Are Security Services the Next “Big Thing” in Telecoms?

As we move away from the period of the severe pandemic and into the future, more and more opportunities for profit and broader growth present themselves for those in the Telecoms sector. And while we discussed some of the most important ones in our previous article, subcategories of services continue to gain traction. One of those showing the greatest interest in terms of growth is none other than Security Services. In the following, we will analyze in what way this is happening and what is driving Telecoms providers worldwide to focus their efforts on them. Is this the next “Big Thing” after all?

What does the data on Security Services show?
According to recent statistics, the profit rates of Telecoms providers originating from security services have witnessed a sharp increase of 18% on a global scale, compared to the previous year’s rates of 5.6%.  These promising figures are primarily generated by B2B security services and particularly by anything related to cybersecurity in general. The rise of 5G, which already provides security safeguards for businesses, has critically contributed to this, with several Telecoms providers being able to leverage it in the security services they offer. Other services of relevance include video surveillance, smart home, healthcare security and home security at large, albeit the latter to a more modest degree. Even though the data may not yet be completely clear, as we are still at the beginning of this growing trend, one thing is certain; security services have demonstrated significant growth opportunities for Telecoms in the business and market space alike.

What drives this upward trend in Security Services?
We believe that the factors that have led to this trend are numerous and far from negligible. With a vast percentage of people – practically from all over the world – working remotely and the global tendency to telecommute continuing to thrive, it is hardly any wonder that security services that allow the employees of a company to connect to a shared, secure and reliable network are growing in popularity. In fact, it is safe to say that they are now a necessity rather than just an option. In general, though, the Internet sphere harbors a multitude of risks, and this is something that both businesses and consumers are becoming increasingly aware of every day, since they are consistently using it for communication, shopping, and so much more. As a result, the need for cybersecurity is intensifying and will continue to do so.

At the same time, technological developments are also advancing in the health sector, with surgeries being performed robotically and remotely, and the same applies to developments regarding the smart home. Both of these areas require strong security networks as, especially in the first case, a security breach could potentially cost lives.

Having considered all of the aforementioned observations, we inevitably come to the conclusion that the rise of security services is here to stay. All the signs suggest that they will continue to represent a fundamental necessity among consumers and, therefore, excellent sources of revenue growth and overall development for Telecoms providers. In other words, they should be given due attention!