Revenue Forecast

The revenue estimate for the base year 2023 is $1,906.7 million with a CAGR of 21.4% for the study period 2023–2028.

The Impact of the Top 3 Strategic Imperatives on the Software Supply Chain Security SSCS Industry

Transformative Mega Trends

Why:

• In line with digital transformation, software producers are increasingly migrating their services, assets, and applications to cloud environments.
• The adoption of hybrid and multi-cloud infrastructures across regions continues to accelerate digital initiatives.
• Open-source and third-party code, software, and advanced software delivery pipeline tools are experiencing increased adoption.

Frost Perspective:

• Traditional disparate application security tools in the market are no longer effective to secure the software supply chain.
• Organizations are struggling to cope with the lack of visibility over the software development life cycle (SDLC) and the long window of exposure to zero-day vulnerabilities due to slow response times.
• Investment in SSCS has increased rapidly and will continue to increase in the next 5 years as organizations aim to adopt cost-effective SSCS to cope with software supply chain attacks.

Competitive Intensity

Why:

• Geopolitical crises, such as the Russo-Ukrainian War, the US-China trade war, and the Israeli-Hamas War have resulted in political and economic uncertainty, with macroeconomic trends largely affecting spending momentum for cybersecurity, including cloud, application, and software security.
• SSCS vendors will need to stay competitive and stand out in the global SSCS market through flexible pricing strategies and customizationsTool for ownership (TCO) and meet specific customer needs.

Frost Perspective:

• Chief information security officers (CISOs) of organizations are looking for ways to adopt a comprehensive platform approach for SSCS, besides maintaining operations via cloud migration.
• SSCS vendors partnering with other DevSecOps, AppSec, or CNAPP technology partners have changed their positioning to offer more flexibility, which is increasingly important for organizations, as SSCS adoption is expected to grow over the next 3 to 5 years.

Disruptive Technologies

Why:

• While balancing the agility and security of software delivery, organizations are also bombarded with thousands of vulnerabilities and risks.
• The increasingly dynamic cloud-native developer environment drives a strong need for meaningful automation and artificial intelligence/machine learning (AI/ML).
• Manual testing in vulnerability scanning are no longer effective in securing the SDLC as they slow down the DevOps process, causing delays in software delivery timelines.

Frost Perspective:

• SSCS vendors should incorporate automation and AI/ML into their SSCS portfolio to enable consistency, full visibility, and efficiency; AI/ML enables DevSecOps teams to take on a more proactive approach in securing every stage of the SDLC, from code to cloud and vice versa.
• The rise of automation and AI/ML has created both business opportunities and security risks. While adopting AI/ML in an SSCS portfolio provides a better understanding of how AI/ML, large language model (LLM), generative are used is essential among SSCS vendors.

Competitive Environment

Key Competitors

• Anchor
• Apliro
• Aqua Security
• Arnica
• Bytesafe
• Checkmarx
• Contrast Security
• Cycod
• Data Theorem
• Fossa
• GitGuardian
• GitLab
• Invicti Security
• JFrog
• Legit Security
• Mend.io
• NSFOCUS
• Ox Security
• Palo Alto Networks
• ReversingLabs
• Rezilion
• Scribe Security
• Sonatype
• Synopsys
• Veracode