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This is the time of the year when all the cybersecurity company and media outlets race to summarize the last year and predict what lies ahead in 2018. But most of these predictions concentrate on cyber trends (both cybercrime and cyber- espionage) and fail to touch upon the industry we are all part of. So we at CyberDB have made a little extra effort and try to predict the trends that will dominate the cybersecurity industry in 2018.

A trend that has played a major role in 2017, with several prominent M&A deals- such as Palo Alto Networks buying lightcyber, Microsoft buying Hexadite , and Symantec buying Fireglass and Skycure. We predict this trends will intensify in 2018- with more companies reaching product maturity and failing to raise further capital (and with IPO looking like a distant option for many of the small to mid-sized companies). We said the same regarding 2016 and 2017, and we really feel the industry and customers will benefit from a smaller amount of “feature” solutions in comparison to platforms and integrated offerings.

We predict that fewer cybersecurity startups will emerge this year, and this will be in part due to VCs surfeit with cyber investments. The ones that will manage to raise cash will enjoy larger funding rounds. This will have both positive and negative impact- it is supposed to weed out the companies with less market-appeal (which is good for the customers) but on the other hand it will make it harder for novel (yet to be proven) ideas to raise sufficient funds to pass their initial product development stages. This is a subset of a global trend of subsiding investments in seed stages (The seed and early-stage investing market has cooled substantially in the past few years). The lucky startups to cross this phase will enjoy larger financing rounds (all that money still needs to be invested).

French Defense giant Thales just announced it will be acquiring Gemalto  and we foresee many defense companies following their footsteps. The Defense industry has been too slow to develop cyber solutions, have had only minor success in penetrating the civilian markets and so the logical steps is to buy mature companies and boost their offerings. This has been going on for some time now (for instance- Cybereason partnership with Lockheed- Martin) and will likely to grow in 2017 due to decline in global defense budgets and the need to develop alternative sources of revenue.

read more at www.cyberdb.co