION
6.1 By Offering
6.1.1 Security Type
6.1.1.1 Cloud Security
6.1.1.2 Data Security
6.1.1.3 Identity Access Management
6.1.1.4 Network Security
6.1.1.5 Consumer Security
6.1.1.6 Infrastructure Protection
6.1.1.7 Other Types
6.1.2 Services
6.2 By Deployment
6.2.1 Cloud
6.2.2 On-premise
6.3 By End User
6.3.1 BFSI
6.3.2 Healthcare
6.3.3 Manufacturing
6.3.4 Government & Defense
6.3.5 IT and Telecommunication
6.3.6 Other End Users
7. COMPETITIVE LANDSCAPE
7.1 Company Profiles
7.1.1 IBM Corporation
7.1.2 Digitpol
7.1.3 Rackspace Technology
7.1.4 Maximus
7.1.5 Edvance International Holdings Limited
7.1.6 Nexusguard
7.1.7 Ensign InfoSecurity Pte. Ltd.
7.1.8 Dual Layer IT Solutions LTD
7.1.9 EIRE Systems K.K.
7.1.10 iSystems Security Ltd
- *List Not Exhaustive
8. INVESTMENT ANALYSIS
9. FUTURE OF THE MARKET
Hong Kong Cybersecurity Industry Segmentation
Cybersecurity solutions help an organization monitor, detect, report, and counter cyber threats that are internet-based attempts to damage or disrupt information systems and hack critical information using spyware and malware, and phishing, to maintain data confidentiality. The study is structured to track the revenues accrued by cybersecurity vendors through sales of various solutions and allied services.
Hong Kong Cybersecurity Market is Segmented by By Offering( by Security Type ( Cloud Security, Data Security, Identity Access Management, Network Security, Consumer Security, Infrastructure Protection), Services), by Deployment (Cloud, On-premise), by end-user ( BFSI, Healthcare, Manufacturing, Government & Defense, IT and Telecommunication) and by Country
| By Offering | |||||||||
| |||||||||
| Services |
| By Deployment | |
| Cloud | |
| On-premise |
| By End User | |
| BFSI | |
| Healthcare | |
| Manufacturing | |
| Government & Defense | |
| IT and Telecommunication | |
| Other End Users |
Hong Kong Cybersecurity Market Research FAQs
What is the current Hong Kong Cybersecurity Market size?
The Hong Kong Cybersecurity Market is projected to register a CAGR of 13.43% during the forecast period (2024-2029)
Who are the key players in Hong Kong Cybersecurity Market?
IBM Corporation, Digitpol, Rackspace Technology, Maximus and Edvance International Holdings Limited are the major companies operating in the Hong Kong Cybersecurity Market.
What years does this Hong Kong Cybersecurity Market cover?
The report covers the Hong Kong Cybersecurity Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Hong Kong Cybersecurity Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Hong Kong Cybersecurity Industry Report
Statistics for the 2024 Hong Kong Cybersecurity market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Hong Kong Cybersecurity analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
