Cybercrime is on the rise in the United States and around the world.
According to Statista’s Cybersecurity Outlook, the global cost of cybercrime is set to rise by a whopping 284 percent over the next five years.
The study estimates that the cost of cybercrime is expected to increase from $8.44 trillion in 2022 to $23.82 trillion by 2027.
As a result, cybersecurity companies are expected to be the main beneficiary of the surge in cybercrime, especially in the United States, which is expected to generate the most revenue.
Here are the main highlights from Statista’s findings:
- Cost of Cybercrime Expected to Rise to 23.84 Trillion by 2027
- Security Services Market Projected To Reach $84.96 billion in 2022
- Compromises to Business Email Is Most Costly Threat
- United States to Generate Most Cybersecurity Revenue
Cost of Cybercrime Expected to Rise to 23.84 Trillion by 2027
Cybercrime is any illegal activity that involves the use of computers, networks, or other digital technologies. This can include crimes like hacking, identity theft, cyberbullying, and the distribution of malware or illegal content.
The cost of cybercrime can take on many forms, including direct financial losses, the cost of recovering from an attack, and indirect costs, like damage done to a company’s reputation.
Cybercrime has been skyrocketing in recent years. That number is only projected to grow, as people continue to spend more time online, whether for work or their personal lives due to the COVID-19 pandemic.
In 2018, Statista estimated costs related to cybercrime at $860 billion worldwide.
However, with more tools available to scammers, the cost of cybercrime has grown by nearly 10x since then, and as cyber criminals become more advanced, the damages done by cybercrime are only expected to grow.
The cost of cybercrime is expected to rise from $8.44 trillion in 2022 to $23.82 trillion by 2027.
The increase represents a 284% jump in the cost of cybercrime over the next five years.
Security Services Market Projected To Reach $84.96 billion in 2022
Cybersecurity is the practice of protecting computers, networks, and data from unauthorized access, attacks, and other threats.
It involves the use of technologies, processes, and policies to secure systems and prevent cybercrime.
The cybersecurity market is projected to reach$156.30 billion in revenue in 2022.
The market’s largest segment is security services with a projected market volume of US$84.96 billion in 2022.
The segment is dominated by industry giants like IBM and Cisco Systems Inc.
Revenue is expected to show an annual growth rate of 10.92%, resulting in a market volume of $262.40 billion by 2027.
Check out some of the key players in the cybersecurity market below.
|
Company |
2017 | 2018 | 2019 | 2020 | 2021 |
| IBM Corp. | $79.14B | $79.59B | $77.15B | $73.62B |
$57.35B |
|
Cisco Systems, Inc. |
$48.01B | $49.33B | $51.90B | $49.30B | $49.82B |
| Palo Alto Networks, Inc. | $1.76B | $2.27B | $2.90B | $3.41B |
$4.26B |
|
Fortinet, Inc. |
$1.50B | $1.80B | $2.16B | $2.63B | $3.35B |
| Mcafee Corp. | – | $2.41B | $2.63B | $2.91B |
$1.92B |
|
Crowdstrike Holdings, Inc. |
$0.12B | $0.25B | $0.48B | $0.87B | $1.45B |
| Zscaler | – | $0.19B | $0.30B | $0.43B |
$0.67B |
|
Check Point Software Technologies Ltd. |
$1.85B | $1.92B | $2.00B | $2.06B | – |
| Trend Micro, Inc. | $1.33B | $1.45B | $1.51B | $1.63B | – |
Business Email Compromise Is Most Costly Cybercrime Threat
According to FBI Internet Crime Report 2021, 59 percent of cybercrime victims were located in the United States.
Business email compromise represented the biggest form of cybercrime, according to the report. However, reports for investment scams were up 333 percent in 2021.
The rise can be partly attributed to the meteoric rise of cryptocurrency and the introduction of cryptocurrency and NFT-related scams, along with increased internet penetration in both developing and developed nations.
Romance fraud, personal data breach, and real estate or rental scams rounded out the list of the top-five most costly forms of cybercrime.
- Business Email Compromise: $2.396B
- Investment: $1.456B
- Confidence/Romance Fraud: $956M
- Personal Data Breach: $517M
- Real Estate/Rental Fraud: $350M
United States to Generate Most Cybersecurity Revenue
As hackers have become more sophisticated, cybersecurity has become increasingly important for some of the world’s biggest economic powers.
According to Statista, the United State leads the list of countries that earn the most cybersecurity revenue.
The US is expected to earn $102.3 billion in cybersecurity revenue by 2027, a 61.8 percent increase over the projected $63.28 billion earned in 2022.
China, Japan, United Kingdom, and Germany round out the top-five countries in terms of cybersecurity revenue worldwide.
Of course, it should come as no surprise that the United States tops the list, as it earns nearly 5x as much as the next-highest country (China).
A report by Surf Shark recently revealed that data from the FBI’s Internet Crime Complaint Center marked Nevada as the state with the most cybercrime. The state represented 49 percent of all reported cybercrime victims in the United States.
Other states with high rates of cybercrime include Iowa, Alaska, and Florida.
