Japan Information Security Market
2022 Research Report
FY2021 Sales Estimated Actual ValueFY2022 Sales Estimated ValueFY2023 Sales Predicted Value

June 26, 2023

JNSA Survey and Research Subcommittee
Security Market Research WGJNSA Market Research Overview
JNSA Independent Survey Activities
・Ongoing since 2004
・Commissioned by METI until 2009
・In 2010, due to the addition of a global survey to the METI request, JNSA declined to participate
in the commissioned project・JNSA started its own survey from FY2010
・In FY2019, JNSA began to consider a survey and analysis based on the new classification while
proceeding the existing method(Beginning in April 2020, activities shifted to teleworking environment due to the spread of COVID-19 infection)・After FY2020, activities are ongoing through research and analysis based on the new classification

Security market research by JNSA members, for JNSA members•Continuously capture the security market and the security industry•Utilize the survey results for the benefit of JNSA member companies in their respective businesses•Interact with each other through activities, learn survey methods, and expand knowledge
Copyright 2023

NPO Japan Network Security Association

Market Survey Segmentation
Sub-category

Information Security
Tools

Sub-subcategory

Endpoint protection and management
products

Anti-virus, EDR, policy management/configuration management/operation monitoring and control
products

Network protection and detection/perimeter
protection products

FW, VPN connection, IDS/IPS, WAF, UTM, security information management system, physicalsecurity

Content security products

DLP (data leak prevention), encryption, e-mail security, URL filtering, vulnerability inspection

Identity and access management products

Devices for personal authentication and their authentication systems, biometric devices for
personal authentication and their authentication systems, identity (ID) management, logon
management/access permission, PKI systems and their components

Sub-category

Information Security
Services

Business Classification

Sub-subcategory

Consulting/diagnostic services

Consulting, auditing and evaluation, diagnostics, standards certification

Managed and operation services

SOC, incident response and forensics, intelligence information

Peripheral services

Digital certificate issuance and PK based authentication, literacy education, qualification support,
insuranceA

Overseas vendors or its Japanese subsidiaries

E

Major system integrators where SI is the primary value-add

B

Japanese security tool vendors

F

Consulting companies

C

Distribution companies such as distributors, trading companies

G

Security service providers

D

Secondary and tertiary distributors with SI and NI functions

H

Others (cyber insurance, other different industries)

Copyright 2023

NPO Japan Network Security Association

Population of survey and analysis
Survey target (total population)

Analysis target (valid target)

FY2017 (Announced June 2017)739 companies

591 companies

FY2018 (Announced June 2018)873 companies

691companies

FY2019 (Announced June 2019)

945 companies

674 companies

FY2020 (Announced June 2020)

947 companies

696 companies

FY2021 (Announced June 2021)

1,018 companies

713 companies

FY2022 (Announced June 2022)

1,001 companies

686 companies

Simple total sales of the 686 companies covered

70,534.3 billion yen (Security business ratio 2.4%)

Simple sum of the security businesses of the subject companies

Simple total of security business sales ofeach of the subject companies(Last year)

1,692.3 billion yen(1,610.1 billion yen)

[Growth rate][5.7%]The size of the Japanese security market estimated by the WG

Estimated actual results for this time

Copyright 2023

1,332.1 billion yen (1,265.7 billion yen) ［5.2％］

NPO Japan Network Security Association

Estimated size of Japan’s information security market

Tools(Product revenue such as hardware, software)yen

Copyright 2023

NPO Japan Network Security Association

Estimated size of Japan’s information security market

Services (Knowledge/skills/services and know-how intellectual business activities）
yen

Copyright 2023

NPO Japan Network Security Association

Trends in Information Security Market Size
Estimated actual sales
Unit: 1 million yen
1,500,000

５.２%
increment

1,300,000

５.６%
increment

1,100,000

６.５%
increment

1,498.3 billion yen

1,406.4 billion yen
1,332.1 billion yen

900,000

700,000

500,000

300,000

100,000-100,000

2013

2014

2015

2016

Tools

2018

Services

2019

2020

2021

2022

2023

Total

NPO Japan Network Security Association

results forthis time

Copyright 2023

2017

Estimated actual
salesNumber and distribution of companies surveyed (Current survey: Year ending March 31, 2023)

Including distribution percentages
Unit: Company
Endpoint
protection andmanagement
products

Network
protection andContent security
detection/perimet
products
er protection
products

Identity andaccessmanagement
products

category

Number anddistribution ofcompanies
surveyed

Ａ

118

68

83

64

37

102

65

61

37

85

Ｂ

123

52

71

53

42

103

68

50

42

84

Ｃ

54

34

41

33

27

47

30

27

23

38

Ｄ

135

81

99

88

65

117

92

64

61

107

Ｅ

49

37

40

39

30

43

39

38

33

48

Ｆ

32

13

17

12

11

19

23

16

11

25

Ｇ

156

61

76

64

50

108

106

90

66

132

Ｈ

19

6

3

5

4

7

10

4

9

16

計

686

352

430

358

266

546

433

350

282

535

Information
Security Tools

Consulting/diagno Managed andInformation
eripheral services
stic services
operation services
Security Services*Duplicate counts are included in the yellow text as they include dual employment.
category

Tool specialist

Service specialist

Tool & service
specialist

Number of valid
target companies

Distribution ratio

A

Overseas vendors or its Japanese subsidiaries

33

16

69

118

16.1%

B

Japanese security tool vendors

39

20

64

123

17.8%

C

Distribution companies such as distributors, trading companies

16

7

31

54

7.5%

D

Secondary and tertiary distributors with SI and NI functions

28

18

89

135

17.2%

E

Major system integrators where SI is the primary value-add

1

6

42

49

5.7%

F

Consulting companies

7

13

12

32

4.8%

G

Security service providers

24

48

84

156

24.9%

H

Others (cyber insurance, other different industries)

3

12

4

19

6.1%

151

140

395

686

100%

Total

Copyright 2023

NPO Japan Network Security Association

Number of companies surveyed (changes from previous year's survey)
Unit: Company
Endpoint
protection andmanagement
products

Network protection
andContent security
detection/perimete
productsr protection
products

Identity andaccessmanagement
products

category

Number anddistribution ofcompanies
surveyed

Ａ

▲1

11

▲3

18

9

▲5

18

23

7

22

Ｂ

▲8

14

0

3

▲2

▲ 21

44

29

24

44

Ｃ

▲3

1

1

▲2

3

▲6

9

12

12

15

Ｄ

▲ 13

4

▲8

2

4

▲ 19

14

2

16

12

Ｅ

0

1

1

3

0

0

▲3

▲1

▲3

2

Ｆ

▲3

11

16

10

10

14

▲9

7

▲2

▲9

Ｇ

▲1

32

36

32

32

49

▲6

4

▲4

▲ 11

Ｈ

2
▲ 27

5
79

0
43

1
67

2
58

1
13

8
75

▲2
74

1
51

3
78

計

Information
Security Tools

Consulting/diagnos Managed andInformation
eripheral services
tic services
operation services
Security Services*Duplicate counts are included in the yellow text as they include dual employment.
category

Tool specialist

Service specialist

Tool & service
specialist

Number ofvalid target companies

A

Overseas vendors or its Japanese subsidiaries

▲ 23

4

18

0

B

Japanese security tool vendors

▲ 52

13

31

▲ 10

C

Distribution companies such as distributors, trading companies

▲ 18

3

12

▲4

D

Secondary and tertiary distributors with SI and NI functions

▲ 25

6

6

▲ 14

E

Major system integrators where SI is the primary value-add

▲2

0

2

▲1

F

Consulting companies

6

▲ 17

8

2

G

Security service providers

10

▲ 50

39

1

H

Others (cyber insurance, other different industries)

▲1

1

2

9

▲ 105

▲ 40

118

▲ 17

Total

Copyright 2023

NPO Japan Network Security Association

Market size of tools and services• In recent years, the need for cyber security measures has increased due to theprogress of digital transformation, increase of cyber attacks, and the spread oftelework.
• As more advanced and continuous security measures, new technologies such as
artificial intelligence (AI) and machine learning (ML) have been incorporated into
information security, and tools and services that enable early detection,
prevention, and recovery from security incidents are emerging one after another.
• Furthermore, with the spread of cloud computing, the cloud security market isalso expanding.
• Given the above factors, the information security market is expected to continue
growing in the future.
• The gradual upward trend in the size of the information security services market
continues. Since the tool market has also been expanding in recent years, and theservices associated with tools are also expanding, the proportion of services is
expected to increase from FY2022 onward.

66%

56.5%

34%

43.5%

12
20

13
20

14
20

15
20

16
20

17
20

Tools

18
20

19
20

20
20

21
20

22
20

Services

Copyright 2023

NPO Japan Network Security Association

Information Security Tools Market Trends
Tools
FY2021７６８.６ billion yen↑4.8% increment
FY2020７３３.５ billion yen•

Identity and accessmanagement productsContent security

1 1 0 .4 billion yen

products( 1 4 .4 % )Endpoint protection andmanagement products

1 9 4 .4 billion yen•

2 1 5 .7 billion yen ( 2 8 .1% )( 2 5 .3 % )•Network protection and detection/perimeter
protection products
2 4 8 .1 billion yen•( 3 2 .3 % )•Copyright 2023

The rapid spread of the zero-trust concept from the traditional perimeter based
defense concept, as well as increased awareness and adoption of EDR products,
led to their widespread use in FY2021. Market expansion is expected tocontinue in FY2022 and beyond.
The expansion of cloud services and remote working has led to the spread of
the zero-trust concept and increased demand for perimeter defense products.
Sales of DLP and encryption products have risen and are expected to continue
to rise as the risk of information leakage increased due to the diversification ofwork styles, such as teleworking.
Demand for identity management and logon management products expanded
in proportion to the shift of enterprises to cloud computing and the growing
demand for SaaS based products.
On the other hand, the need for products specialized in authentication
management has been declining due to the shift to authentication applications
and incorporation of conventional authentication into other security products,
and is expected to continue to decline in the future.

NPO Japan Network Security Association

ToolsEndpoint Protection Management Products

FY2021•

２１５.７billion yen↑1.5% % increment
FY2020２１２.４ billion yen••

New purchases of antivirus products (for individuals andbusinesses) declined in FY2021 since there was a sharp
drop in PC demand. As a result, overall demand, including
renewals, declined slightly. Also in FY2022, we see a decline
in PC shipments, and the same trend is expected tocontinue.
Demand for policy management, configuration
management, and operation monitoring and control
products also shrank in FY2021 due to the same reason
that corporate PC demand has declined, and is expected tocontinue to decline in FY2022 and beyond.
The market for EDR products continued to grow in FY2021
due to the rapid spread of the zero-trust approach from thetraditional perimeter based defense approach, which
increased awareness and adoption of EDR products, and is
expected to continue to expand in FY2022 and beyond.

policy m anagem ent
configuration m anagem ent
operation m onitoring and control products

5 7 .8 billion yen 2 6 .8 %EDR
2 7 .3 billion yen
1 2 .7 %Anti- Virus
1 3 0 .5 billion yen
6 0 .5 %Copyright 2023

NPO Japan Network Security Association

ToolsNetwork Protection and Detection/Perimeter Protection Products

FY2021

Unit: billion yen

２４８.１billion yen•↑８% increment•

FY2020２２９.７billion yen••

Along with the expansion and spread of cloud services and remote
work, demand for perimeter defense products also increased.
In particular, demand for security information management systems
is increasing for centralized management of log information and realtime monitoring and analysis, as well as for next-generation FW
products with advanced real-time detection functions and enhanced
integration with endpoint management.
It can be inferred that the VPN connectivity product category has
declined due to the shift in the location of corporate data to cloudstorage services.
However, this category is expected to continue to expand in the
future against the backdrop of further progress of DX, cloud services,and the diversification of working environments.

0.0

20.0

40.0

0.0

100.0

60.0

80.0

FW

VPN connection

IDS/IPS

WAF

UTM
security inform ation m anagem ent system

UTM

6 1 .1 billion yen

4 0 .1 billion yen

25%

16%

physical security

security information
management system

18.0 billion yen
7%physical security

W AF

FW

3 3 .4 billion yen

3 7 .3 billion yen

13%

15%

I DS/ I PS
3 4 .5 billion yen
14%

VPN connection
2 3 .7 billion yen

200.0

300.0
229.7
248.1
273.1

Total

10%

FY2020

Copyright 2023

NPO Japan Network Security Association

FY2021

FY2022

Unit: billion yen

309.5

FY2023100.0

ToolsContent security products

FY20210

１９４.４ billion yen•↑7.1%increment
FY2020•１８１.４ billion yen•

Sales of DLP and encryption products are rising as the riskof information leakage increases due to diversification ofwork styles such as teleworking. The trend of increase is
expected to continue in the future.
Demand for e-mail security temporarily expanded due tothe rise of PPAP alternative solutions, but is expected toremain flat going forward.
Demand for vulnerability investigation products is
expected to continue to grow due to the cloudenvironment expansion.

vulnerability inspection
2 3 .0 billion yen
12%
URL filtering

20

30

40

50

Unit: billion yen

DLP(data leak prevention)

encryption

e-mail security

URL filtering
DLP( data leak prevention)
4 0 .6 billion yen

vulnerability inspection

2 1%

3 6 .4 billion yen

10

19%
encryption
3 8 .3 billion yen
e- m ail security

0

50

100

150

200

19%

Unit: billion yen

181

5 6 .0 billion yen…

194
199
202

Total

FY2020

Copyright 2023

NPO Japan Network Security Association

FY2021

FY2022

FY2023250

ToolsIdentity and access management products

FY2021•

１１０.４ billion yen↑0.5% increment
FY2020１０９.９ billion yen•

Demand for identity management and logon
management products is growing in
proportion to the shift of enterprises to cloudcomputing and the increasing demand for
SaaS based products. It is expected tocontinue to increase in the future.
On the other hand, for traditional
authentication (device and biometric), theneed for products specializing in authentication
management has been declining and is
expected to continue to decline due to theshift to authentication applications andincorporation into other security products.

0.0

5.0

10.0

55

65

75

15.0

20.0

25.0

30.0

35.0

Unit : billion yen

Devices for personal authenticationand their authentication systems

biometric devices for personal authenticationand their authentication systems

identity (ID) management

logon management/access permission
PKI systems and their components,
Devices for personal authentication

13.4 billion yen

and their authentication systems

12%

19.1 billion yen
17%logon m anagem ent / access perm ission,

PKI systems and their components
biometric devices for personalauthentication

3 0 .3 billion yen

and their authentication systems

27%

18.3billion yen

identity ( I D) m anagem ent

25

35

45

85

95

105

115

17%

110

2 9 .3 billion yen
27%

110

Total

110
111

FY2020

Copyright 2023

NPO Japan Network Security Association

FY2021

FY2022

FY2023125

Unit: billion yen

Information Security Services Market Trends
Services•

FY2021５６３.６ billion yen•↑5.9% increment
FY2020•５３２.２ billion yen

Demand for consulting services grew steadily, supported by the
rapid shift to teleworking, compliance with cybersecurity guidelines
for each industry sector, and the DX/GX investment promotion
taxation.
Demand for incident response and forensics services grew at a highrate, reflecting the growing need to analyze logs, determine thecauses, and prevent cyber attacks and information leakage causedby employees taking information out of the company.
With COVID-19 showing signs of slowing down, we expect thatliteracy education and certification support will not only increase
the need for in-person training, but also show a growth trend dueto the expansion of the business area through the use of online
services.

Unit : billion yen

0.0

50.0

100.0

150.0

200.0

250.0

300.0

350.0

227.0
228.0

Consulting/diagnostic services

231.2
235.3
214.5
241.7

Managed and operation services

276.0
316.3
90.6
93.9

Peripheral services

96.8
100.0
FY2020

FY2021

FY2022

FY2023Copyright 2023

NPO Japan Network Security Association

Services

Consulting and diagnostic services

FY2021

２２８.０ billion yen↑0.4% increment
FY2020２２７.０ billion yen• Demand for consulting/diagnostic services
grew steadily, supported by the rapid shift toteleworking, compliance with cybersecurity
guidelines for each industry sector, as well as
the DX/GX investment promotion taxation.
• On the supply side, some major
hardware/software developers focused on
consulting services, which also contributed tomarket expansion.
• Although demand for telework has slowed
down, we expect the market expansion trend
to remain unchanged, but it is difficult toforecast the market as it is heavily influenced
by economic trends.

0.0

120.0

100.0

80.0

60.0

40.0

20.0

Consulting

auditing and evaluation

diagnostics

standards certification

Unit : billion yen

0.0

50.0

100.0

150.0

200.0

250.0
227.0
228.0
231.2

Total

235.3

FY2020

Copyright 2023

NPO Japan Network Security Association

FY2021

FY2022

FY2023

ServicesManaged and operation services

FY2021２４１.７ billion yen•↑12.7% increment
FY2020２１４.５ billion yen•

Overall sales increased compared to theprevious year. Especially the growth rate forincident response and forensics was high. Thisis due to the growing need to analyze logs,
determine the causes, and prevent cyberattacks and information leakage caused by
employees taking information out of thecompany.
Cyberattacks and cyber incidents againstcompanies are expected to increase in FY2022
and beyond. In addition, as many companies
must handle enormous amounts of electronic
data due to the Electronic Bookkeeping Law,
etc., sales growth trend in this category is
expected to continue.

0.0

50.0

100.0

150.0

200.0

SOC

incident response and forensics

intelligence information

FY2020

Copyright 2023

NPO Japan Network Security Association

FY2021

FY2022

FY2023

Services

Peripheral services
Unit : billion yen

FY2021• With COVID-19 showing signs of slowing down, focus for literacy
education and certification support is thought to be a result of thesegment of the population that has been desiring for learning
opportunities seeking education. We expect that not only theneed for in-person training has increased, but also that there is a
growth trend due to the expansion of the business area throughthe use of online.
• Electronic certificate issuance, PK based certificates, andinsurance decreased as the spread of free certificates and otherfactors are expected to have an impact. Insurance remained flatand this may be due in part to the fact that it is difficult to directlyreflect the results in the market due to sales as an ancillary
service. However, this market segment is expected to grow inimportance, so the next trends will be interesting to watch.

９３.９ billion yen↑3.6% increment
FY2020９０.６ billion yen

0.0

10.0

20.0

30.0

40.0

50.0

Digital certificate issuanceand PK based authentication

literacy education

qualification support

insurance

insurance

1 5 .1 billion yen

Digital cer tificate issuance

1 6 .1%and PK based authentication

qualificat ion support

2 6 .0 billion yen

1 5 .2 billion yen

2 7 .7 %1 6 .2 %Unit : billion yen

0.0

literacy educat ion

20.0

40.0

60.0

80.0

100.0

3 7 .5 billion yen

90.6
93.9

3 9 .9 %

Total

96.8
100.0

FY2020

Copyright 2023

NPO Japan Network Security Association

FY2021

FY2022

FY2023

Japan Information Security Market 2022 Research Report
June 26, 2023
JNSA Survey and Research Subcommittee
Security Market Research WG
http://www.jnsa.org
sec@jnsa.org

END