Global Managed Detection and Response (MDR) Market Size, Share & Industry Trends Analysis Report By Security Type, By Deployment Mode (Cloud and On-premise), By Organization Size, By Vertical, By Regional Outlook and Forecast, 2022 - 2028
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Get in-depth analysis of the COVID-19 impact on the Managed Detection and Response (MDR) Market
Market Report Description
The Global Managed Detection and Response (MDR) Market size is expected to reach $6.1 billion by 2028, rising at a market growth of 16.8% CAGR during the forecast period.
Customers can use monitored detection and mitigation services to get modern security operations center (MSOC) tasks delivered remotely. These functions enable firms to detect, evaluate, investigate, and respond to threats quickly and effectively through threat reduction and containment. MDR service providers provide a turnkey solution, collecting necessary logs, data, and contextual information utilizing a specified technology stack encompassing domains such as endpoint, network, and cloud services.
Managed detection and response (MDR) cover major issues that afflict today's enterprises. The most obvious problem is a scarcity of security expertise within firms. While larger firms who can afford it may be able to train and put up specialized private security that can undertake full-time threat hunting, most businesses would find it challenging due to resource constraints.
The sheer volume of notifications that security and IT teams receive every month is an often-neglected concern when it comes to cybersecurity. Many of these notifications are difficult to classify as malicious and must be investigated individually. Furthermore, security teams must correlate these threats, as correlation might indicate whether seemingly unrelated indications add together to form a broader attack. This can overburden smaller security teams, taking time and resources away from their other responsibilities.
MDR tries to solve this challenge by assessing all of the aspects and indications included in an alert as well as recognizing threats. MDR also makes recommendations and modifications to organizations based on how security occurrences are interpreted. The ability to contextualize and understand indicators of compromise is one of the most crucial talents that security professionals require to better posture the firm against future assaults. Although security technologies can block attacks, delving further into the what, whys, and what’s of incidents necessitates a human touch.
COVID-19 Impact Analysis
The desire for MDR solutions to combat various cyber risks and assaults is increasing among organizations as a result of the COVID-19 pandemic in 2020. During a pandemic, digital transformation in the banking, financial services, and insurance industries, as well as healthcare, government, and IT and telecom accelerates. The adoption of the remote work trend has resulted in increased web and cloud traffic, which is why MDR solutions and services are booming in every industry. The pandemic has refocused security experts' attention on operations of various cloud-delivered security products that do not demand a LAN connection to work, as well as the need to migrate to cloud data centers and leverage SaaS applications. As a result, businesses are turning to XDR solutions to access policies and manage hazards throughout cloud and corporate networks.
Market Growth Factors
Compromises of company’s email, malware, and crypto jacking are becoming more common.
The free Red Team the Internet required in 2021 was the exploitation of online apps to deploy bitcoin coin miners. Crypto jacking instances force businesses to fix insecure systems, removing a possible entry point for ransomware. Organizations adopted advised measures to fix the exploited vulnerability 100 percent of the time in the web app compromises Expel studied that resulted in the implementation of a coin miner in 2021. This usually happens when a victim unintentionally installs a programmed with harmful scripts that allows a cybercriminal to gain access to the device or other Internet-connected equipment, such as by clicking on an unfamiliar link in an e-mail or visiting a malicious website.
Security Rules can be modified, as well as Compliance Reporting
Every company have their own distinctive rules and regulations. It may have procedures, objectives, and hazards that are unique to the firm. As a result, need a system that can adjust to needs. To create security regulations for each user, the best MDR solution providers offer a configurable rules engine. This engine enables to apply their own security and operational policies and then update them to reflect changing business demands, evolving risks, and any relevant rules and regulations. MDR team may carefully filter out noisy signals that pose no meaningful security risk using a set of tailored security rules, enabling them to stay focused on identifying both predictable and unpredictable threats.
Market Restraining Factors
Weak and inconsistent in third-party software
Outsourcing security activities to a third-party MDR network operator has several drawbacks, including the security of the third-party infrastructure and a loss of control. To be effective in combating the latest advanced threats, the service provider's cyber infrastructure must be safe and up to date. The infrastructure of an MDR service provider may contain crucial business and people data from several firms, making it particularly vulnerable to repetitive and complicated attacks. Companies may be hesitant to provide valuable data to these service providers as a result of this. In other circumstances, the organization's top management may be unwilling to relinquish control of such a critical component of their infrastructure.
Security Type Outlook
Based on Security Type, the market is segmented into Endpoint Security, Network Security, Cloud Security, and Others. The network security segment witnessed a significant revenue share in the Managed detection and response (MDR) market in 2021. An MDR security platform is a 24/7 security control that often covers a variety of basic security activities, such as cloud-managed security for enterprises that do not have their security infrastructure.
Deployment Mode Outlook
Based on Deployment Mode, the market is segmented into Cloud and On-premise. The cloud segment procured the largest revenue share in the Managed detection and response (MDR) market in 2021. It is because MDR solutions are expected to become more popular as the desire to cut costs associated with solution management grows. Decentralized cloud storage offers remote data maintenance, management, and backup with benefits such as availability, cost reductions, and data security for organizations, encouraging IT specialists to shift their data to the cloud.
Organization Size Outlook
Based on Organization Size, the market is segmented into Large Enterprises and Small & Medium Enterprises. The small & medium enterprise segment registered a significant revenue share in the Managed detection and response (MDR) market in 2021. The number of staffs working in firms was used to segment the market. Small firms are projected to embrace MDR at a higher rate than larger companies. Due to their tiny staff and limited financial resources, SMEs confront a variety of IT issues in the current environment.
Based on Vertical, the market is segmented into BFSI, IT & ITeS, Government, Retail, Healthcare, Manufacturing, Energy & Utilities, and Others. The BFSI segment acquired the largest revenue share in the Managed detection and response (MDR) market in 2021. Due to the new and advanced goods & solutions are designed to improve business operations as technology advances. This vertical's enormous consumer base makes use of services including mobile payments, online banking, and internet banking. Employees, clients, assets, locations, subsidiaries, and operations are all protected by MDR services in the BFSI industry.
|Market size value in 2021||USD 2.1 Billion|
|Market size forecast in 2028||USD 6.1 Billion|
|Historical Period||2018 to 2020|
|Forecast Period||2022 to 2028|
|Revenue Growth Rate||CAGR of 16.8% from 2022 to 2028|
|Number of Pages||290|
|Number of Tables||482|
|Report coverage||Market Trends, Revenue Estimation and Forecast, Segmentation Analysis, Regional and Country Breakdown, Companies Strategic Developments, Company Profiling|
|Segments covered||Security Type, Deployment Mode, Organization Size, Vertical, Region|
|Country scope||US, Canada, Mexico, Germany, UK, France, Russia, Spain, Italy, China, Japan, India, South Korea, Singapore, Malaysia, Brazil, Argentina, UAE, Saudi Arabia, South Africa, Nigeria|
Based on Regions, the market is segmented into North America, Europe, Asia Pacific, and Latin America, Middle East & Africa. The North America segment garnered the largest revenue share in the Managed detection and response (MDR) market in 2021. Due to its most advanced technologies, North America leads the in terms of security suppliers and security flaw incidents. Safeguarding business essential infrastructure and sensitive data is one of the primary issues as the globe moves toward interconnectivity and digitalization.
Free Valuable Insights: Global Managed Detection and Response (MDR) Market size to reach USD 6.1 Billion by 2028
The market research report covers the analysis of key stake holders of the market. Key companies profiled in the report include Crowdstrike Holdings, Inc., Rapid7, Inc., SentinelOne, Inc., Alert Logic, Inc. (HelpSystems, LLC), Sophos Group PLC (Thoma Bravo), Red Canary, Inc., Arctic Wolf Networks Inc., Kudelski Group (Kudelski Security), Singapore Telecommunications Limited (Trustwave Holdings, Inc.), and Secureworks, Inc. (Dell Marketing L.P.)
Strategies deployed in Managed Detection and Response (MDR) Market
» Partnerships, Collaborations and Agreements
- Apr-2022: CrowdStrike came into a partnership with Mandiant, a publicly traded American cybersecurity firm. Through this partnership, the companies aimed to help joint consumers research, remediate and protect against increasingly refined cybersecurity occurrences that trouble company globally. Additionally, Mandiant would leverage the CrowdStrike Falcon platform and subscription portfolio for its incident response services and visionary consulting meetings for joint consumers.
- Mar-2022: SentinelOne entered into a partnership with eSentire, the Authority in Managed Detection and Response. Through this partnership, the companies aimed to authorize organizations to detect, prevent, and autonomously react to cyber dangers. In addition, eSentire MDR for Endpoint and SentinelOne Singularity XDR, enterprises can develop security from the endpoint to beyond with unparalleled response, unrestrained clarity, and proven security.
- Feb-2022: SentinelOne partnered with Mandiant, the leader in dynamic cyber defense and response. Together, the companies aimed to assist organizations to reduce the threat of data violations and reinforce capability to alleviate cyber threats. Additionally, the partnership allows Mandiant’s well-known incident responders benefit of SentinelOne’s Singularity XDR platform to examine and rectify violations.
- Dec-2021: Kudelski Security teamed up with Microsoft, an American multinational technology corporation. Under this collaboration, Kudelski Security would integrate Microsoft Defender for Endpoint with its leading Managed Detection and Response (MDR) services. In addition, the collaboration would natively ingest endpoint data from Microsoft Defender for Endpoint-protected devices to surpervise environments, identify for new threats and more significantly initiate remediation actions should a breach occur.
- Oct-2021: Red Canary formed a partnership with Jamf, the standard in Apple Enterprise Management. Together, the companies aimed to provide clarity and world-class Apple security that Jamf Protect delivers along with Red Canary safety process services that detect and reply to cybersecurity hazards to organizations to run their businesses securely and successfully.
- Oct-2021: Alert Logic extended its partnership with Availability Services, a provider of IT production and retrieval services to obtain Managed Detection and Response. Through this extended partnership, Sungard AS authorizes the consumer to bring a more aggressive technique to cybersecurity with a focus on providing a significant security development that manages both pre-breach and post-breach problems.
- Sep-2021: Alert Logic signed a Master Distributor Agreement with AVANT, an online lending medium to promote the adoption of Managed Detection and Response solutions. This agreement allows AVANT service providers to utilize best-in-class MDR solutions to improve consumer security stance and enhance their capability to attach to observation assignments.
- Sep-2021: SentinelOne formed a partnership with Deepwatch, the leader in advanced managed detection and response security. Through this partnership, the companies aimed to integrate SentinelOne endpoint protection and Deepwatch MDR permit detection engineers to catch more endpoint data that can be consume into the greater Deepwatch SecOps Platform for contextualization and correlation. Additionally, consumers can recognize and react to safety happenings that value while improving entire security stance.
- Sep-2021: CrowdStrike came into a partnership with Verizon, an American wireless network operator. Together the companies aimed to deliver market combined cybersecurity, managed services and risk managing abilities that authorize consumers to remain ahead of the hazard terrain and assist stop violations. Additionally, partnership would help enterprise to recognize their voids, prioritize risk-mitigation ambitions and help enhance threat stance via expertise and technology.
- May-2021: Secureworks signed a distribution agreement with NEXTGEN, an American software, and services company. Through this agreement, the companies aimed to propel the growth of Secureworks’ cloud-native Taegis XDR within the Asia Pacific region. Additionally, Taegis XDR is an comprehensive detection and response solution that reduces best-of-breed protection elements, across network, cloud, and endpoint, into a holistic environment boosted by 20+ years of Secureworks risk intelligence, that delivers the aggressive security against difficult cyber-attacks that associates and consumers need.
- Sep-2020: Secureworks signed a distribution agreement with Arrow Electronics, which specializes in distribution and value-added services relating to electronic components and computer products. Through this agreement, American Fortune would provide Secureworks’ entire offering of software and services to direct partners within North America.
- Jan-2020: SentinelOne partnered with CRITICALSTART, a supreme supllier of Managed Detection and Response services. Together, the companies aimed to deliver next-era endpoint, cloud, and IoT protection security solutions. Moreover, Consumers would have entry to the SentinelOne product with CRITICALSTART’s MDR service through a bundled SKU to deliver a streamline solution, with support and services.
» Product Launches and Product Expansions:
- Apr-2022: Kudelski Security unveiled MDR One, a cloud-native MDR solution utilized across cloud, on-premise IT, and endpoint environments, the business displayed. MDR one is developed on Kudelski Security’s proprietary eXtended detection and response infrastructure and designed for enterprises that emphasize risk detection, response, and hunting.
- Mar-2022: CrowdStrike Holdings unveiled Falcon Identity Threat Protection Complete, the industry’s first completly-managed identity threat security solution. The solution brings together the Falcon Identity Threat Protection programm and Falcon Complete managed service to provide identity risk precluding and IT policy enforcement, with expert administration, observance, and remediation. Additionally, with Falcon Identity Threat Protection Complete, enterprise can run an adequate and mature identity protection program without the responsibility, fees, and time linked with building one internally.
- Feb-2022: Red Canary launched a new threat investigation and Active Remediation abilities to assist consumers analyze, triage, and reply to risks. The new abilities develop on Red Canary MDR's advanced risk detection to deliver consumers with unparalleled beyond-the-endpoint detection, along wth first-hand, real-time research and remediation by skilled specialists.
- Oct-2021: Secureworks expanded its Taegis portfolio with the launch of Taegis NGAV and Taegis ManagedXDR Elite. This product is a software-as-a-service add-on to Taegis Extended Detection and Response (XDR) and ManagedXDR.
- Aug-2021: Red Canary introduced a new feature to its SaaS-based Security Operations Platform. The new feature possesses abilities such as alert management, managed response, threat detection, and automation, Furthermore, the Red Canary platform is utilized by enterprises of any size and across the world to witness dangers, reply to happenings, and enhances safety procedures.
- May-2021: Kudelski Security introduced FusionDetect, a cloud-native analytics platform that enhances the company’s Managed Detection and Response. The new FusionDetect delivers enhanced risk detection, response, and risk deduction with more significant cost efficiencies for the modern company.
- Feb-2021: Secureworks introduced Secureworks Taegis, a security analytics platform, along with a new world-wide Managed Security Service Provider (MSSP) initiative to its Global Partner Program. This launch would expand and empower the cybersecurity community, wherein the solution would integrate Secureworks’ security operations expertise and threat intelligence abilities to identify and give response to attacks all over cloud, endpoint and network environments.
- Oct-2020: Rapid7 introduced a new feature Active Response within its Managed Detection and Response. The feature provides consumers instant reaction abilities formed by Rapid7 MDR professionals to stop attacks. Moreover, Active Response, Rapid7 MDR specialists would take action on behalf of a consumer daytime or night, supplying real-time updates through ChatOps, email, phone, text, and within InsightIDR, the organization’s cloud-native incident disclosure and reaction solution.
» Acquisitions and Mergers:
- May-2022: SentinelOne completed the acquisition of Attivo Networks, leading identity security, and lateral movement security enterprise. Through this acquisition, SentinelOne prolongs Singularity XDR's abilities to identity-based threats across IoT devices, endpoint, mobile, cloud workloads, and data wherever it resides, establishing the standard for XDR and boosting corporation zero trust adoption.
- Apr-2022: Sophos completed the acquisition of SOC.OS is an innovator of a cloud-based security alert investigation and triage automation solution. Through this acquisition, Sophos intends to advance its Managed risk Response and Comprehensive Detection and Response solutions for enterprise of all sizes. Additionally, SOC.OS would also assist Sophos grow its Adaptive Cybersecurity environment, which support Sophos’ safety solutions.
- Feb-2022: Arctic Wolf took over Tetra Defense, a supreme incident response company. Through this acquisition, Arctic Wolf aimed to advance its offering of Security Operations including Managed Security Awareness solutions, Managed Detection and Response, Managed Risk, and Response, and Cloud Detection, with circumstance eagerness and reply as a new solution.
- Nov-2021: CrowdStrike Holdings took over SecureCircle, a SaaS-based cybersecurity service that extends Zero Trust security to data on the endpoint. Under this acquisition, CrowdStrike would extend its industry directing Zero Trust endpoint protection machine and uniqueness abilities to retain data.
- Sep-2021: CrowdStrike Holdings took over Preempt Security, a leading supplier of Zero Trust and conditional access technology. Through this acquisition, CrowdStrike would offer consumers improved Zero Trust security abilities and bolster the CrowdStrike Falcon medium with conditional access technology.
- Jul-2021: Rapid7 completed the acquisition of IntSights Cyber Intelligence, a leader in contextualized external threat intelligence and proactive threat remediation. Under this acquisition, Rapid7 would integrate its community-infused danger intellect and in-depth understanding of the consumer ecosystem with IntSights’ exterior danger intelligence abilities.
- Jul-2021: Sophos took over Braintrace, a privately held, boutique, sole source cybersecurity provider. The acquisition would authorize sophos' Extended Detection and Response consumers with in-depth clarity into their web traffic and develop Sophos’ global Managed Threat Response and Quick Reaction teams and abilities.
- Apr-2021: Rapid7 took over Velociraptor, the leading open-source technology, and community. Under this acquisition, Rapid7 would resume building the Velociraptor community and utilize its technology and insights to improve Rapid7’s incident reaction abilities.
- Mar-2021: CrowdStrike acquired Humio, a leading provider of high-performance cloud log management and observability technology. Through this acquisition, Humio would improve CrowdStrike’s capabilities to solve real-life consumer issues with its cloud-native platform by counting index-free data ingestion and research abilities for both first- and third-party data.
Scope of the Study
Market Segments Covered in the Report:
By ecurity Type
- Endpoint Security
- Network Security
- Cloud Security
By Deployment Mode
By Organization Size
- Large Enterprises
- Small & Medium Enterprises
- IT & ITeS
- Energy & Utilities
- North America
- Rest of North America
- Rest of Europe
- Asia Pacific
- South Korea
- Rest of Asia Pacific
- Saudi Arabia
- South Africa
- Rest of LAMEA
Key Market Players
List of Companies Profiled in the Report:
- Crowdstrike Holdings, Inc.
- Rapid7, Inc.
- SentinelOne, Inc.
- Alert Logic, Inc. (HelpSystems, LLC)
- Sophos Group PLC (Thoma Bravo)
- Red Canary, Inc.
- Arctic Wolf Networks Inc.
- Kudelski Group (Kudelski Security)
- Singapore Telecommunications Limited (Trustwave Holdings, Inc.)
- Secureworks, Inc. (Dell Marketing L.P.)
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North America Managed Detection and Response (MDR) Market Report 2022-2028
Europe Managed Detection and Response (MDR) Market Report 2022-2028
Asia Pacific Managed Detection and Response (MDR) Market Report 2022-2028
LAMEA Managed Detection and Response (MDR) Market Report 2022-2028
How valuable will the managed detection and response market be in the future?
The global managed detection and response market size is expected to reach $6.1 billion by 2028.
What are the key driving factors and challenges in the managed detection and response market?
Compromises of company’s email, malware, and crypto jacking are becoming more common and are driving the market in coming years, however, Weak and inconsistent in third-party software limited the growth of the market.
What are the major top companies in the competitive landscape?
Crowdstrike Holdings, Inc., Rapid7, Inc., SentinelOne, Inc., Alert Logic, Inc. (HelpSystems, LLC), Sophos Group PLC (Thoma Bravo), Red Canary, Inc., Arctic Wolf Networks Inc., Kudelski Group (Kudelski Security), Singapore Telecommunications Limited (Trustwave Holdings, Inc.), and Secureworks, Inc. (Dell Marketing L.P.)
Which segment is leading the market in 2021?
The Endpoint Security segment is leading the Global Managed Detection and Response (MDR) Market by Security Type in 2021, thereby, achieving a market value of $2.33 billion by 2028.
Which segment shows a high revenue share of the managed detection and response market in 2021?
The Large Enterprises segment acquired maximum revenue share in the Global Managed Detection and Response (MDR) Market by Organization Size in 2021, and would continue to be a dominant market till 2028; thereby, achieving a market value of $3.43 billion by 2028.
Which region dominated the managed detection and response market in 2021?
The North America market dominated the Global Managed Detection and Response (MDR) Market by Region in 2021, and would continue to be a dominant market till 2028; thereby, achieving a market value of $2.24 billion by 2028.