The Future of Cybersecurity: A Conversation with Oppenheimer Analyst Shaul Eyal

There’s no doubt that cybersecurity is a hot topic right now. From high profile breaches to behind-closed-doors meetings, everyone is trying to figure out the solution to this increasingly prevalent and damaging problem.
To cut through all the misinformation and get to the heart of the matter, INN reached out to an expert in the field of cybersecurity investing: Shaul Eyal, managing director at Oppenheimer. And so, without further ado, here’s the expert’s perspective on the future of cybersecurity.

Long history for cybersecurity

For many, it seems as though cybersecurity has just appeared on the scene, as major companies take public steps to embrace the sector. However, for those who have been closely monitoring the sector, it’s evident that cybersecurity’s roots go much farther back, for at least a decade. What’s changed in the interim is the quality of the technology being produced and, most significantly, the transforming attitudes of companies, governments, and organizations’ embrace of these technologies. Whereas once cybersecurity was an unexpected add-on to other tech solutions, now it is forming the core of these organizations’ technology blueprint.

As Eyal explains, “cybersecurity is now a critical element of the overall network or cloud. Some 10 years back, cybersecurity solutions were always the freebie,” as big companies like Cisco (NASDAQ:CSCO) and (NYSE:HPQ) would add in features like a firewall for free. Now, companies are asking “what do you have to offer us on the security side of things?” and they are willing to “tailor the rest of their network around this central cybersecurity concern.”
Eyal describes it with most personality when he says that “security was seen as the stepchild of the broader networking arena.” Today, it seems, cybersecurity is right at the centre of the family fold.

Future of cybersecurity tied to the mobile revolution

So what has driven this change? One of the factors that has made cybersecurity an increasing priority for companies is the mobile revolution. As Eyal phrases it, “one of the critical elements that has changed over the past decade is the mobile revolution.” Over the past five to six years, cyber attacks have become absolutely sophisticated, and the trend towards “bring your own device” has only created more targets for hackers. From an infrastructure perspective, the mobile revolution was one of the most significant shifts to emerge in the cybersecurity market.
However, there are other trends driving the market forward as well. For one, the rise of analytics and big data is making a huge impact on the market. The “shift to the cloud” also represents a major point of transition for the cybermarket. Eyal assures me that “the cloud presents a great opportunity for security companies” and “we will be seeing more services and solutions tailored around it.”

To hear more about these leading trends in cybersecurity, stay tuned for future interviews with Eyal. And, if you have any questions of your own about the cyber market, let us know. You can reach us here, in the comments section, or give us a shout on twitter at @INN_Technology.
Securities Disclosure: I, Morag McGreevey, hold no direct investment interest in any company mentioned in this article.