The increasing number of sophisticated cyber threats will lead to a rise in demand for Managed Detection and Response (MDR) solutions from small and medium businesses.
According to Frost & Sullivan’s recent analysis, Global Managed Detection and Response Market, Forecast to 2024, the market size is poised to grow at a CAGR of 16.4 percent between 2019 and 2024, with revenues expected to reach $1.9 billion.
Frost & Sullivan ,Senior Industry Analyst Mauricio Chede said: “The rise in the number and complexity of threats has made internal management of information security increasingly laborious and expensive. In this context, outsourcing is being viewed as a strategic ally in securely managing IT environments in line with companies’ business strategies.”
He said that MDR providers offer organisations the technology, process, and people to enable the proactive monitoring of their customer security environment and 24/7 threat detection to help mitigate security breaches, even more so during COVID-19.
Chede said: “MDR providers must demonstrate trustworthiness in remediation without interrupting a customer’s business operations. They must adapt themselves to the customer’s needs and budget, understanding the vertical they are in and providing detection and response solutions in the shortest period of time, along with custom reports. Personal interaction through email or telephone with an assigned analyst is also a differentiating factor.”
For further revenue opportunities, MDR vendors should:
- Improve the quality of their solutions and offer new services to compete with new market participants and increase revenues.
- Develop customizable MDR solutions at affordable prices to attract small and midsized businesses.
- Explore the merger and acquisition of competitors to enhance regional presence and maximize revenues.
- Offer consulting and value-added services to help clients take advantage of digital transformation initiatives.