Growth Opportunities in the Americas Managed Security Services Space, 2024 2026
Security Service Diversification and Target Customer Expansion to Address an Increasingly Complex Geopolitical Context
29-Apr-2024
North America
Market Research
The Americas managed security services industry continues to grow steadily, despite its maturity. Current strategic imperatives, global trends, and organizational needs continue to provide excellent conditions for MSSPs to succeed. These factors include the shortage of cybersecurity personnel, the rapid evolution of the threat landscape, the increased costs of cyber incidents, the ubiquity of hybrid and multicloud environments that are harder to effectively secure, and the escalation of the geopolitical conflicts. MSSPs provide their own teams of cybersecurity experts and a wide portfolio of advanced security tools to address even the most varied use cases, and help organizations increase their cyber resilience, improve their security maturity, and implement the most complex cybersecurity strategies or deployments.
Leading MSSPs have developed their own security operations platforms to rival MDR providers and fight for their share of the fiercely competitive managed security services market. They have improved and extended their portfolios with advanced security services, assessments, consulting engagements, and more to support organizations at every stage of their security maturity journey. North America and Latin America are regions with different needs, and while their security awareness and service adoption levels vary significantly, security providers will have to find ways of delivering what organizations need.
With more than 200 competitors and revenue exceeding $14 billion across the Americas, managed security services is a behemoth of the cybersecurity industry.
Author: Lucas Ferreyra
Revenue Forecast
The revenue estimate for the base year 2023 is $14,486.2 million, with a CAGR of 9.0% for the study period from 2023 to 2026.
The Impact of the Top 3 Strategic Imperatives on the Americas Managed Security Services Industry
Transformative Megatrends
Why:
- Social and economic turmoil stemming from the COVID-19 pandemic resulted in budgetary constraints and rethinking of priorities for enterprises of all sizes during the 2020–2022 period. Hybrid cloud and multicloud environments are increasingly the norm, even as enterprises are forcing their employees back into the office.
- Groups involved in the cyberwarfare aspect of the Russo-Ukrainian War and the Israel-Palestine conflict are shifting focus to targets beyond those nations' borders. Organizations in the Americas will experience more state-sponsored cyberattacks targeting critical infrastructure.
Frost Perspective:
- The threat landscape is rapidly evolving and increasingly sophisticated. Even minimal security breaches can lead to a security incident that compromises a company's overall value chain.
- Protecting which includes delivering solutions that skilled cybersecurity professionals see as the best option that allows partners to focus on the bigger picture of mitigating security in an MSSP thus provide and manage comprehensive ecosystems of cybersecurity solutions.
Disruptive Technologies
Why:
- Over the last few years, vendors have improved the automation, machine learning, and AI capabilities of their security solutions and services. Comprehensive ecosystems spanning on-premises and cloud workloads generated hundreds of thousands of alerts daily. It is difficult to handle cybersecurity needs without automation: Even the reasoning and discerning capabilities of a skilled security professional cannot match AI.
- Accelerated digital transformation, strengthened by the push for automation, and the lack of security personnel have created the perfect conditions for MSSP success.
Frost Perspective:
- Leading MSSPs have been developing their own XDR, managed XDR, or MDR platforms in the last three years. These solutions are increasingly harnessing the power of machine learning AI, going as far as helping personal security assistants that can offload monotonous tasks to save valuable workloads of human cybersecurity professionals.
- In recent years, MSSPs can take advantage of automation features to improve their managed services while also pairing their offering with managed XDR/MDR platforms and widening coverage.
Competitive Intensity
Why:
- The MSS industry is competitive and constantly changes to accommodate customer demands. The success of pure-play MDR, incident response, and other service companies puts more pressure on MSSPs.
- Competitors in North America must serve companies with the highest security maturity and the most complex use cases, and those that demand the most sophistication from security solutions.
- Conversely, staying competitive in Latin America involves flexible pricing, making the most of the increasing security stack, and guiding companies on their maturity journey.
Frost Perspective:
- MSSPs need to minimize confusion by showing the value that a broad portfolio supported by scalable managed security professional services can bring to companies of all sizes and security needs.
- As differentiation evolves, MSSPs will enhance their customers' experiences. These will be platforms that offer integration and leverage managed XDR and MDR with much-needed synergy and scalability to their offering.
Scope of Analysis
This analysis focuses on the Americas MSS industry and includes revenue forecasts for 2024–2026.
- Regions: North America and Latin America
- Industry Verticals: Finance (banking and finance); education; government; health (healthcare and medical); manufacturing; retail; technology and telecommunications; utilities; media (media and entertainment); professional services (scientific, consulting, and technical services); and other (e.g., construction, mining, and transportation, but there is no data breakdown for this category)
- Business Size: Small businesses (100 employees or fewer); midsized businesses (101–1,000 and 1,001–2,500 employees); and large businesses (2,501–10,000 and more than 10,000 employees)
Competitive Environment
Number of Competitors | More than 200 with revenue greater than $1 million |
Competitive Factors | Ability to fulfil SLAs, threat research capabilities, security operations platform, managed XDR/MDR service, incident response, threat hunting, breach and attack simulation, machine learning, global SOCs, OT/IoT security, flexible pricing models, balanced mix of managed and professional security services, support in languages other than English |
Key End-User Industry Verticals | Finance, government, retail, health, manufacturing, utilities, education, construction |
Competitors with the Highest Revenue in the Americas (in Alphabetical Order) | Accenture, AT&T Cybersecurity, Deloitte, EY, eSentire, IBM, KPMG, Leidos, Lumen, NTT, PwC, Telefónica Tech, Trustwave, Verizon |
Other Notable Competitors (in Alphabetical Order) | Atlas Cybersecurity, Booz Allen Hamilton, Cipher, Clone Systems, Cydere, Digaware, Deutsche Telekom, DXC, High Wire Networks, ISH Tecnologia, Kaspersky, Nusprie, Optiv, Orange Cybersecurity, Scitum, SecurityHQ, SilverSky, SISAP, Valeo Networks, Wipro |
Distribution Structure | Indirect resellers, service providers, direct sales |
Notable Acquisitions and Mergers | MC² Security Fund acquired Trustwave; Herjavec Group and Fistech Group merged into Cydere; Accenture acquired Openmind and Innoteq; Lumen sold its LATAM business to Stonepeak; Telefónica Tech acquired BE-terna and Incremental |
Key Competitors
- Accenture
- AT&T
- Atlas Cybersecurity
- Booz Allen Hamilton
- Cipher
- Clone Systems
- Cyderes
- Deloitte
- DXC
- eSentire
- EY
- High Wire Networks
- IBM
- KPMG
- Leidos
- Lumen
- NTT
- Nuspire
- Optiv
- PwC
- Secureworks
- SecurityHQ
- SilverSky
- Trustwave
- Valeo Networks
- Verizon
- Wipro
- Accenture
- AT&T
- Cipher
- Deloitte
- Deutsche Telekom
- Digiare
- DXC
- EY
- IBM
- ISH Tecnología
- Kaspersky
- KPMG
- Lumen
- PwC
- Scitum
- SISAP
- Telefónica Tech
Why is it Increasingly Difficult to Grow?
The Strategic Imperative 8™
The Impact of the Top 3 Strategic Imperatives on the Americas Managed Security Services Industry
Definitions and Overview
Scope of Analysis
Competitive Environment
Key Competitors
Commonly Used Cybersecurity Terms
Commonly Used Cybersecurity Terms (continued)
Growth Metrics
Growth Drivers
Growth Restraints
Forecast Considerations
Revenue Forecast
Revenue Forecast by Region
Revenue Forecast by Industry Vertical
Revenue Forecast by Company Size
Revenue Forecast Analysis
Revenue Forecast Analysis (continued)
Pricing Trends and Forecast Analysis
Types of MSSPs and Projected Revenue Share
Revenue Share Analysis
Growth Metrics
Revenue Forecast
Revenue Forecast Analysis
Growth Metrics
Revenue Forecast
Revenue Forecast Analysis
Growth Opportunity 1: Improving the Functionality of Security Operations Platforms
Growth Opportunity 1: Improving the Functionality of Security Operations Platforms (continued)
Growth Opportunity 2: Cyber Awareness
Growth Opportunity 2: Cyber Awareness (continued)
Growth Opportunity 3: Vertical-Specific Security Products and Services
Growth Opportunity 3: Vertical-Specific Security Products and Services (continued)
Growth Opportunity 4: Offering the Right Mix of Managed and Professional Security Services
Growth Opportunity 4: Offering the Right Mix of Managed and Professional Security Services (continued)
Growth Opportunity 5: Latin American Expansion
Growth Opportunity 5: Latin American Expansion (continued)
Things to Consider Before Choosing to Partner with an MSSP
Trends for MSS in the Americas throughout 2024
MSSPs and Security Maturity
Budget and Return on Investment
The Role of Providers in Cybersecurity
Security Service Solutions in Use
Security Maturity is More Than Technology, Tools, and Controls
Best Practices Recognition
Frost Radar
Benefits and Impacts of Growth Opportunities
Next Steps
Take the Next Step
List of Exhibits
Legal Disclaimer

- Managed Security Services: Growth Metrics, Americas, 2023
- Managed Security Services: Growth Drivers, Americas, 2024–2026
- Managed Security Services: Growth Restraints, Americas, 2024–2026
- Managed Security Services: Revenue Forecast, Americas, 2020–2026
- Managed Security Services: Revenue Forecast by Region, Americas, 2020–2026
- Managed Security Services: Revenue Forecast by Industry Vertical, Americas, 2020–2026
- Managed Security Services: Revenue Forecast by Company Size, Americas, 2020–2026
- Managed Security Services: Revenue Share, Americas, 2024–2026
- Managed Security Services: Growth Metrics, North America, 2023
- Managed Security Services: Revenue Forecast, North America, 2020–2026
- Managed Security Services: Growth Metrics, Latin America, 2023
- Managed Security Services: Revenue Forecast, Latin America, 2020–2026
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Deliverable Type | Market Research |
---|---|
Author | Lucas Ferreyra |
Industries | Aerospace, Defence and Security |
No Index | No |
Is Prebook | No |
Keyword 1 | Cloud Security & Hybrid It Protection |
Keyword 2 | Cybersecurity Skills Shortage Solutions |
Keyword 3 | Managed Detection & Response |
List of Charts and Figures | Managed Security Services: Growth Metrics, Americas, 2023~ Managed Security Services: Growth Drivers, Americas, 2024–2026~ Managed Security Services: Growth Restraints, Americas, 2024–2026~ Managed Security Services: Revenue Forecast, Americas, 2020–2026~ Managed Security Services: Revenue Forecast by Region, Americas, 2020–2026~ Managed Security Services: Revenue Forecast by Industry Vertical, Americas, 2020–2026~ Managed Security Services: Revenue Forecast by Company Size, Americas, 2020–2026~ Managed Security Services: Revenue Share, Americas, 2024–2026~ Managed Security Services: Growth Metrics, North America, 2023~ Managed Security Services: Revenue Forecast, North America, 2020–2026~ Managed Security Services: Growth Metrics, Latin America, 2023~ Managed Security Services: Revenue Forecast, Latin America, 2020–2026~ |
Podcast | No |
Predecessor | K7ED-01-00-00-00 |
WIP Number | K994-01-00-00-00 |