Korea's 2019 Security Spending Expected to Approach 2.2 Trillion Won
Security Services Market Demand in 2019 Projected to Increase by at Least 10%
Gartner forecasts that global spending on information security products and services in 2018 will reach $114 billion, representing a 12.4% increase from the previous year. Furthermore, in 2019, spending is expected to grow by approximately 8.7% to reach $124 billion.

Korea's security-related spending in 2018 is projected to reach 2 trillion won, a 4% increase from the previous year, and in 2019, the scale is expected to grow by 9.4% to approach 2.2 trillion won. In particular, the security services sector, which accounts for a substantial portion of related spending, is projected to reach 1.26 trillion won this year. Cloud security is the product category with the smallest market size in Korea but demonstrating the fastest growth rate.

Ye-jin Kim, Senior Research Director at Gartner, stated, "Security leaders are helping enterprises strengthen business competitiveness and drive growth through the secure use of technology platforms," and added, "Ongoing technology shortages and regulatory changes such as the EU General Data Protection Regulation (GDPR) are driving continued growth in the security services market."

According to a 2017 Gartner survey, the top three factors driving security spending are (1) security risks, (2) business requirements, and (3) industry changes. Privacy-related concerns are also becoming an important factor. Gartner projects that due to concerns about privacy, market demand for security services in 2019 will increase by at least 10%, and will have an impact across various fields including Identity and Access Management (IAM), Identity Governance and Administration (IGA), and Data Loss Prevention (DLP). Gartner conducted surveys from September to October 2017 to gain insights into current security spending and related plans across countries worldwide. The survey included a total of 480 participants from eight countries: Australia, Canada, France, Germany, India, Singapore, the United Kingdom, and the United States.

Senior Research Director Ye-jin Kim stated, "For example, Singapore's health service SingHealth recently suffered an attack in which personal health records of 1.5 million patients were exposed. These data breach incidents further reinforce the need to consider sensitive data and IT systems as critical infrastructure," and added, "Security and risk management must become a core part of all digital business initiatives."

The key drivers of global security spending in 2019 are increased interest in building detection and response capabilities, privacy regulations such as GDPR, and the need to address digital business risks.

Market Sector	2017	2018	2019
Application Security	2,434	2,742	3,003
Cloud Security	185	304	459
Data Security	2,563	3,063	3,524
Identity and Access Management	8,823	9,768	10,578
Infrastructure Protection	12,583	14,106	15,337
Integrated Risk Management	3,949	4,347	4,712
Network Security Equipment	10,911	12,427	13,321
Other Information Security Software	1,832	2,079	2,285
Security Services	52,315	58,920	64,237
Consumer Security Software	5,948	6,395	6,661
Total	101,544	114,152	124,116

Gartner announced three key trends that will impact information security spending in 2018-2019.

First, by 2019, at least 30% of enterprises will invest in GDPR-related consulting and implementation services. Enterprises continue to make efforts to comply with GDPR, which became effective on May 25, 2018. The implementation, evaluation, and auditing of business processes related to GDPR will account for a significant portion of security services spending by EU-based enterprises and their customers and employees.

Second, due to risk management and privacy concerns in digital transformation initiatives, approximately 40% or more of enterprises will incur additional security services spending by 2020. Over the past few years, consulting and implementation service providers have adapted their services to support customers undergoing digital transformation. The key driver accelerating these innovation initiatives—protecting regulated data, critical operations, and intellectual property across public cloud, SaaS, and Internet of Things (IoT) device usage—is security.

Third, by 2020, at least 50% of security software offerings will be subscription-based and managed services. Security-as-a-service approaches are expected to soon surpass on-premises deployment methods, and many buyers are showing interest in hybrid deployment. In Gartner's security purchasing behavior survey, the majority of respondents indicated plans to adopt specific security technologies such as Security Information and Event Management (SIEM) in a hybrid deployment format within the next two years. Among all deployment methods, managed services account for an average of approximately 24%.

Senior Research Director Ye-jin Kim stated, "While on-premises deployment remains the most popular method, there are increasing preferences for cloud-delivered security approaches in certain technologies."

Gartner customers can find more details in "Forecast: Global Information Security, 2016-2022, 2Q18 Update".