Global Crowdsourced Security Market to Reach US$232.8 Million by 2030

The global market for Crowdsourced Security estimated at US$140.8 Million in the year 2023, is expected to reach US$232.8 Million by 2030, growing at a CAGR of 7.4% over the analysis period 2023-2030. Web Application, one of the segments analyzed in the report, is expected to record a 7.3% CAGR and reach US$99.7 Million by the end of the analysis period. Growth in the Mobile Application segment is estimated at 7.7% CAGR over the analysis period.

The U.S. Market is Estimated at US$37.0 Million While China is Forecast to Grow at 11.1% CAGR

The Crowdsourced Security market in the U.S. is estimated at US$37.0 Million in the year 2023. China, the world`s second largest economy, is forecast to reach a projected market size of US$56.9 Million by the year 2030 trailing a CAGR of 11.1% over the analysis period 2023-2030. Among the other noteworthy geographic markets are Japan and Canada, each forecast to grow at a CAGR of 3.8% and 6.6% respectively over the analysis period. Within Europe, Germany is forecast to grow at approximately 4.5% CAGR.

Global Crowdsourced Security Market – Key Trends & Drivers Summarized

What Is Crowdsourced Security and How Does It Enhance Cybersecurity Measures?

Crowdsourced security leverages a global community of ethical hackers and cybersecurity experts to identify vulnerabilities in digital systems, applications, and networks. Through programs such as bug bounties and vulnerability disclosure initiatives, organizations invite these external cybersecurity experts to test their digital assets, providing a unique and effective approach to security. This collaborative model allows companies to access a wide pool of security talent with diverse skill sets and perspectives, enhancing their ability to identify and mitigate potential security threats. By expanding security testing beyond internal teams, crowdsourced security offers a proactive, real-time defense against cyber threats, making it a valuable addition to traditional security measures.

Crowdsourced security is particularly effective for companies with complex digital ecosystems or those frequently introducing new applications and systems. With technology evolving rapidly, traditional in-house security teams may face limitations in covering every potential vulnerability. Crowdsourcing enables continuous testing, identifying issues that might go unnoticed by standard security assessments. By providing a platform for skilled ethical hackers, companies can detect zero-day vulnerabilities, ensure compliance, and maintain customer trust. Additionally, the incentive-driven model of crowdsourced security (where contributors are rewarded for identifying vulnerabilities) encourages deeper and more varied testing approaches, increasing the likelihood of uncovering hidden security risks.

How Are Technological Advancements Shaping Crowdsourced Security?

Technological advancements are enhancing crowdsourced security by improving the accessibility, speed, and efficiency of these programs. Platforms supporting crowdsourced security, such as Bugcrowd, HackerOne, and Synack, have introduced automation tools that streamline the process of bug submission, validation, and reward distribution. These platforms use machine learning algorithms to prioritize reports, automatically categorize vulnerabilities, and flag potential duplicates, ensuring companies can focus on high-priority issues without being overwhelmed. Automation reduces the administrative load, allowing companies to address vulnerabilities faster while scaling their security efforts to accommodate an increasing volume of testing activity.

Furthermore, advancements in blockchain technology and AI are providing new layers of security and transparency to crowdsourced platforms. Blockchain-based platforms allow companies to verify the authenticity of ethical hackers and ensure transparency in the reporting and reward processes, while AI aids in the automated detection of vulnerabilities and categorizes threats more accurately. These advancements also extend the scope of crowdsourced security, as companies can now host hackathons and testing challenges in real time, engaging with cybersecurity experts from around the world on a wide range of security tasks. By adopting these technologies, crowdsourced security platforms are expanding the possibilities for more sophisticated, rapid, and effective vulnerability testing.

Why Are Organizations Turning to Crowdsourced Security for Compliance and Risk Management?

Organizations are increasingly turning to crowdsourced security to manage cybersecurity risks and ensure compliance with industry regulations. As data breaches and cyber threats become more sophisticated, companies face greater pressure to demonstrate robust cybersecurity practices to protect sensitive information and comply with regulations such as GDPR, CCPA, and HIPAA. Crowdsourced security provides a cost-effective, flexible solution for ongoing compliance by enabling regular vulnerability testing and helping companies meet cybersecurity standards. This proactive approach to security also improves an organization’s resilience, enabling them to manage risks more effectively and build trust with customers and stakeholders.

The compliance benefits of crowdsourced security are especially relevant in industries such as finance, healthcare, and e-commerce, where stringent regulations demand continuous monitoring and secure handling of customer data. By integrating crowdsourced security into their risk management frameworks, organizations can identify and resolve security gaps that may impact compliance. Additionally, this model offers transparency in security practices, as companies can publicly disclose their efforts to address vulnerabilities, enhancing their reputation for accountability and data protection. Crowdsourced security, therefore, not only helps mitigate risks but also provides a valuable tool for organizations to demonstrate their commitment to regulatory compliance and security excellence.

What Factors Are Driving Growth in the Crowdsourced Security Market?

The growth in the crowdsourced security market is driven by rising cybersecurity threats, increasing regulatory pressure, the need for scalable security solutions, and technological advancements. As cyber threats continue to evolve, organizations are seeking more proactive and dynamic ways to protect their digital assets. Crowdsourced security addresses this need by offering continuous, large-scale testing that identifies vulnerabilities in real time, allowing companies to stay ahead of potential threats. With the growing awareness around cybersecurity risks, particularly in sectors handling sensitive data, companies are turning to crowdsourced solutions to enhance their security frameworks.

Regulatory factors are also accelerating the adoption of crowdsourced security, as industries face stricter data protection regulations that require frequent security assessments. In highly regulated sectors, crowdsourced security allows organizations to maintain compliance and avoid costly penalties by ensuring that their digital systems are regularly vetted for vulnerabilities. Furthermore, as businesses increasingly adopt digital transformation initiatives, their attack surfaces expand, driving the need for scalable and adaptive security solutions. Crowdsourced security’s flexibility and the ability to access a vast pool of cybersecurity talent make it well-suited to meet these needs. With ongoing technological advancements and the demand for efficient risk management, the crowdsourced security market is expected to continue its growth, solidifying its role as a crucial component of modern cybersecurity strategies.