IoT Security Vendor and Provider Landscape in Europe

IoT security is among the top issues related to IoT implementations at scale. In the early days of IoT (before “security first” was imperative and integrated IT and OT security operations were even an option), security was of little interest. This changed with the first successful operational implementations; today, IoT security is mandatory. This development has changed the vendor landscape dramatically, from a few highly specialized boutiques to a fragmented but fast-growing market with interesting consolidations and transactions in the foreseeable future.

The IoT security vendor and provider landscape in Europe can be divided into the following segments:

• IoT hardware-near security solutions – IoT security solutions that are close to the hardware; this usually includes IoT hardware and chipmakers;
• General IoT security solutions – specialized IoT security solutions;
• General cyber security solutions – cyber security solutions that cover IT and IoT security;
• Consulting & system integration – includes all consulting services, from strategy consulting to vulnerability and penetration tests, and all system integration projects;
• Managed services – managed security services and security outsourcing, incl. IoT.

The landscape provides an overview of vendors’ and providers’ positioning in the different segments and helps user organizations compile long lists for vendor/provider selection.

PAC’s recommendations for IT providers

• Management consulting firms should embrace IoT security in their general cyber security services portfolio.
• Consulting and system integration providers should prepare for M&As, with IoT security consulting & system integration providers as targets.
• General cyber security software vendors should embrace IoT security and enrich their service portfolios for managed security services and consulting & system integration.
• In general, a broad security portfolio is becoming increasingly important, as many user organizations want to reduce the number of software vendors and service providers under contract. M&A activities can help to optimize the portfolio and address security in a holistic way.

PAC’s recommendations for IT users

• As risk surfaces grow with digital strategies and the labor market has dried up for security experts, it is essential to select a suitable service provider that meets current and future needs.
• When doing so, make sure that you have the talent required for provider management and security strategy available.
• The security strategy must not be entirely outsourced, as the definition of a suitable strategy requires internal knowledge unavailable on the market.
• Make sure IT security and OT managers develop an effective working relationship; otherwise, any attempt to securely integrate IT and OT, and thereby implement IoT security, will fail.
• Reduce the number of security software and service vendors as much as possible, as this will reduce the complexity of security operations and provider management.

Find out more in my recent Market InBrief report “IoT Security Vendor and Provider Landscape in Europe”. If you want to share your feedback or personal experience, please leave a comment or drop me an e-mail.