UBS predicts flat corporate spending on IT as cloud computing service providers look set to take over cybersecurity customers.
Legacy cybersecurity products appear to be on the decline and analysts predict slow corporate IT spending as the cybersecurity industry moves over to cloud computing, says an Investopedia report. Investor’s Business Daily quotes research analyst Brent Hill of investment firm UBS as claiming that the US software cybersecurity market is on its last leg and competition will force vendors to cut prices.
“We are three years-plus into the cybersecurity spending ‘supercycle,’ where indiscriminate budgets and ‘binge buying’ seen in 2014/2015 appear to be firmly behind us,” says Hill.
However, he believes some industry giants are well-positioned to ride out the spending shift, because they have made moves into the cloud-based security market and teamed up with cloud providers.
Cybersecurity stocks are currently subjected to bouts of volatility but the upcoming earnings season, says Investopedia, will make things clearer.
Read full report here.
About the Author(s)
You May Also Like
The fuel in the new AI race: Data
April 23, 2024Securing Code in the Age of AI
April 24, 2024Beyond Spam Filters and Firewalls: Preventing Business Email Compromises in the Modern Enterprise
April 30, 2024Key Findings from the State of AppSec Report 2024
May 7, 2024Is AI Identifying Threats to Your Network?
May 14, 2024
Black Hat USA - August 3-8 - Learn More
August 3, 2024Cybersecurity's Hottest New Technologies: What You Need To Know
March 21, 2024