Analyst firm Canalys revealed that the cyber security market grew by 15.9% year over year during the third quarter, despite the tougher economic conditions. Canalys said revenue in the segment grew to $17.8 billion during the quarter, but small to medium-sized businesses had to limit their spending.

According to Matthew Ball, principal analyst at Canalys, revenues in the cybersecurity market should be protected and continue to grow over the next 12 months due to the prevalence of subscription-based models.

Of all regional markets, $9.6 billion of sales came from North America, making it the largest cybersecurity market, representing 53.8% of global spending. This area grew by 17.1%. The second largest region was Europe and the Middle East (EMEA) which was responsible for sales of 5.2 billion dollars and had a growth of 15%. In third place was Asia-Pacific (APAC), which recorded sales of 2.4 billion dollars and a growth of 13.8%. Finally, Latin America recorded only $600 million in sales with a growth rate of 13.1%.

Among all the players in the cyber security market, Palo Alto Networks has come in first place with annual growth of 8.4% and 24.9%. Microsoft is ninth on the list with a market share of 2.9% and growth of 38.6%. The company that experienced the highest annual growth was CrowdStrike which jumped from 2.4% market share in the third quarter of 2021 to 3.2% in the third quarter of 2022.

The cyber security market will certainly be interesting to watch given its apparent resilience against the worsening economic outlook. When businesses are looking to reduce their expenses, cyber security is probably one of the last places that expenses will be reduced due to its importance.