Cloud-based working sparks boom for next-gen cyber security firms  

Tech insiders are predicting a wave of listings by cyber security outfits – some expecting an increase of 20% by 2024 – as the digital revolution sees more data, companies and staff heading to the cloud 

Cloud-based working sparks boom for next-gen cyber security firms
By 2024, the global ‘zero trust' security market is expected to be worth $38.631 billion.

(ATF) China’s cyber security sector is set to see a boom in market listings as demand soars for the firms’ services with cloud-based working becoming the new norm.

With the rapid development of enterprise clouds, remote offices, online education and internet medical services, the demand for network security has become even more vital, promoting a surge in ‘secure access service edge’ (SASE) firms in the country. 

These firms protect companies’ precious data and demand for their services is expanding, particularly as the concept of ‘zero trust’ takes hold.

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The ‘zero trust’ concept believes that any network is not trustworthy by default. The argument is that access authority cannot be determined based on a visitor's internal or external network, but must be based on the principle of never trusting and always verifying.

In the A-share market, there are more than ten companies preaching the theory of ‘zero trust, among them Wangsu Technology, Qi'anxin, Shenxinfu, and Venusstar.

The current domestic SASE field is still only at the conceptual stage. However, SASE's potential market demand has seen ‘zero trust’ concept stocks continue to receive attention. 

"SASE has a larger scope, and the concept of zero trust in some landing scenarios partially overlaps with SASE,” a network security analyst said.

'ZERO TRUST'

According to research institution MarketsandMarkets, by 2024, the global ‘zero trust' security market will be worth $38.631 billion, with a compound annual growth rate of close to 20%.

Siddharth Deshpande, director of security strategy for edge computing vendor Akamai in the Asia-Pacific region, said: "Digitalisation has become a global development trend. The device-based security methods used in the past are weak. And as more and more enterprises move to the cloud, this makes us consider how to design a next-generation network architecture to ensure security in the next five to 10 years. SASE is an excellent example of a starting point for thinking about future security architecture."

And an expert in the field of network security told China Business News: "Cloud computing, big data, mobile internet and other technologies have spawned the previous wave of IT infrastructure evolution – and the rapid development of new technologies such as 5G, SD-WAN, and edge computing are triggering a new wave of IT infrastructure upgrades.

"This will trigger a huge change in the entire network equipment and network security market in the next five years."

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Cyber-security SASE Zero trust Wangsu Shenxinfu Venusstar