The market anticipates rapid expansion as enterprises transition toward AI-driven autonomous platforms. This strategic shift addresses critical workforce shortages and escalating cyber liabilities, driving demand for unified detection solutions that replace fragmented, legacy defensive measures.
Chicago, Jan. 12, 2026 (GLOBE NEWSWIRE) — The global endpoint Security market was valued at USD 21.90 billion in 2025. It is projected to reach USD 65.04 billion by 2035, expanding at a robust CAGR of 11.5% during the forecast period.
The global endpoint security market is entering a critical expansion phase. This robust growth is fueled by an insurmountable disparity between threat volume and defensive capacity; with 161 billion distinct threats recorded annually and a global workforce gap of 4.8 million, organizations are forced to adopt AI-driven, autonomous solutions. Consequently, the market is pivoting rapidly from legacy antivirus to holistic Extended Detection and Response (XDR) platforms.
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Competitive dynamics are defined by “platformization,” where leaders like CrowdStrike, Palo Alto Networks, and Microsoft are consolidating market share by replacing fragmented toolsets with unified architectures. While North America remains the dominant revenue contributor driven by regulatory compliance, Asia Pacific represents the fastest-growing frontier due to explosive IoT and 5G adoption. Although IT and Telecommunications holds the largest vertical share (30%), Healthcare is witnessing urgent demand acceleration, necessitated by industry-leading breach costs of USD 9.77 million. Ultimately, endpoint security has graduated from an IT line item to a strategic boardroom imperative essential for financial solvency.
Software Solutions Secure Over 60% Market Share Through Platformization And ARR Growth
The dominance of the software segment in the endpoint security market is financially anchored in the aggressive shift toward “platformization” and Annual Recurring Revenue (ARR) models favored by Wall Street and adopted by market leaders. Unlike hardware, which involves one-time capital expenditure, software solutions operate on high-margin subscription models that allow vendors to continuously upsell modules—from identity protection to cloud workload security—on a single agent. CrowdStrike’s Fiscal Year 2025 results exemplify this, reporting that 64% of their customers now subscribe to five or more software modules, proving that software dominance is driven by module expansion rather than just endpoint volume.
Furthermore, the “single-pane-of-glass” architecture offered by software vendors in the endpoint security market like SentinelOne and Palo Alto Networks has rendered disjointed hardware appliances obsolete. Large organizations are prioritizing software that integrates seamlessly with IT operations tools like ServiceNow and Splunk. This interoperability is only possible through API-first software architectures. According to Palo Alto Networks’ recent financial briefings, their “Cortex” software division is their fastest-growing unit, confirming that the market’s money is flowing away from physical boxes and into agile, cloud-delivered software agents that can be updated instantly to counter zero-day threats without logistical delays.
On Premises Deployments Retain 45% Market Share Amidst Data Sovereignty Mandates
While cloud adoption accelerates, on-premises deployment retains the largest share of the installed base value in the endpoint security market due to the strict “data residency” and “no-fail” requirements of critical infrastructure. Global entities in defense, utilities, and banking rely on “private cloud” or fully air-gapped on-premises architectures because they cannot tolerate the latency or third-party risk associated with public cloud transmission. Check Point Software Technologies continues to generate significant revenue from its Quantum Security Gateways, catering to these high-security environments where the enforcement engine must sit physically within the corporate perimeter to inspect hyperscale traffic at line speed.
Additionally, the concept of “Hybrid” often defaults to on-premises dominance in revenue terms across the endpoint security market because the management console may be in the cloud, but the heavy lifting—the actual data processing and threat neutralization—occurs on local servers to comply with GDPR and local banking laws. Fortinet’s financial reports highlight the sustained demand for their high-performance appliances in operational technology (OT) environments. For these clients, “cloud-native” is a security risk, not a feature; thus, they continue to renew high-value on-premises licensing agreements to protect SCADA systems and proprietary databases that are contractually forbidden from touching the public internet.
Large Enterprises Drive 65% Revenue Share Through Board Level Regulatory Compliance
The stronghold large enterprises have on the endpoint security market is no longer just about budget size but is now driven by C-suite liability and SEC regulatory enforcement. Following the new SEC Cybersecurity Disclosure Rules implemented in late 2023, executives at Fortune 500 companies now face personal and corporate accountability for material breaches, forcing them to authorize uncapped spending on premium endpoint security. Unlike SMEs, which may rely on basic antivirus, large enterprises are investing heavily in Managed Detection and Response (MDR) services to prove “due diligence” to shareholders.
IBM’s Cost of a Data Breach Report 2024 indicates that the average cost of a breach for large organizations has hit record highs, surpassing $4.8 million, making robust endpoint security a vital insurance policy rather than an IT cost. This fear of reputational damage drives large enterprises to consolidate vendors, favoring expensive, comprehensive agreements with top-tier providers like Microsoft and Cisco. These multi-year, multi-million dollar “Enterprise Agreements” (EAs) create a revenue moat that smaller market segments cannot replicate, effectively subsidizing the R&D for the entire industry.
IT And Telecommunications Sectors Command 30% Share Fighting Supply Chain Vulnerabilities
The IT and Telecommunications sector leads the endpoint security market because these companies have become the primary “vector” for global cyberattacks, forcing them to outspend every other industry on self-defense. After high-profile supply chain attacks like SolarWinds and the Kaseya breach, IT providers realized they are the gatekeepers for their own customers’ networks. Consequently, companies like Verizon and AT&T have had to evolve into Managed Security Service Providers (MSSPs), necessitating that they secure their own vast endpoints to maintain trust. If a telco is breached, the downstream effect compromises millions of users instantly.
This dominance is further fueled by the “shift left” in software development within this vertical. Tech giants are embedding security directly into the development pipeline (DevSecOps). GitLab and Okta have published data showing that IT companies are the aggressive early adopters of “Zero Trust” architectures, requiring rigorous endpoint verification for every developer’s device accessing source code. With the highest number of privileged users and API keys, the IT/Telecom sector accounts for the highest density of advanced endpoint security licenses to prevent intellectual property theft and nation-state espionage.
Escalating Threat Volumes Drive Urgent Demand for Endpoint Security Market Solutions
The Endpoint security market is witnessing an unprecedented surge in demand driven by sheer attack volume. Trend Micro blocked a staggering total of 161 billion distinct threats in their latest annual cycle, highlighting the overwhelmed state of current defenses. Cloudflare’s ecosystem further illustrates this scale, blocking an average of 3.4 billion unwanted or malicious emails every single day. Simultaneously, Zscaler successfully analyzed and prevented over 2 billion phishing transactions. These figures confirm that manual intervention is no longer feasible. Organizations now require automated, high-velocity defenses to manage the onslaught.
Malware proliferation continues to accelerate the expansion of the Endpoint security market. SonicWall’s Real-Time Deep Memory Inspection discovered 78,923 never-before-seen malware variants in just five months. Their sensors identified 19,000 malware attacks daily. Furthermore, Cloudflare identified 102 million explicitly malicious emails annually. Kaspersky blocked 709.6 million phishing attempts, while robust systems are needed to handle 30,458 real-world security incidents analyzed by Verizon. Such intensity proves that legacy systems are failing, necessitating advanced market solutions.
Rising Financial Liability Accelerates Endpoint Security Market Valuation
Financial consequences of security failures are propelling the market forward. The global average cost of a data breach has climbed to USD 4.88 million. Healthcare organizations face the most severe burden, with average breach costs hitting USD 9.77 million. The financial services sector follows with an average cost of USD 6.08 million per incident. These exorbitant figures drive board-level investment in superior defense mechanisms. Organizations leveraging AI and automation saved an average of USD 2.2 million, validating the return on investment for advanced security technologies.
Ransomware economics further cement the critical nature of the Endpoint security market. Organizations that paid ransoms reported an average payment of USD 2 million. Excluding the ransom, the average recovery cost stood at USD 2.73 million. Furthermore, the cost per compromised record containing PII is now USD 169. With huge liabilities at stake, companies are prioritizing prevention. The market is shifting from reactive measures to proactive financial risk mitigation through robust endpoint protection platforms.
Record Vulnerability Explosions Challenge Current Endpoint Security Market Capabilities
The explosion of software flaws is a major growth vector for the Endpoint security market. A record-breaking 40,009 Common Vulnerabilities and Exposures (CVEs) were published in 2024 alone. December witnessed the creation of 3,444 new CVEs. Among analyzed incidents, Verizon confirmed 10,626 data breaches where data was disclosed. This chaotic vulnerability landscape makes manual patching impossible. Enterprises must deploy intelligent endpoint solutions to prioritize and shield these expanding weak points effectively.
Zero-day threats necessitate rapid innovation within the Endpoint security market. Trend Micro’s Zero Day Initiative disclosed 1,914 zero-day vulnerabilities. Alarmingly, 204 distinct flaws were actively weaponized by threat actors within seven months. Even specific software suites are targeted heavily, with 111 vulnerabilities identified in Adobe products alone. As weaponization speeds up, the market for predictive and behavior-based endpoint protection becomes indispensable for stopping exploits before patches are available.
Device Sprawl and Cloud Risks Expand Market Scope
The proliferation of connected devices is exponentially widening the market addressable area. Projections indicate 18.8 billion connected IoT devices globally in 2024, rising to 21.1 billion by 2025. The cellular IoT chipset market alone is valued at USD 4.07 billion. As infrastructure expands, the attack surface grows. Gartner evaluated 15 primary vendors to cover this expanse. Security leaders must now protect a vast, decentralized network of endpoints that extends far beyond traditional workstations.
Cloud integration adds another layer of complexity to the Endpoint security market. Trend Micro recorded 83 billion risky cloud application access events in a single year. CrowdStrike identified 4,615 distinct victims on leak sites, proving that cloud assets are prime targets. Sensors detected an average of 10 “attack hours” within a typical 8-hour workday. The convergence of IoT and cloud environments demands unified endpoint strategies capable of monitoring diverse assets continuously.
Massive Data Hemorrhage Mandates Robust Endpoint Security Market Strategies
Unprecedented data loss events are reshaping the market. Surfshark reported 5.5 billion user accounts breached globally in 2024. The National Public Data breach alone exposed 2.9 billion personal records. Further compounding the crisis, the Identity Theft Resource Center tracked 1.73 billion people notified of compromises. These massive leaks fuel future attacks. Organizations are compelled to invest in superior endpoint controls to prevent being the next headline in this saga of data hemorrhage.
Specific incidents highlight the scale of failure driving the Endpoint security market. Ticketmaster suffered a breach compromising 560 million records. AT&T faced a leak involving 73 million customer records. In total, 3,158 data compromise events were reported. On average, 180 user accounts are compromised every second. Such statistics demonstrate that data protection is no longer optional. Advanced endpoint security is the primary barrier preventing these catastrophic data exfiltration events.
Key Players and Platform Deals Define Market Competition
Market leadership battles are intensifying innovation in the Endpoint security market. CrowdStrike now serves over 29,000 subscription customers. SentinelOne reports a customer base exceeding 11,500, with 1,060 high-value clients contributing over USD 100,000 annually. SentinelOne achieved an Annualized Recurring Revenue of USD 663.9 million. These players are capturing market share by offering consolidated platforms. Palo Alto Networks closed 1,100 “platformization” deals, securing a single cortex deal worth USD 85 million.
Competitive intelligence within the Endpoint security market focuses on adversary tracking. CrowdStrike monitors 232 distinct adversarial groups to inform their defenses. The market is consolidating as enterprises seek unified solutions. Success depends on the ability to detect sophisticated actors. High-value deals and rapidly growing ARR figures indicate that enterprise buyers are prioritizing next-generation vendors who can demonstrate tangible success against these tracked adversaries.
Tool Complexity and Sophisticated Phishing Drive Market Evolution
Fragmented defenses are driving consolidation in the Endpoint security market. Enterprises operate 60 to 75 distinct security tools, while retailers average 10 to 49. Despite this, organizations face 130 breaches annually. Cybercrime impacts 71.1 million victims, with average individual losses of USD 4,476. The largest confirmed ransom payment hit USD 75 million, though the median is USD 200,000. BEC incidents average USD 137,000 in losses. Security sprawl is failing, pushing demand for unified endpoint platforms.
Phishing sophistication further validates the need for the Endpoint security market. Bolster detected 13,438,810 scam sites. Domain analysis shows 4 distinct fraudulent sites per domain. Mobile users face 600 threats annually. Individuals receive 1.4 malicious emails yearly. Stolen identities trade for USD 180. CrowdStrike added 34 new adversaries recently. With threats evolving, the market must provide integrated defenses to counter these diverse vectors efficiently.
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Endpoint Security Market Major Players:
- AO Kaspersky Lab
- Bitdefender
- BlackBerry
- Broadcom Inc.
- Cisco Systems Inc.
- Comodo Security Solutions Inc.
- CrowdStrike Holdings Inc.
- Cybereason Inc.
- Deep Instinct Ltd
- Endgame
- ESET Spol. s r.o.
- Fortinet Inc.
- F-Secure Corp.
- IBM
- Kaspersky Lab JSC
- Malwarebytes Inc.
- Microsoft
- OpenText
- Palo Alto Networks Inc.
- Quick Heal Technologies
- SentinelOne Inc.
- Sophos Ltd.
- Trellix
- Trend Micro Inc.
- Vmware
- Other Prominent Players
Key Market Segmentation:
By Component
- Software
- Service
By Deployment Mode
- On-premises
- Cloud Based
By Organization Size
- Large Enterprises
- Small and Medium-sized Enterprises
By Industry Verticals
- BFSI
- IT and Telecommunications
- Government and Defense
- Healthcare and Life Sciences
- Manufacturing
- Retail and E-Commerce
- Others
By Region
- North America
- Europe
- Asia Pacific
- Middle East and Africa
- South America
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