General News
Experts Predict $120B in Global Spending on Security Products, Services By 2021
By peter oluka
Worldwide spending on security-related hardware, software, and services is forecast to reach $119.9 billion in 2021, according to a recent update to the Worldwide Semiannual Security Spending Guide from International Data Corporation (IDC).
With nearly every industry investing in security solutions to meet a wide range of threats and requirements, spending is expected to achieve a compound annual growth rate (CAGR) of 9.6% over the 2016-2021 forecast period.
Worldwide spending on security products and services will total $83.5 billion in 2017, an increase of 10.3% over 2016.
“Three overarching trends are driving security spending: a dynamic threat landscape, increasing regulatory pressures, and architectural changes spurred by digital transformation initiatives,” said Sean Pike, program vice president for IDC’s Security Products and Legal, Risk, and Compliance programs. “While IDC expects spending to continue growing, organizations are actively searching for product and service efficiencies that maximize spend in order to fully address such complex challenges.”
IDC expects security spending to be somewhat evenly spread across four industry sectors in 2017: distribution and services ($19.7 billion), public sector ($18.6 billion), manufacturing and resources ($16.4 billion), and financial ($16.3 billion).
By 2021, however, the financial sector is forecast to move ahead of manufacturing and resources due to a 2016-2021 CAGR of 10.2%. Similarly, public sector security spending will nearly pull even with distribution and services by 2021 with a CAGR of 10.3%. The fastest growing sector over the five-year forecast period will be infrastructure with a CAGR of 11.8%.
“Ever-changing security threats, fear of data breaches, and regulatory compliance will continue to drive security investments across all industries,” said Eileen Smith, program director, Customer Insights and Analysis. “On a global basis, banks, discrete manufacturers, and federal/central government agencies will spend the most on security products and services throughout the forecast. Combined, these three industries will contribute to 30% of the worldwide total spending in 2017.”
In addition to being among the industries spending the most on security solutions in 2017, federal/central government and banking will be two of the industries that will see the fastest growth in security spending over the five-year forecast, with CAGRs of 10.9% and 10.7%, respectively. The industry that will see the fastest growth is telecommunications, with a CAGR of 12.6%. This growth will enable telecommunications to become the fourth largest industry in terms of total security spend in 2021, moving ahead of the process manufacturing and professional services industries.
More than 80% of security spending in 2017 will go to services and software. Services spending will be led by two of the largest technology categories – managed security services ($15.25 billion) and integration services ($12.5 billion). Software spending will be focused on three categories – endpoint security, identity and access management, and security and vulnerability management – that will make up more than 75% of the software total this year.
Hardware spending will be significantly smaller throughout the forecast, dominated by network security solutions ($13.7 billion in 2017).
In addition to being the two largest technology categories, managed security services and network security will also be the fastest growing categories during the 2016-2021 forecast with CAGRs of 14.3% and 11.4%, respectively.
The largest market for security products and services on a geographic basis will be North America with total spending of $37.8 billion this year. The second largest geographic market will be Europe, the Middle East and Africa (EMEA) at $26.2 billion followed by Asia/Pacific (excluding Japan)(APeJ) at $11.5 billion.
APeJ will see the fastest growth in security spending over the forecast period with a five-year CAGR of 19.9%. Within the region, China and Malaysia will see particularly strong growth with five-year CAGRs of 25.3% and 20.1%, respectively. Latin America is also expected to outperform the overall market with a CAGR of 10.4%.
From a company size perspective, large and very large businesses (those with more than 500 employees) will be responsible for roughly two thirds of all security-related spending throughout the forecast.
IDC also expects very large businesses (more than 1,000 employees) to pass the $50 billion spending level in 2019. Small and medium businesses (SMBs) will also be a significant contributor to BDA spending with the remaining one third of worldwide revenues coming from companies with fewer than 500 employees.
The Worldwide Semiannual Security Spending Guide quantifies the global revenue opportunity for both core and next-generation security purchases.
The guide offers detailed forecast data for security spending by 20 industries across eight regions and 53 countries.
Unlike any other research in the industry, the comprehensive spending guide was designed to help IT decision makers to clearly understand the industry-specific scope and direction of security-related spending today and over the next five years.
Nigeria has reaffirmed its dedication to deepening its collaboration with Ericsson, Swedish technology firm with Vice President Kashim Shettima promising swift implementation of the Memorandum of Understanding (MoU) signed earlier in 2024.
The vice president made this statement during a courtesy visit from a delegation representing Ericsson, led by Mr Patrick Johansson, its senior vice president and head of Market Area for Europe, the Middle East, and Africa.
The meeting took place at the Presidential Villa in Abuja, the nation’s capital.
During the engagement, Vice President Shettima described Ericsson as a key player in Nigeria’s technological journey, acknowledging the company’s early role in establishing a foundation upon which other major tech firms have since built.
He praised Ericsson for remaining a reliable ally in Nigeria’s developmental narrative, particularly commending its current initiatives such as the creation of innovation hubs and support for small and medium-sized enterprises.
According to him, these actions serve to strengthen an already enduring partnership.
Encouraging Ericsson and other foreign investors to take advantage of the country’s vast potential, Shettima highlighted the vitality and promise of Nigeria’s youthful population.
“We cherish our relationship with Sweden and your company, and I must urge you to harness our manifest destiny. We are a large nation with a tech-savvy population. We are making efforts across different fields. A good number of the unicorns that we have in Africa are Nigerian-based. The future is Nigeria,” the vice president stated.
Mr Patrick Johansson echoed this sentiment, stressing the importance of reinforcing ties between Nigeria and Ericsson by championing local innovation and entrepreneurship.
He noted these as key priorities for the company’s engagement in the region.
Nigerian Postal Services (NIPOST) has urged courier or logistics service providers to register with the service or face the wrath of the law.
Dr Chris Ashiedu, state postal manager, Enugu State, made the call while speaking on Tuesday at the ongoing 36th Enugu International Trade Fair.
The 10-day Fair, which kicked off on April 4, is themed: “Developing Nigeria Industrial Sector/SMEs for Economic Advancement and Global Recognition”.
Ashiedu said that any company or venture who failed to register as well as their workers would also be liable to legal sanction of fines, imprisonment or both.
He said that NIPOST had so far registered 29 courier/logistic service providing companies or ventures in Enugu State, while hunting for others operating under hiding.
According to him, we are succeeding in pushing to get them notwithstanding that they are dodging NIPOST officials but we are determined to get every courier/logistic service provider in Enugu State under our regulatory control and guidance.
Ashiedu said that the Agency was already developing a technological App to track those operating in the secret and get their locations.
He said: “NIPOST is a Federal Government agency constitutionally charged with the regulation and licensing of all courier and logistics services in Nigeria.
“We clamped down on all unregistered courier and logistics service companies or providers last month in Enugu, and we will keep on chasing them until they do what the law demands.
“We will also compel them to do their annual re-registration.
“It is made easier for them since NIPOST has categorised courier/logistics services into international, national, regional and state and bulk of the couriers/logistics fall into state category to pay very less for registration and annual re-registration.”
The manager explained that any movement of item, be it food or even fruit on a motorised equipment (vehicle or motorcycle) from one location to another in terms of delivering is doing courier service.
General News
Sofia Zab, PalmPay CMO Highlights Strategies for Driving Digital Payment Adoption in Africa
At the recent Tech Unite Africa 2025 conference in Lagos, PalmPay’s Chief Marketing Officer, Sofia Zab, shared valuable insights on accelerating the shift from cash to digital payments in Africa, as the company introduced its latest innovation: the PalmPay Debit Card.
During a panel discussion, Zab addressed the critical barriers hindering digital payment adoption encountered by PalmPay when the company launched in Nigeria: reliability and cost. She noted that in 2019, many Nigerian consumers and merchants avoided digital payments due to frequent transaction failures and high fees.
To overcome these challenges, PalmPay developed a robust infrastructure ensuring a 99.95% transaction success rate and pioneered a user-friendly model with zero rated bank transfers, fee-free bill payments and cashback rewards.
“Once users experience the benefits, they don’t want to return to cash,” Zab stated. “The key to shifting consumer behaviour is making digital payments more convenient, more rewarding, and less stressful than using cash.” As consumers adopted cashless payments, they began seeking out merchants that would accept payment with transfer, driving digitisation in retail payments organically.
Zab also highlighted PalmPay’s inclusive approach to building a cashless ecosystem, especially in areas with unreliable internet access. Beyond its smartphone app, Nigerians can transact through PalmPay’s nationwide network of mobile money agents, who are equipped with multiple devices and SIM cards from various providers and can transact on behalf of users if a particular network is experiencing an outage.
In 2024, PalmPay went a step further by introducing a USSD code (*861#) for users without data access, and with the new PalmPay Debit Card, its customers now have another access point and can withdraw cash from ATMs or point-of-sale terminals when digital transactions are not feasible. “For us, the key is about meeting people where they are, rather than waiting for the perfect infrastructure to arrive”, Zab emphasized.
In alignment with its mission to drive financial access, PalmPay unveiled the PalmPay Debit Card at the conference. Developed in partnership with Verve, Africa’s largest domestic card scheme, the card offers zero maintenance fees, easy in-app application with nationwide delivery, and integration into PalmPay’s full suite of financial services – including cashback, merchant rewards, and high-yield savings. This initiative marks a significant milestone in PalmPay’s evolution into a comprehensive digital banking platform.
With over 35 million users on its smartphone app and a MSME network of 1.1 million agents and merchants across Nigeria, PalmPay continues to build one of the continent’s most dynamic fintech ecosystems, dedicated to redefining digital banking to be more personalised, comprehensive, and accessible to everyone.
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