PUBLISHER: The Business Research Company | PRODUCT CODE: 1426464
PUBLISHER: The Business Research Company | PRODUCT CODE: 1426464
Business email compromise (BEC) is a form of cybercrime wherein attackers deceive individuals into transferring funds or sensitive information by impersonating trusted entities through fraudulent emails. This often involves the use of social engineering tactics to manipulate recipients into taking unauthorized actions.
The main types of offerings included in business email compromises are solutions and services. A solution refers to a group of connected software applications and services that are offered as a single unit. These solutions can be deployed in the cloud or on-premise and are suitable for organizations of various sizes, including SMEs (small and medium enterprises) and large enterprises. They find application across several verticals, such as banking, financial services, and insurance, government, IT (information technology), and ITeS (information technology-enabled services), energy and utilities, manufacturing, retail and e-commerce, healthcare, and others.
The business email compromise market research report is one of a series of new reports from The Business Research Company that provides business email compromise market statistics, including business email compromise industry global market size, regional shares, competitors with a business email compromise market share, detailed business email compromise market segments, market trends and opportunities, and any further data you may need to thrive in the business email compromise industry. This business email compromise market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.
The business email compromise market size has grown rapidly in recent years. It will grow from $1.62 billion in 2023 to $1.9 billion in 2024 at a compound annual growth rate (CAGR) of 16.9%. The growth observed during the historical period can be attributed to the evolution of phishing tactics, exploitation of trust relationships, email spoofing and impersonation, the lack of adequate email security measures, financial gain incentives, and the trends toward globalization and remote work.
The business email compromise market size is expected to see rapid growth in the next few years. It will grow to $3.66 billion in 2028 at a compound annual growth rate (CAGR) of 17.8%. The anticipated growth in the forecast period can be attributed to weaknesses in email security infrastructure, the risks associated with global connectivity and remote work, the integration of ransomware in BEC attacks, a continued lack of employee training, and the growing collaboration among cybercriminals. Major trends expected during the forecast period include the global expansion of attacks, cross-channel exploitation, adaptation to security protocols, the use of psychological manipulation, and an increase in email account compromise incidents.
The anticipated surge in the adoption of cloud-based email services is poised to drive the expansion of the business email compromise (BEC) market in the foreseeable future. These services, hosted on the internet, enable users to send, receive, and store emails without relying on local servers or infrastructure. The adoption of cloud-based email services is elevating the need for robust BEC protection, leading to an increased demand for specialized solutions and services in the business email compromise prevention sector. A notable example is the Eurostat report from December 2021, which indicated that 41% of EU businesses embraced cloud usage, with a predominant focus on hosting email servers and storing digital documents. A significant percentage, 79%, among the cloud users utilized the platform for email services. This surge in cloud-based email services adoption is identified as a key driver propelling the business email compromise market.
The escalating incidents of business email compromise (BEC) and spear-phishing attacks are expected to contribute to the growth of the business email compromise market. These cyber threats involve deceptive or compromised emails targeting businesses and organizations. The rising frequency of BEC and spear-phishing attacks has garnered increased attention, prompting organizations to heighten their awareness of potential cyber threats. This growing awareness, in turn, stimulates a willingness among organizations to invest in solutions geared towards safeguarding against such cyberattacks. As an illustration, a report from August 2023 by Astra Security, a cybersecurity company, highlighted the average growth of $71,000 in BEC attacks requesting wire transfers. Additionally, approximately 24% of BEC phishing schemes in 2021 aimed at redirecting employee payroll deposits. The surge in such incidents is identified as a significant factor driving the growth of the business email compromise market.
The lack of awareness regarding cyber-attacks is anticipated to impede the growth of the business email compromise market. The complexity of BEC incidents, coupled with hackers utilizing increasingly sophisticated methods to deceive individuals into divulging sensitive information, poses challenges for organizations in detecting and resisting these attacks. For example, data from the Federal Bureau of Investigation (FBI) in February 2023 revealed that business email compromise (BEC) and email account compromise (EAC) losses globally exceeded $43 billion in 2021, with close to 20,000 BEC complaints recorded. This lack of awareness poses a constraint on the growth trajectory of the business email compromise market.
Leading companies in the business email compromise market are strategically focusing on the development of innovative technologies, particularly artificial intelligence (AI) solutions, to gain a competitive advantage. AI solutions involve the application of AI techniques within a software application to address specific problems or tasks. For instance, SlashNext Inc., a cybersecurity company, launched Generative HumanAI in February 2023, representing the industry's first AI product utilizing generative AI to protect against advanced BEC, supply chain assaults, financial fraud, and executive impersonation. The solution employs AI data augmentation and cloning technologies to automatically generate thousands of potential BEC threats, enhancing the detection of malicious emails through natural language processing. This emphasis on innovative technologies showcases the commitment of major companies to stay ahead in the competitive business email compromise market.
In November 2021, Check Point Software Technologies Ltd., a cybersecurity solutions provider, acquired Avanan Inc. The acquisition underscores Check Point's commitment to redefining security for cloud email and ensuring top-tier security for emails and SaaS collaboration suites. Avanan Inc., the acquired entity, specializes in email security and provides solutions to counter business email compromise (BEC) attacks.
Major companies operating in the business email compromise market report are Microsoft Corporation, Cisco Systems Inc., Broadcom Inc., Fortinet Inc., OpenText Corporation, Check Point Software Technologies Ltd., Trend Micro Inc., Cloudflare Inc., Fortra LLC, Symphony Technology Group, Mimecast Limited, Barracuda Networks Inc., Acronis International GmbH, Egress Software Technologies Ltd., Zix Corp, ZeroFox Holdings Inc., Tessian Limited, SafeGuard Cyber Inc., Heimdal Security A/S, Cofense Bidco Corporation, Agari Data Inc., Virtru Corporation, Ironscales Inc., Valimail Inc., Redscan Cyber Security Ltd., Abnormal Security Corporation, Trustifi LLC, Retruster Ltd., Cellopoint International Corp., GreatHorn Inc.
North America was the largest region in the business email compromise market in 2023. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the business email compromise market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa
The countries covered in the business email compromise market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain
The business email compromise market includes revenues earned by entities by providing email-based threat solutions, vulnerability-focused solutions, human-centric protection solutions, and account compromise solutions. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
Business Email Compromise Global Market Report 2024 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on business email compromise market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for business email compromise? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The business email compromise market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.