Penetration Testing as-a-Service Market Size - By Services, By Deployment Model, By Pricing Model, By End User Industry, Analysis, Share & Growth Forecast, 2024 - 2032

Penetration Testing as-a-Service Market Size

The global penetration testing as-a-service market size was valued at USD 1.6 billion in 2023 and is expected to grow at a CAGR of 17.6% between 2024 and 2032. Organizations increasingly seek comprehensive security assessments due to evolving cyber threats, including advanced persistent threats (APTs), sophisticated malware, and social engineering tactics. For instance, according to Statista, in 2023, the United States ranked third globally for the share of companies reporting sensitive information losses.
 

In 2022, 1,802 data compromise incidents affected approximately 422 million individuals in the U.S. As attackers enhance their methods and tools, businesses require regular penetration testing to identify vulnerabilities in advance. The rise in state-sponsored attacks and cybercrime syndicates has amplified the demand for professional penetration testing services that simulate real-world attacks and provide actionable security insights.
 

Regulations like GDPR, HIPAA, PCI DSS, and ISO 27001 require regular security assessments, including penetration testing. Organizations must comply to avoid fines and reputational damage. Penetration testing-as-a-service offers a cost-effective way to meet these requirements and maintain security standards. This model supports regular testing schedules aligned with compliance audits. This approach not only ensures compliance and mitigates potential fines and reputational risks but also promotes continuous improvement in cybersecurity. PTaaS enables organizations to align testing schedules with compliance audits, ensuring robust and up-to-date security measures, thereby enhancing their overall security posture in a complex threat landscape.
 

Penetration Testing as-a-Service Market Trends

As organizations transition to cloud environments, the demand for cloud-specific penetration testing services is rising. Pen testing providers are developing specialized methodologies and tools for cloud infrastructures, including multi-cloud networking, containerized applications, and serverless architectures. In March 2024, Pentera launched Pentera Cloud, expanding its automated security validation platform, which includes Pentera Core and Surface. Pentera Cloud is the first software to offer on-demand security testing and resilience assessments for corporate cloud accounts against cloud-native threats.
 

This addition enables security teams to reduce exposure to attacks across on-premises, external, and cloud environments. This trend is driven by unique security challenges such as misconfigurations, identity management issues, and API vulnerabilities. Service providers are investing in cloud certifications and expertise to simulate sophisticated attacks on cloud-native applications and infrastructure.
 

As organizations adopt DevSecOps practices, penetration testing services must integrate seamlessly into rapid development cycles. Traditional point-in-time assessments do not align with continuous integration and deployment pipelines. Service providers need to adapt by offering more frequent, automated testing while maintaining thoroughness. This requires significant investment in automation tools and APIs for integration, as well as rethinking service delivery models to provide continuous assessment capabilities without compromising security testing depth.
 

Penetration Testing as-a-Service Market Analysis

Based on services, the market is segmented into network penetration testing, web applications, mobile applications, social engineering testing, wireless network testing, and others. In 2023, the network penetration testing segment accounted for over 25% of the penetration testing as-a-service market share and is expected to exceed USD 1.5 billion by 2032. Network penetration testing now incorporates real-world adversary simulation based on current threat intelligence. PTaaS providers design test scenarios that mirror the tactics, techniques, and procedures (TTPs) of actual threat actors. For instance, in May 2024, FORTBRIDGE introduces advanced pen-testing services, simulating real-world cyber-attacks.
 

These services are crucial for identifying and addressing vulnerabilities in digital infrastructure. Senior consultants conduct thorough assessments, offering insights into weaknesses in software, hardware, and networks with the help of these new services. This ensures network security assessments reflect realistic attack scenarios, helping organizations prepare for genuine threats. Testing methodologies are regularly updated with emerging threat intelligence, allowing organizations to validate their defense against the latest attack methods and tools.
 

The industry is transitioning from periodic testing to continuous network vulnerability assessment. PTaaS platforms now integrate automated tools for real-time monitoring and testing of network infrastructure. This enables organizations to identify and remediate vulnerabilities as they emerge, rather than waiting for scheduled assessments. Advanced automation includes intelligent scanning that adapts to network changes, automated exploit verification, and continuous validation of security controls.
 

Based on the deployment model, the penetration testing as-a-service market is divided into cloud-based, on-premises, and hybrid. The cloud-based segment held around 65% of the market share in 2023. Organizations adopting DevOps and agile methodologies are shifting towards continuous penetration testing instead of periodic assessments. Cloud platforms now enable automated, ongoing security testing integrated with CI/CD pipelines. This approach allows real-time vulnerability detection with each code deployment, reducing exposure to threats.

Companies increasingly use AI-driven tools to automatically initiate tests upon detecting changes in cloud infrastructure, ensuring constant security validation without manual intervention. Additionally, with the rise of microservices architectures and API-driven applications in cloud environments, there is a growing focus on API security testing. Cloud-based penetration testing services now offer specialized tools and methodologies to identify vulnerabilities in API endpoints, authentication mechanisms, and data exchanges. This trend recognizes that APIs are a significant attack surface in modern cloud applications, and traditional penetration testing methods may not adequately address API-specific security concerns.
 

The U.S. is considered the dominating region in the North American penetration testing as-a-service market and is expected to exceed USD 2 billion by 2032. In the U.S., organizations are transitioning from periodic to continuous penetration testing services. They now prefer platforms offering ongoing vulnerability assessments due to the evolving threat landscape and the need for real-time security validation. Continuous testing enables companies to address vulnerabilities as they arise, integrating security testing into the CI/CD pipeline, particularly in DevSecOps environments.
 

European businesses operating across multiple EU countries are increasingly seeking coordinated penetration testing services for cross-border operations. These services ensure compliance with various national regulations while maintaining consistent security standards. Providers are enhancing their capabilities to manage complex, multi-jurisdictional projects, involving teams from different countries and adhering to diverse national standards.
 

The Asia Pacific region's diverse regulatory landscape is driving the development of adaptable penetration testing services. Providers are creating flexible frameworks to meet different national requirements, such as China's cybersecurity law and Japan's APPI. This adaptability is crucial for multinational companies to ensure compliance across multiple Asian countries while maintaining consistent security standards.
 

In the UAE, the focus on securing critical national infrastructure is leading to specialized penetration testing services for sectors like oil and gas, utilities, and government services. These services target operational technology (OT) systems, SCADA networks, and industrial control systems. Providers are developing expertise to address the unique security challenges of industrial environments and the specific threats to critical infrastructure in the Middle East.
 

Penetration Testing as-a-Service Market Share

IBM Corporation, Qualys, Inc., and HackerOne collectively held a substantial market share of over 10% in the penetration testing as-a-service industry in 2023. IBM plans to integrate its AI-driven Watson platform and cloud infrastructure with PTaaS for automated, real-time threat detection and remediation. This AI-powered penetration testing will enhance IBM's speed and accuracy, particularly benefiting large enterprises. By bundling PTaaS with its extensive security services like IBM Security QRadar and Guardium, IBM aims to offer comprehensive end-to-end security solutions for enterprise clients.
 

Qualys leverages its cloud-based platform by combining continuous vulnerability assessment tools with penetration testing, providing a holistic view of enterprise security risks. This "always-on" approach, supported by its cloud infrastructure, extends security assessments beyond periodic tests. With scalable pricing models, including subscriptions and pay-per-test options, Qualys targets SME seeking flexible, cost-effective security solutions without significant internal resources.
 

HackerOne continues to emphasize its crowdsourced testing model, utilizing ethical hackers for thorough real-world penetration tests. This approach identifies hidden vulnerabilities that automated tools may miss. By offering tailored bug bounty programs, HackerOne enables organizations in high-stakes sectors like financial services, SaaS platforms, and critical infrastructure to incentivize ethical hackers to find vulnerabilities.
 

Penetration Testing As-a-Service Market Companies

Major players operating in the penetration testing as-a-service industry are:

• Appsecure Security
• Armor Defense Inc.
• ASTRA IT, Inc. 
• HackerOne
• IBM Corporation
• Qualys, Inc. 
• Rapid7
• SecureWorks
• Tenable
• Trustwave Holdings, Inc.
   

Penetration Testing as-a-Service Industry News

• In February 2024, Bishop Fox introduced Cosmos Application Penetration Testing (CAPT), a fully managed service to assess the strength and integrity of critical custom applications. CAPT combines expert-driven testing with on-demand, technology-enabled assessments. The service provides authenticated testing through a user-friendly interface, identifying high-risk vulnerabilities, offering real-time insights, and ensuring continuous threat monitoring.
   
• In September 2023, BlueVoyant formed a strategic partnership with Qualys, a leading provider of cloud-based IT security and compliance solutions. The initiative, VISIBL for Qualys, integrates Qualys' Vulnerability Management Detection and Response (VMDR) with Qualys TotalCloud. This collaboration aims to enhance security and compliance for organizations' on-premises, hybrid-cloud, and cloud-native environments, protecting against cyber threats and ensuring regulatory adherence.
   

The penetration testing as-a-service market research report includes in-depth coverage of the industry with estimates & forecasts in terms of revenue ($ Mn/Bn) from 2021 to 2032, for the following segments:

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Market, By Services

• Network penetration testing
• Web application
• Mobile application
• Social engineering testing
  • Vulnerability assessment
  • Compliance testing
• Wireless network testing

Market, By Deployment Model

• Cloud-based
• On-premises
• Hybrid

Market, By Pricing Model

• Subscription-based
• Project-based
• Pay-Per-Test

Market, By End User Industry

• Healthcare
• Financial services
• Retail and E-commerce
• Manufacturing
• Technology and telecom
• Government and public sector
• Others

The above information is provided for the following regions and countries:

• North America
  • U.S.
  • Canada
• Europe
  • UK
  • Germany
  • France
  • Italy
  • Spain
  • Russia
  • Nordics
• Asia Pacific
  • China
  • India
  • Japan
  • South Korea
  • ANZ
  • Southeast Asia
• Latin America
  • Brazil
  • Mexico
  • Argentina
• MEA
  • UAE
  • Saudi Arabia
  • South Africa