Redeye releases new investment theme: Cybersecurity

Stockholm, 29 September 2017 - This week Redeye has launched Cybersecurity as a new investment theme. Tech analysts Havan Hanna and Dennis Berggren have compiled a research report with insights about the industry. Key parts of this are now displayed on a theme page, providing an overview of the size, growth and segments present in the market. Cybersecurity spending is estimated to grow at a rate of 7.5 percent a year through 2020, to reach USD 114 billion, which is more than twice the rate of overall IT spending. Noticeable is also that China currently only represents 4 percent, but is the fastest growing region with an expected CAGR of 14 percent through 2020.

Findings also include financial aspects relevant for investors, which is especially interesting as the funding activity is on track to break records in 2017. In the second quarter this year, equity funding to cybersecurity companies reached an all-time quarterly high of USD 1.6 billion. The cybersecurity industry is, however, far from maturity and many companies with new approaches and technologies are constantly emerging. This is causing a highly fragmented sector, leading to considerable consolidation potential and a top sector for M&A going forward. In Q2 2017, more than 40 deals were announced or completed and there is a clear trend of large tech vendors continuing their push into the cybersecurity space via niche acquisitions.

Together with the release of the new investment theme, an event at Redeye was hosted. Both listed and private cybersecurity companies participated in presentations and a panel debate focused on five key areas. Finnish firm F-Secure, the largest cybersecurity company in the Nordics, was represented by CEO Samu Konttinen. Konttinen claimed that "cyberattacks and databreaches eat CEO's for breakfast", highlighting the growing fear of cybercrimes putting corporate executives out of work. Interesting market observations and discussions were also delivered by Certezza, Clavister, Detectify, Verisec and Yubico. The event attracted great interest from investors on-site as well as from viewers following the live stream. Videos are available to watch on the theme page.