Page 54 - FY18 Advanced Services Strategic Plan

Security market profile

Total Addressable Market Market Opportunities
• New services aligned to software adoption and acceleration for cloud,
Security Addressable TAM SaaS, and IaaS
• Capitalize on growth of managed security services sector in the market
+9.5% (11.4% CAGR*)
9,650 • Expand partner model for key service offerings to accelerate growth
8,963
8,318
• Confusion created by thousands of security product vendors shifting market
6,085 6,797 7,186 7,708 from best-of-breed to architecture adoption, driving need for services
5,101
Market Risk
FY2014 FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 • Capturing Cisco’s fair share of IR and MDR market will require accelerated
GTM scale and velocity
• Security talent shortage continues, causing stress on growth in certain
Competitive Landscape markets, e.g. IR Talent in APJC
• Movement to software requires new skills in AS
• Large MSSPs are acquiring MDR providers, gaining entry into the market
• Low-cost MSSPs putting pressure on managed security margins, increasing
requests for low-margin deals
• Cisco security advisory services not seen in same bucket as Big 4 competitors,
highlighted as leaders in analyst reports (Accenture, Deloitte, etc.)
• Competitors increasingly blurring the line between product and service,
highlighting Cisco difficulties to transact with product/service
(Crowdstrike, Falcon, IR)

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