Just a few years ago, there were about 6 to 10 well regarded AV vendors that dominated the market. Fast forward to 2017 and my colleague Doug Cahill and I are currently tracking around 50 endpoint security vendors.
Why has this market changed so much in such a short timeframe? New types of targeted threats regularly circumvented signature-based AV software over the past few years. This weakness led to system compromises, data breaches, and panicky CISOs in search of AV alternatives. This in turn persuaded the fat cats on Sand Hill Rd. to throw VC dollars at anything that hinted at endpoint security innovation.
Okay, I get the need for more than signature-based AV but there simply isn’t room in the market for 50 endpoint security vendors. Thus, it’s safe to assume a lot of M&A activity and outright business failures this year.