my country’s network security industry is returning to a high-speed growth zone. The recently released “China Network Security Industry Research Report” (hereinafter referred to as the “Report”) shows that the scale of my country’s network security industry will be about 200 billion yuan in 2021, an increase of 16.6% compared with 2020, and the industry scale is expected to be nearly 220 billion yuan in 2022. , the growth rate is about 13.9%.
The network and data security industry is an important foundation for maintaining cyberspace security, and the quality and level of the industry determines the level of national network and data security guarantee capabilities. Zhang Yunming, a member of the party group and deputy minister of the Ministry of Industry and Information Technology, said that compared with the goal of building a manufacturing power, a cyber power, and a digital China, and the realization of high-quality development requirements, there is still a big gap between my country’s cyber security industry and the data security industry. At the start stage of gaining momentum, there is a long way to go to accelerate development.
The integration of digital and real brings new opportunities
The digital age has given birth to the vigorous development of the digital economy, and data has become a new factor of production after land, capital, labor, and technology. At the same time, with the deep integration of digital technology and the real economy, the network security situation has become increasingly severe, and the global network security market has ushered in new opportunities for development.
Recently, Qihoo 360 announced that it won the bid for the “Major Infrastructure Group Project of the Network Security Industry Base in the National Network Security Education Technology Industry Integration Development Pilot Zone” in Xi’an. The project amount is about 240 million yuan, and it is necessary to build a city security brain A digital city security operation center, a digital city security research institute, a digital security industry base, and a set of security operation service system, that is, the “urban digital security service center” model that 360 city strategy focuses on.
Zhou Hongyi, the founder of 360 Group, told reporters that in the past few years, 360 has built urban digital security brains in many cities, providing city managers and supervision departments with a unified digital security situational awareness platform, and improving the ability of cities to “see” attacks. At present, this model has been implemented in more than 20 cities including Chongqing, Tianjin, Shanghai, Beijing, Qingdao, Zhengzhou and Hebi.
Not only cities, but also the transformation of traditional industries has brought more opportunities to the digital security market. In recent years, 360 has launched 360 Enterprise Security Cloud and SaaS (Software as a Service) store, explored a set of low-cost, low-threshold, and lightweight SaaS service models for small and medium-sized enterprises, and has helped millions of users complete digital transformation .
The “Report” shows that in recent years, the new crown epidemic has had a certain impact on the business development of the international IT and Internet industries, but the revenue capabilities of major cybersecurity companies have still risen against the market, and the companies have generally achieved good development. In 2021, the revenue of most listed companies in my country will maintain a growth trend. The average revenue of the 21 listed network security companies will be 1.8 billion yuan in 2021, with an average growth rate of 21%, which is slightly lower than the level of less than 14% in the same period in 2020. pick up. In addition, among the 21 listed companies, 7 companies will have a revenue growth rate of more than 30% in 2021.
Yu Xiaohui, president of the China Academy of Information and Communications Technology and vice-chairman of the China Network Security Industry Innovation and Development Alliance, said that driven by the increase in security investment in key industries such as telecommunications and medical care, my country’s network security industry will maintain rapid growth for a long time. The ecological agglomeration effect of industrial alliances and associations continues to increase, which will also drive the initial formation of leading enterprises, and the strength of talents and funds will be enhanced.
“my country’s network security industry is facing a good development trend.” Yin Hao, an academician of the Chinese Academy of Sciences, analyzed that digitalization has derived new security situations and new requirements, driving the security boundary to continuously expand to the network-physical integration space, and promoting the iterative upgrade of security requirements. Network security products are developing rapidly in the direction of customization, lightweight, and scenario-based. Cybersecurity insurance is expected to become an important part of the cybersecurity social service system, building a solid security barrier for the digital transformation of industry companies. Although affected by the epidemic, the overall investment and financing enthusiasm of the industry has not diminished. Driven by the inherent growth value of security companies, the long-term bullish trend of investment institutions on the security industry remains unchanged.
Continuous Release of Data Security Requirements
Data has become a basic strategic resource and a new factor of production. When the construction of digital China is in full swing, the process of industrial digitization and digital industrialization is also rapidly accelerating, and the demand for data security is accelerating.
According to statistics, as of the end of 2022, the number of enterprises operating data security business exceeds 250,000, and the proportion of enterprises established in the past five years (2018-2022) is about 90%. They are mainly concentrated in the southeast coastal cities, among which there are more than 10,000 enterprises in 9 provinces including Guangdong, Shandong, and Hainan, accounting for about 64.7% of the country.
The pace of data security technology innovation has accelerated. Traditional security companies, cloud service/Internet vendors have laid out data security tracks one after another, and a number of “specialized, special and new” innovative companies have emerged; privacy computing technologies such as multi-party secure computing, trusted execution environment, and federated learning, and homomorphic The deployment of encryption and other fields has accelerated, and the integration of data security and emerging technologies such as artificial intelligence, cloud computing, and blockchain has accelerated.
At the same time, the construction of various industrial carriers has been accelerated. The construction of industrial carriers such as relevant laboratories, industrial parks, and innovative application advanced demonstration areas in the field of data security is accelerating, and the development trend of data security industry clusters is accelerating.
With the increasing importance of data security and the increasing demand for data security in the economy and society, more and more companies have expanded their data security-related businesses. The scale of the data security industry has initially formed, but the policy system is not perfect and the supply level needs to be improved. The application demand has yet to be stimulated, and the industrial ecology urgently needs to be improved. In January of this year, 16 departments including the Ministry of Industry and Information Technology issued the “Guiding Opinions on Promoting the Development of the Data Security Industry” to promote the establishment and improvement of the development ecology of the data security industry.
“Our country’s large data scale and rich data security business scenarios provide a good foundation for both technological innovation and business innovation. Data security will inevitably penetrate into all walks of life with the development of digitalization and digital economy. We must pay attention to and meet the needs of all major industries. Data security needs. Accelerate the launch of data security product solutions, provide supply and demand docking services, and strengthen the supply level and supply scale with effective demand traction. Provide capacity evaluation services and guide the formation of a benign market competition environment oriented by product service capabilities.” China Electronics Liu Wenqiang, Secretary of the Party Committee and Vice President of the Information Industry Development Research Institute, said.
Regarding how to build the data security industry into a new engine, Liu Wenqiang said that it is necessary to encourage all regions to base themselves on the industrial foundation, plan and build a national data security industrial park, and attract enterprises, technology, capital, talents, etc. to accelerate the concentration in the park; Build an advanced demonstration area for data security innovation and application, focus on demonstration applications and promote data security technology products and typical cases, and promote the application and promotion of advanced and applicable technology products in various industries; cultivate leading and backbone enterprises, develop data security specialization and new small and medium-sized enterprises, Encourage the integration and cooperation of large, medium, small and micro enterprises.
Supply and demand force to promote industrial development
At present, cybersecurity strategy has become an important part of the competition and development strategies of various countries. Major countries and organizations are actively promoting the introduction of cybersecurity policies in order to ensure that they seize opportunities in the digital field.
my country’s network security policy environment is also continuously optimized. Yu Xiaohui said that in order to speed up the steady progress and quality improvement of the industry, more practical measures involving capability maturity evaluation, vulnerability management, data classification and classification, and important data protection will focus on key directions such as key-base protection, data security, and industry promotion. It has been implemented one after another, and the continuously optimized policy environment is expected to promote the development of the industry to a new level.
“The Ministry of Industry and Information Technology will insist that innovation is the primary driving force for development.” Zhang Yunming said that he will insist on facing the country’s major strategic needs, carry out original, leading, and basic security technology research, speed up making up for shortcomings, focus on forging long boards, and strengthen independent innovation ability. Innovate security service models, promote the development of new business forms such as security cloud services and insurance services, and support the creation of regional and industry-level network security operation service centers.
The “Report” shows that at present, the downstream customers of my country’s network security industry are still dominated by key industries such as government, telecommunications, and finance, and the total revenue from the above industries accounts for nearly 60%. Among them, government industry procurement accounts for up to 24%, and the demand development between emerging industries and key industries is uneven. The overall demand of the industry still needs to be stimulated.
The joint efforts of both sides of supply and demand is the key to promote the development of the industry. Zhang Yunming introduced that on the supply side, the quality and upgrading of traditional security products and services will be promoted, the security supply of new integrated fields such as the Industrial Internet, the Internet of Vehicles, and the Internet of Things will be strengthened, and efforts will be made to increase the proportion of security services. On the demand side, adhere to the construction of security capabilities as the starting point, implement the requirements of security vulnerability management, data classification and classification, industrial Internet security classification and classification, Internet of Vehicles network security, etc., urge enterprises to make up for security shortcomings, promote the safe digital transformation of small and medium-sized enterprises, and stimulate effective market demand.
With the development of the digital economy and its integration into thousands of industries, various data security scenarios are emerging at an accelerated pace. How can diverse market demands be met? Yin Hao suggested that it is necessary to guide the development of differentiated layout of enterprises, guide security start-ups to give full play to the characteristics of speed, flexibility and resource concentration, meet the needs of different industries and user pain points, and use innovative technologies and product selection to subdivide the track and establish typical applications and product advantages.
“Support network security specialists and new enterprises with certain industry accumulation to jointly promote technology, product and model innovation, and continue to promote the close integration of product services and industry characteristics. Encourage large-scale network security backbone enterprises to actively carry out forward-looking technological innovation layout and extend technology fields, expand the coverage of products and services, continuously improve the product matrix of the enterprise, and enhance the comprehensive competitiveness and international competitiveness of the enterprise.” Yin Hao said. (Reporter Huang Xin Cui Hao)
[Responsible editor: Yu Jingyi]