By 2020 Generation C (for connected or content or even collaboration) millennials who have grown up in a digital world will be moving into positions of power and driving an economy fuelled by technology and data.
In addition, according to some estimates the value of European citizens’ personal data could grow to nearly €1tn annually by that date.
The global digitisation of society, in both commercial and personal contexts, is driving a vast proliferation of data, which in turn creates the need for technologies with the capability to safeguard these immense data sets on a wide and rapidly changing array of devices.
Growth in cybercrime
As a business’ value is increasingly tied up in data, technology and its web presence, the level of cybercrime grows alongside it.
Businesses are responding to high profile breaches such as that at French submarine manufacturer DCNS where, in August 2016, over 22,000 documents were leaked online, with bigger and bigger budgets to tackle the problem. JP Morgan & Chase recently doubled its cybersecurity budget from €220m to €440m, whilst the US government has increased its annual cybersecurity budget by 35% from €12.5bn in 2016 to almost €17bn in 2017.
As well as the number of breaches growing, the sophistication of attacks is also increasing. Ransomware, software designed to block access to a computer system until a ransom is paid is, for example, becoming more common. Even hospitals, which are often run on older style operating systems, increasingly find themselves targets.
There is no doubt that we are in a period of unprecedented and rapid change in our adoption of new technologies. Mobile technology is changing the way that the world lives and works with the GSMA estimating1 that there are now more devices in the world than there are people.
As well as reshaping our experience as consumers, this dynamic is also having a huge impact on the IT security market as the malware industry refocuses from PCs and laptops to smartphones and mobile devices, partly driven by the Bring Your Own Device (BYOD) trend. In addition to the huge challenges created by mobile technology, the shift in the software and IT services market from on-premise models to software as a service (SaaS), infrastructure as a services (IaaS) and platform as a service (PaaS), also creates new issues for security vendors.
Internet of Things (IoT)
The IoT market is booming with Gartner saying that 6.4 billion connected devices will be in use in 2016, whilst Juniper predict2 that it will reach over 38 billion units by 2020. This explosive growth will also be mirrored in the security market which Markets and Markets predict3 will grow from €6.1bn in 2015 to €25.8bn by 2020.
The automotive market is just one example in which the security threat is rapidly evolving. The increased level of connected features including telematics and the integration of smartphones means that the security threat to our vehicles is no longer just about car break-ins and theft.
In response to the growing number of threats, legislation governing the protection of data, intellectual property, and associated privacy concerns is changing fast.
For instance, the EU recently adopted new data protection rules aimed at helping individuals and businesses better control their data. By unifying Europe’s rules on data protection, the regulations aim to establish a single set of rules which will make it simpler for companies to deal with one single supervisory authority.
The regulations specifically guarantee that data protection safeguards are built into products and services from the earliest stage of development. Businesses will have incentives to use techniques such as anonymisation (removing personally identifiable information), pseudonymisation (replacing personally identifiable material with artificial identifiers), and encryption (encoding messages so only those authorised can read it) to better protect personal data.
1 GSMA Intelligence 2016
2 Juniper Research: The Internet of Things: Consumer, Industrial & Public Services 2015-2020
3 Markets and Markets: IoT Security Market by Technologies – Global Forecast to 2020