Cloud-Native Application Protection Platform Market to Triple in 5 Years

New data from market research firm Dell'Oro Group estimates that the cloud-native application protection platform (CNAPP) market will grow exponentially over the next few years.

The new report, published by Dell'Oro on Wednesday, projects that the value of the CNAPP market will grow from $2 billion in 2023 to $6 billion in 2028. This would represent a 25% compound annual growth rate (CAGR). Analysts believe this surge of interest is due to enterprise operations playing catch-up to secure their use of cloud hosting.

“The rapid expansion of the CNAPP market underscores the critical need for robust security solutions as enterprises accelerate their cloud adoption,” said Mauricio Sanchez, senior director of enterprise security and networking at Dell’Oro Group. “It’s clear enterprises are recognizing the value of CNAPP solutions, and we see significant opportunities for vendors to innovate and capture market share."

Dell'Oro Group's Mauricio Sanchez

The surge of interest in CNAPP has been apparent this year. CNAPP revenue increased by 40% in the first quarter of 2024, surpassing $600 million. It's the 17th quarter in a row where revenue growth exceeded 40%, implying quite a bit of consistency.

The most growth occurred within vendors Palo Alto Networks and Wiz. Palo Alto maintained its leading revenue growth position with a 17% share in the first quarter of 2024, while Wiz experienced the most growth with a 105% increase, Dell'Oro said.

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That growth is likely why Google is said to be in talks to buy Wiz for $23 billion, a move that analysts expect to have an significant impact on the market.