On May 2017 it was predicted that global cyber security spending would double towards 1 trillion dollars. It was in 2004 when cyber security spending had reached $3.5 billion and after 13 years it grew to the predicted trillions. Since 2018, new predictions have been made, come 2022 this market will grow by more billions. This rise in cyber security spending only goes to show the ardent increase of cybercrime which many IT analysts have been unable to keep pace with through their forecasts. Notably, cyber-attacks have gained ground because of their diverse nature. From stubborn malware, spyware and even ransom ware tactics, cyber space continues to become unsecure as the years fly by. While the average individual may not really see what this fuss is all about, the corporate world knows too well why cyber security should be their main focal point if they are to survive the tide.
U.S government budget on Cyber security
In 2019, U.S unveiled its president’s budget. A key component was the $15 set aside to combat cyber-crime. These figures indicated a 4.1% increase from $583.4 million which was accounted for in the 2018 budget. It is a staggering rise and with a predictive eye, the US cyber-crime budget will continue to grow come 2022. Key drivers to this increment are the US federal government’s need to curb cyber-crime and improve agency security at every known level.
Spending on Cyber insurance
Cyber insurance is a key factor for governments, organizations and business enterprises to consider as they enhance their cyber security tactics. Reports show that an average 68% of US businesses are operating under zero cyber security cover. Using US as an example, it only indicates that global businesses are not adopting the idea of cyber insurance as they ought to. Globally, government budgets on cyber security may grow if they don’t sensitize the businesses on the importance of cyber insurance covers.
How much will cybercrime damages cost the world?
Various cyber security ventures predict that cyber-crime will cost the world an astounding $6trillion come 2021 and it still remains that these figures will keep growing. This rise is attributed to the destructive nature of cyber-crime which strips governments, organizations and business off sensitive data and system operations. It will also cost these factions a great deal of trust from their clientele since most people risk losing their finances and sensitive information.
3 trends that will shape the cyber security budget
1. The need for cyber security services is surpassing software
In 2019 cyber security grew in relevance as opposed to software which was the talk during the previous years. People are no longer pacing after new software, they are now more vigilant on obtaining the latest cyber security news and infrastructure.
2. Service providers are spending more on cyber security due to privacy concerns
It appears that online service providers will have to enhance their cyber space security for them to gain more trust from their clients. Annually, so much is lost to cybercrime, people lose their reputations, sensitive information as well as finances. If you are a service provider, you’ll need to pump in more cash and upgrade your cyber security.
3. The expenditure on cyber security will lead to an acceleration in digital transformation
Executive boards have one major concern, to enhance their cyber security at any cost. This means that cyber security budgets are not only aimed at curbing cybercrime but also paving way to a digital age free of cyber-attacks.