The rise from $530 million last year to about $1.44 billion is being driven by increasingly sophisticated threats and businesses, including those with their own in-house security organizations, turning to professional service providers.
"The growing recognition among most small and medium businesses about the complexities of the threat environment, coupled with their lack of security expertise and resource constraints, means that the value proposition associated with MSS resonates strongly with them," said Frost & Sullivan Information and Communication Technologies Industry Manager Cathy Huang. "Large enterprises in ANZ too are keen to leverage on the security know-how of MSS market participants, given the dynamic nature of cyber threats nowadays."
Cloud computing and the bring-your-own-device trend is also fueling the market sector, with service providers looking to bundle security services into cloud and mobility service packages.
Frost & Sullivan, however, noted that business enterprises in Australia and New Zealand prefer owning the security products they use rather than purchasing services.
"Nevertheless, owing to the escalating importance of security in the age of cloud computing and big data, the future of MSS in ANZ is expected to be shaped by enterprise requirements for greater visibility and predictability in their IT footprint," the company said. "The mature security mindset in ANZ will not only drive uptake, but is expected to boost the demand for advanced MSS capabilities."