Security Industry Expected to Fare Well Post-COVID-19
Frost & Sullivan’s recent analysis, Post-Pandemic Growth Opportunity in the Global Security Industry, finds that the security industry has tremendous investment opportunities despite the economic slowdown witnessed due to COVID-19. Under an aspirational recovery scenario, the global security industry is likely to grow at a compound annual growth rate (CAGR) of 4.3 percent, garnering revenue of $140.6 billion by 2025 from $109.3 billion in 2019. The conservative forecast scenario predicts that the industry will generate $131.01 billion between 2019 and 2025, at a CAGR of 3.1 percent. In the pre-COVID-19 forecast, the industry was estimated to increase at a CAGR of 7.1 percent, generating revenue of $164.97 billion over the forecast period.
“COVID-19 will cause a brief slowdown in the security market after almost a decade of uninhibited progress,” said Danielle VanZandt, aerospace, defense and security industry analyst at Frost & Sullivan. “Additionally, while some security sectors may find themselves experiencing a slower recovery than others, much of the industry will witness a shift to more service-based solution offerings after years of hesitance by customers to adopt these solutions.”