Australia may be the leader in IT security solutions market in the Asia Pacific region currently, but by 2011 India and China are projected to garner the lion?s share of this segment, with China overtaking Australia and India closely competing with Korea.
In 2006, India was the fourth largest player in IT security solutions market in Asia Pacific with a market share of 7.9% in terms of revenues. As per estimates by IT research firm IDC, India?s share will jump to 12.4% by 2011, whereas its nearest rival Korea, which currently holds a 17.4% market share, will see a decline of about 4% to climb down to 13.8%.
The overall IT security solutions market in Asia Pacific is expected to reach $5.9 billion by 2011, representing a compound annual growth rate of 15.5%. The five countries to top the market in terms of vendor revenues in the next four years are expected to be China, Australia, Korea, India and New Zealand, in descending order.
Australia, currently the largest player in the segment, accounted for about 26% of the total security solutions revenues in 2006, while China accounted for about 22%. By 2011, China is expected to contribute 30% of the security solutions market by revenue in the region, compared to 21% that is expected to come from Australia, found the study.
The potential in China?s security solutions market is underpinned by the large number of companies that are starting to build out IT infrastructure and the rapidly increasing broadband internet adoption in the country. On the other hand, Australia is still expected to grow at a very respectable 10.4% compound annual growth rate in the forecast period.
?The security solutions ecosystem has become a lot more complex compared to a couple of years ago ? Local players are looking to expand regionally or even globally, while global players are looking for channel partners to help them gain better local traction,? said Willie Low senior market analyst of Asia/Pacific Infrastructure Software Research.