Report Overview

UAE Cybersecurity Market - Industry Trends & Forecast Report, 2029

UAE cybersecurity market size was estimated to be worth USD 457.89 million in 2022. During the forecast period between 2023 and 2029, the UAE cybersecurity market size is projected to grow at a CAGR of 12.60%, reaching a value of USD 1,050.83 million by 2029. Major growth factors for the UAE cybersecurity market include a concerning surge in the number of cyberattacks on banks, defense institutions, and other government bodies, along with a rise in online transactions due to expansion in internet banking and the use of online payment platforms.

UAE Cybersecurity Market – Overview

The concept of cybersecurity refers to securing data, hardware, and software from internet-connected threats. Individuals and businesses leverage cybersecurity to ensure their data centers and other computer systems are protected from unauthorized access. The number of cyberattacks is growing at a high rate to gain unauthorized access to computers and computer networks, which is becoming a cause of concern for several industries across the Middle East. Cybersecurity offers comprehensive protection against data theft and further reduces the risk of data breaches and attacks on IT systems. The advantages offered by cybersecurity are driving the growth of the Middle East cybersecurity market.

UAE Cybersecurity Market

Growth Drivers

Growing Data Breaching Incidents Across UAE

The rising frequency of cyberattacks that have been occurring all across the UAE in recent years has caused great concern to the country. In the past two years, businesses in the UAE have paid more than 5.1 million UAE dirhams (approximately USD 1.4 million) in ransomware to regain access to their systems. Of those businesses, 42% had to shut down operations as a result of the ransomware attack, according to a 2021 report by cybersecurity firm Cybereason, and as reported by Zawya. These threats are accelerating the use of cybersecurity solutions in the UAE and boosting the market's overall growth.

Restraints

Rising Sophistication in Cyberattacks

SMEs, large organizations as well as government bodies invest heavily in cybersecurity measures to protect their crucial data. However, the strategies employed by hackers in their cyberattacks, however, are evolving and changing with time. This makes the current cybersecurity system redundant, and thus provide no protection against data theft or other type of attacks. This may limit the investment on cybersecurity, particularly by the SME, due to lack of financial resources, limiting the overall market growth.

Impact of COVID-19 on UAE Cybersecurity Market

The COVID-19 pandemic propelled the growth of the UAE cybersecurity market owing to the significant surge in cyberattacks in the country. According to a report by CNBC, the UAE witnessed a 250% spike in the number of cyberattacks in 2020 alone, with a high number of phishing and ransomware attacks. The report also revealed that the rising digitization and expanding adoption of remote working culture, fueled by the COVID-19 pandemic and lockdown, directly influenced the surge in the frequency of hacking and other cyberattacks. As a result, both the public and commercial sectors adopted changes to cybersecurity, spurring industry expansion overall.

UAE Cybersecurity Market

Segmental Coverage

UAE Cybersecurity Market – By Component

Based on components, the UAE cybersecurity market is segregated into hardware, software, and services. The software segment is further classified into advanced persistent threats, threat intelligence, security and information event management, security and vulnerability management, network access control, antivirus/antimalware, and others. The services segment is also further segmented into professional services and managed services. The antivirus/antimalware segment accounts for the largest market share.

UAE Cybersecurity Market – By Security

Based on security, the UAE cybersecurity market is segmented into network security, endpoint security, application security, cloud security, infrastructure protection, data security, and others. The network security segment holds the highest share of the market. The growth of this segment is mainly attributed to the increasing usage of social networking sites, digital media, and online entertainment. This security measure guards against hacks, invasions, and other risks to the network and data. Infrastructure protection, however, also accounts for a sizable portion of the market since it offers defense against a wider range of threats.

UAE Cybersecurity Market – By Deployment Mode

Based on deployment mode, the UAE cybersecurity market is segmented into on–premises and cloud. The on-premises deployment mode retains the largest share in the UAE cybersecurity market due to its greater data protection compared to other deployment modalities. Companies have total control over the data and security because of local storage. Another benefit of on-premise systems is that staff members may still access the information even if network problems prevent them from connecting to the Internet. However, due to the increased use of SaaS in the wake of the COVID-19 pandemic, cloud deployment is anticipated to see the fastest growth rate over the projection period.

UAE Cybersecurity Market – By Industry Vertical

Based on industry vertical, the UAE cybersecurity market is segmented into aerospace & defense, government, BFSI, IT & telecommunications, healthcare, retail, manufacturing, and others. Due to the increasing frequency of cyberattacks on financial institutions in the UAE, the BFSI sector holds the highest market share. DDoS attacks have lately targeted several significant institutions in the United Arab Emirates, including First Abu Dhabi Bank and Abu Dhabi Commercial Bank. Therefore, the BFSI industry is heavily investing in cutting-edge cybersecurity measures, which are fueling the growth of the overall market.

UAE Cybersecurity Market – By Organization Size

Based on the organization size, the UAE cybersecurity market is segmented into small and medium–sized enterprises (SMEs) and large enterprises. The large enterprises segment dominates the UAE cybersecurity market owing to the large volumes of data and the high risk of cyberattacks for stealing these crucial data. Furthermore, large businesses have an advantage over SMEs due to the high capital needs for cyber protection. However, due to the growing use of cloud computing, small and medium-sized businesses are anticipated to develop at the fastest pace throughout the projection period.

Competitive Landscape

Major players operating in the UAE cybersecurity market include Trend Micro Inc., Caulis Inc., Internet Initiative UAE, Inc., IBM Corporation, Cisco Systems, Inc., LAC Co. Ltd., SCSK Corporation, NEC Corporation, Spider Labs Ltd, Cybereason UAE Corporation, Caulis Inc., and Cybersecurity Cloud, Inc.

To further enhance their market share, these companies employ various strategies, including mergers and acquisitions, partnerships, joint ventures, license agreements, and new product launches.

Recent Developments

• In November 2022 - Tata Communications, a telecommunications company based in India, and Intertec Systems, a software company in Dubai, announced the expansion of their partnership to set up a Cybersecurity Operations Center (SOC) in the UAE.

Scope of the Report

By Component

• Hardware

• Software

1. Advanced Persistent Threat

2. Threat Intelligence

3. Security and Information Event Management

4. Security and Vulnerability Management

5. Network Access Control

6. Antivirus/Antimalware

7. Others

• Services

1. Professional Services

2. Managed Services

By Security

1. Network Security

2. Endpoint Security

3. Application Security

4. Cloud Security

5. Infrastructure Protection

6. Data Security

7. Others

By Deployment Mode

1. On-Premises

2. Cloud

By Industry Vertical

1. Aerospace & Defense

2. Government

3. BFSI

4. IT & Telecommunications

5. Healthcare

6. Retail

7. Manufacturing

8. Others

By Organization Size

1. Small and Medium–Sized Enterprises (SMEs)

2. Large Enterprises

1. Research Framework
   1. Research Objective
   2. Product Overview
   3. Market Segmentation
2. Executive Summary
3. UAE Cybersecurity Market Insights
   1. Industry Value Chain Analysis
   2. DROC Analysis
      1. Growth Drivers
         1. Growing Data Breaching Incidents Across UAE
         2. Increasing Number of E-Commerce Platforms
      2. Restraints
         1. Growing Recession in UAE is Pushing for Cheaper Alternatives and Diminishing Cybersecurity
      3. Opportunities
         1. Growing Adoption of Cybersecurity in Small & Medium-Sized Enterprises
      4. Challenges
         1. Insufficient Investments for Cybersecurity Software
   3. Technology Advancements/Recent Developments
   4. Regulatory Framework
   5. Porter’s Five Forces Analysis
      1. Bargaining Power of Suppliers
      2. Bargaining Power of Buyers
      3. Threat of New Entrants
      4. Threat of Substitutes
      5. Intensity of Rivalry
4. UAE Cybersecurity Market Overview
   1. Market Size & Forecast, 2019–2029
      1. By Value (USD Million)
   2. Market Share & Forecast
      1. By Component
         1. Hardware
         2. Software
            1. Advanced Persistent Threat
            2. Threat Intelligence
            3. Security and Information Event Management
            4. Security and Vulnerability Management
            5. Network Access Control
            6. Antivirus/Antimalware
            7. Others
         3. Services
            1. Professional Services
            2. Managed Services
      2. By Security
         1. Network Security
         2. Endpoint Security
         3. Application Security
         4. Cloud Security
         5. Infrastructure Protection
         6. Data Security
         7. Others
      3. By Deployment Mode
         1. On–Premises
         2. Cloud
      4. By Industry Vertical
         1. Aerospace and Defense
         2. Government
         3. BFSI
         4. IT & Telecommunication
         5. Healthcare
         6. Retail
         7. Manufacturing
         8. Others
      5. By Organization Size
         1. Small and Medium–sized Enterprises (SMEs)
         2. Large Enterprises
5. Competitive Landscape
   1. List of Key Players and Their Offerings
   2. UAE Cybersecurity Company Market Share Analysis, 2022
   3. Competitive Benchmarking, By Operating Parameters
   4. Key Strategic Developments (Mergers, Acquisitions, Partnerships, etc.)
6. Impact of Covid-19 on UAE Cybersecurity Market
7. Company Profile (Company Overview, Financial Matrix, Competitive Landscape, Key Personnel, Key Competitors, Contact Address, Strategic Outlook, SWOT Analysis)
   1. Trend Micro Inc. Caulis Inc.
   2. Internet Initiative UAE, Inc.
   3. IBM Corporation
   4. Cisco Systems, Inc.
   5. LAC Co. Ltd
   6. SCSK Corporation
   7. NEC Corporation
   8. Spider Labs Ltd
   9. Cyber Reason UAE Corporation
   10. Caulis Inc.
   11. Cybersecurity Cloud, Inc.
   12. Other Prominent Players
8. Key Strategic Recommendations
9. Research Methodology
   1. Qualitative Research
      1.  Primary & Secondary Research
   2.  Quantitative Research
   3.  Market Breakdown & Data Triangulation
      1.  Secondary Research
      2.  Primary Research
   4. Breakdown of Primary Research Respondents, By Region
   5.  Assumptions & Limitations

*Financial information of non-listed companies can be provided as per availability.

**The segmentation and the companies are subject to modifications based on in-depth secondary research for the final deliverable.

List of Figures

Figure 1       UAE Cybersecurity Segmentation

Figure 2       UAE Cybersecurity Market Value Chain Analysis

Figure 3       Company Market Share Analysis, 2022

Figure 4       UAE Cybersecurity Market Size, By Value (USD Million), 2019–2029

Figure 5       UAE Cybersecurity Market Share, By Component, By Value, 2019–2029

Figure 6       UAE Cybersecurity Market Share, By Security, By Value, 2019–2029

Figure 7       UAE Cybersecurity Market Share, By Deployment Mode, By Value, 2019–2029

Figure 8       UAE Cybersecurity Market Share, By Industry Vertical, By Value, 2019–2029

Figure 9       UAE Cybersecurity Market Share, By Organization Size By Value, 2019–2029

List of Tables

Table 1        UAE Cybersecurity Market Size, By Value (USD Million), 2019–2029

Table 2        UAE Cybersecurity Market Size, By Component, By Value, 2019–2029

Table 3        UAE Cybersecurity Market Size, By Security, By Value, 2019–2029

Table 4        UAE Cybersecurity Market Size, By Deployment Mode, By Value, 2019–2029

Table 5        UAE Cybersecurity Market Size, By Industry Vertical, By Value, 2019–2029

Table 6        UAE Cybersecurity Market Size, By Organization Size, By Value, 2019–2029

Table 7        Trend Micro Inc. Caulis Inc. Company Overview

Table 8        Trend Micro Inc. Caulis Inc. Financial Overview

Table 9        Internet Initiative UAE, Inc. Company Overview

Table 10      Internet Initiative UAE, Inc. Financial Overview

Table 11      IBM Corporation Company Overview

Table 12      IBM Corporation Financial Overview

Table 13      Cisco Systems, Inc. Company Overview

Table 14      Cisco Systems, Inc. Financial Overview

Table 15      LAC Co. Ltd. Company Overview

Table 16      LAC Co. Ltd. Financial Overview

Table 17      SCSK Corporation Company Overview

Table 18      SCSK Corporation Financial Overview

Table 19      NEC Corporation Company Overview

Table 20      NEC Corporation Financial Overview

Table 21      Spider Labs Ltd. Company Overview

Table 22      Spider Labs Ltd. Financial Overview

Table 23      Cyber ​​Reason UAE Corporation Company Overview

Table 24      Cyber ​​Reason UAE Corporation Financial Overview

Table 25      Caulis Inc. Company Overview

Table 26      Caulis Inc. Financial Overview

Table 27      Cybersecurity Cloud, Inc. Company Overview

Table 28      Cybersecurity Cloud, Inc. Financial Overview