Security Information and Event Management Market: Current Analysis and Forecast (2024-2032)

Security Information and Event Management (SIEM) is an enhanced solution that coordinates and manages security reports and events in real-time as well as monitors the organization's IT infrastructure. SIEM systems gather, consolidate, and analyze log information from different sources including the networks, servers, and applications in an organization to identify security threats and take the necessary action. They provide continuous monitoring of the security posture, rapid threat identification, and the capacity to generate compliance reports, and they assist organizations in tackling security threats efficiently.

The Security Information and Event Management Market is expected to grow with a significant CAGR of 14.5% during the forecast period (2024-2032). The increase in new and complex cyber threats such as ransomware and data breaches drive the need for enhanced SIEM systems to address evolving threats. As per the Identity Theft Resource Center, estimated around 2,365 cyberattacks in 2023 with 343,338,964 victims. 2023 saw a 72% increase in data breaches since 2021, which held the previous record. The emergence of cloud-based applications has created a need for network protection of cloud SIEM and the integration of cloud solutions. Furthermore, the advancement in conjunction with the SOAR tools improves the functionality of SIEM and the market development. For instance, in March 2021, SIRP (www.sirp.io), a leading No-code Risk-based Security Orchestration, Automation, and Response (SOAR) platform provider, announced the launch of its SOAR-as-a-Service offering. The cloud-based model provides a fast, flexible solution for enterprises and MSSPs who can access its single, centralized interface to gain valuable intelligence and context on threats, reducing incident response times from hours to minutes.

Based on the component, the market is segmented into solutions, and services. The solution segment dominated the global market in 2023. This is mainly because it has provided solutions that enable real-time monitoring, event correlation, and analysis of huge volumes of data to address threats effectively. Furthermore, the growing awareness of the necessity and requirement for a strong security infrastructure is also making companies more aware of the need for sophisticated SIEM solutions, and as a result, the market is being fueled by such demands.

Based on the deployment, the market is segmented into on-premises, and cloud. The cloud held a significant market share in 2023. This is mostly associated with the ability of cloud services to integrate with SIEM and work in real-time to detect various threats across various environments such as Hybrid and Multi-cloud. Further, an increasing number of businesses are adopting the cloud, and this fact will continue to fuel the growth and development of the cloud-based SIEM market. For instance, on April 1, 2024, LogRhythm introduced advanced capabilities for the cloud-native SIEM Platform, LogRhythm Axon. The latest innovations to LogRhythm Axon facilitate a seamless dashboard and search import/export to community repositories, bridging the communication gap.

Based on the organization type, the market is segmented into small and medium enterprises (SME), and large enterprises. The small and medium enterprises are expected to grow with a significant CAGR in the forecast period (2024-2032). This is due to technological progress that brings scalable, relatively cheap solutions that could address the needs of organizations of smaller scale. Investment in SIEM solutions by Small and Medium Enterprises (SMEs) is another factor in the market growth since the number of security threats is on the rise.

Based on the end-user, the market has been divided into retail, BFSI, manufacturing, government, healthcare, and others. IT and Telecom held a significant market share in 2023. The sectors of IT and telecom are the biggest growth contributors to the SIEM market because of their far-reaching networks, as well as their obligations to deal with a variety of records. They create big amounts of security data that have to be constantly observed and analyzed to prevent cyber threats and fulfill regulations. For instance, on April 8, 2021, LogPoint, the global cybersecurity innovator, announced a more efficient architecture for their SIEM with UEBA machine learning, of particular benefit for education, healthcare, and local government.

For a better understanding of the market adoption of Security Information and Event Management, the market is analyzed based on its worldwide presence in countries such as North America (U.S., Canada, and the Rest of North America), Europe (Germany, France, U.K., Spain, Italy, Rest of Europe), Asia-Pacific (China, Japan, India, Rest of Asia-Pacific), Rest of World. Asia-Pacific is expected to grow with a significant CAGR in the forecast period (2024-2032). The rise in digital adoption across the Asia-Pacific region and up-surging IT departments contribute significantly to the growth of the SIEM market. Since China, India, Japan, and other countries in this region are in the process of extending their digital presence, the demand for enhanced security measures has increased. To be specific, Asia-Pacific's emerging economies are vibrant in terms of economic growth that escalates both the cyber threats and regulations pressures. On 20 February 2024, NEC Asia Pacific (NEC APAC), the Singapore-based regional headquarters of global technology firm, NEC Corporation, and Securonix, Inc., a leader in Unified Defence Security Information and Event Management (SIEM), sealed a partnership to enhance and advance NEC's cyber defence services in Southeast Asia. This collaboration signifies a strategic alliance geared towards advancing NEC's vision for technological innovations and advancements, with a specific focus on enhancing the capabilities of NEC's Managed Services Business Unit, securely and safely. This creates a need for SIEM solutions that will be able to offer the needed security that is both elastic and extendable. Also, the increased business concern about cyber threats combined with the continuously increasing user base of cloud services contributes to the growth of the market.

Some of the major players operating in the market include Cisco Systems, Inc., LogRhythm, Inc., IBM, Musarubra US LLC (Trellix), Elasticsearch B.V., Logpoint, Securonix, Microsoft, Sumo Logic, Rapid7.