Managed Security is a network of services adopted by organizations to strengthen & enhance their security infrastructures and reduce the burden of the IT team to handle cyber threats & attacks. These services are either outsourced by the service providers or conducted in-house. The most prominent applications of these security services are tracking, managing, & supervising the complex software & systems of end-users like government, BFSI, healthcare, manufacturing, retail, telecom & IT, oil & gas, and others like hospitality.
The Bahrain Managed Security Market is projected to grow at a CAGR of around 3% during the forecast period, i.e., 2021-26. The growth of the market is driven primarily by the swiftly increasing cases of cyber-attacks & threats, especially across Small & Medium Enterprises (SME), coupled with stringent government regulations for digitally transforming businesses.
Managed Security service solutions help minimize costs & maximize operational efficiency, facilitate quicker incident response & event investigation, and provide necessary skills & technical resources for the team to manage & administer advanced security assets. These benefits of managed security services are the prime reasons attributed to their increasing adoption across many organizations in Bahrain.
|Study Period||Historical Data: 2016-19|
|Base Year: 2020|
|Forecast Period: 2021-26|
|Key Companies Profiled||VIVA Bahrain, F5, Fortinet, Wipro, Secureworks, IBM, Cisco, Paladion Networks, Intel, etc.|
|Unit Denominations||USD Million/Billion|
Moreover, the increasing dependency of organizations on IT departments to bring productivity & ensure cyber security is another crucial aspect propelling the demand for managed security solutions to manage data security professionally & eliminate potential threats beforehand.
Additionally, Bahrain Vision 2030 is also likely to play a crucial role in augmenting the market growth as the government is immensely investing in different sectors for their economic diversification. It, in turn, is leading to the rapid digital transformation of businesses & enhanced IT infrastructure, thereby propelling the need for managed security services and driving the market.
Impact of Covid-19 on the Bahrain Managed Security Market
The Covid-19 pandemic in 2020 had a decelerating impact on most industries across Bahrain. However, the Managed Security Market witnessed a drastic change in the operations, owing to the imposition of stringent movement limitations & lockdown by the government to curb the spread of this dreadful disease.
Initially, since most businesses implemented work-from-home policies in line with remote working & social distancing, incidents of cyber-attacks & threats rose dramatically due to the increasing vulnerabilities of organizations. Due to this, the managed security providers in Bahrain faced several challenges while delivering their services to organizations.
However, the leading market players soon began to deliver services with a robust infrastructure connecting different devices to cloud-based centers. It, in turn, introduced a temporary hike to the market growth & augmented the demand for Managed Security amidst the crisis.
Since 2021, the country is experiencing a declining number of Covid-19 cases, and the government has uplifted the restrictions & allowed the recommencement of business operations. This move is allowing the market to regain its usual growth pace & the leading market players are gradually recovering from revenue losses. Since many organizations have resumed their business operations from offices, the demand for managed security services is surging across Bahrain, and the same trend is likely to be followed in the coming years.
Based on End-Users:
Of them all, BFSI (Banking, Financial Services, & Insurance) is anticipated to dominate the Bahrain Managed Security Market with the largest share during the forecast period. It owes principally to the massive amount of data generated by banks, financial institutions, etc., and the mounting need for professionally managing & keeping the confidentiality of critical information to eliminate the risks of data breaches, cyber-attacks, & cyber threats.
Additionally, advantages of managed security services like continuous monitoring of data throughout 365 days and prompt updates on any incidents & potential threats in case of a security breach are other crucial aspects behind the dominance of the BFSI sector in the market. Moreover, since banks & financial institutions are highly particular about the security of sensitive customer data, they constantly enhance the protection of online resources by adopting managed security solutions, thereby driving the market.
Based on the Enterprise Size:
Here, Small & Medium Enterprises (SMEs) are anticipated to display the fastest market growth during 2021-26, owing principally to the swiftly increasing number of business establishments in Bahrain due to favorable government policies for economic diversification. It, in turn, is generating lucrative growth opportunities for the leading market players to expand their services.
Several SMEs in Bahrain are increasingly outsourcing most of their IT services & cybersecurity infrastructure to monitor & manage their security devices & systems. It is augmenting the demand for Managed Security services to cater to the varied needs of dynamic business environments & enhance the overall operational efficiency. Besides, advantages like a minimal requirement for IT professionals to handle complex threats while simultaneously digitally transforming & automating business processes are projected to fuel the demand for managed security services among SMEs during the forecast period.
On the other hand, Large Enterprises are likely to dominate the Bahrain Managed Security Market with the largest share during the forecast period. It owes principally to their massive IT budgets for building a robust & reliable cyber security & management infrastructure, coupled with their escalating approach toward services with specified requirements & objectives.
Key Driver: Mounting Focus on Digital Transformation of Organizations
The government of Bahrain is actively promoting different sectors to digitally transform their businesses & adopt a new technological solution like managed security. Besides, the growing inclination toward digitalization is further augmenting the demand for devices like laptops, smartphones, computers, tablets, etc., incorporating with the Internet of Things, thereby augmenting the demand for cloud-based solutions.
Yet, these technologies are also increasing the vulnerabilities of businesses. It, in turn, is generating a massive amount of data, owing to which the demand for managed security services is rapidly accelerating across different end-user industries in the country. These sectors include government, BFSI, healthcare, manufacturing, retail, telecom & IT, oil & gas, etc., and driving the market through 2026.
Market Restraint: Budgetary Limitations & Lack of Trust among Organizations to Provide Full Control of Systems to Service Providers
Several Small & Medium Enterprises (SMEs) opt for third-party managed security services when they have budgetary constraints or do not have sufficient in-house security expertise. As a result, any organization's security comes entirely in the hands of third-party service providers. Since most outsourcing service providers deliver services to multiple organizations, the possibility of repeated & complex attacks restrains organizations from investing in these security services. Moreover, the top management of organizations doesn't provide complete data access to service providers & is hesitant in procuring outsourced services. Hence, these aspects might limit the adoption of managed security services in Bahrain and hamper the market growth over the coming years.
Growth Opportunity: Increasing Adoption of Technologies like AI & ML
With a swiftly escalating number of cyber-attacks & threats to organizations, the demand for technologically advanced security systems is substantially rising. It, in turn, is encouraging the leading players in the Bahrain Managed Security Market to integrate technologies like Artificial Intelligence, Machine Learning, etc., into their security solutions for efficiently managing data & security and resolving threats & attacks beforehand. These aspects are projected to propel the utilization of managed security services across organizations in Bahrain and drive the market through 2026.
According to MarkNtel Advisors’, the key players with a considerable market share in the Bahrain Managed Security market include VIVA Bahrain, F5, Fortinet, Wipro, Secureworks, IBM, Cisco, Paladion Networks, Intel etc.
Key Questions Answered in the Market Research Report:
Market Outlook, Segmentation, and Statistics:
Frequently Asked Questions
A. The Bahrain Managed Security Market is projected to grow at a CAGR of around 3% during 2021-26.
A. The BFSI sector is anticipated to emerge as an area of remunerative opportunities for the leading players in the Bahrain Managed Security Market during 2021-26.
A. Rapidly increasing adoption of technologies like Artificial Intelligence & Machine Learning in Managed Security services entwined with the escalating focus of organizations on the digital transformation is anticipated to drive the Bahrain Managed Security Market in the coming years.
A. Since organizations have resumed their business operations from offices, the leading players in the Bahrain Managed Security Market are projected to witness burgeoning demand for providing managed security services to the organizations & protect them against cyber threats, attacks, data breaches, and other potential threats.