12:19 PM EDT, 06/26/2024 (MT Newswires) -- The adoption of cloud computing has increased cybersecurity risks, as applications now consist of third-party microservices, but this migration creates a growth opportunity for the cloud-native application protection platform, or CNAPP, market, BofA Securities said in a note Wednesday.

Traditional methods of firewalls, network segmentation and virtual private networks are no longer applicable to the new security risks brought by the adoption of cloud computing, necessitating new security architectures like microsegmentation and containerization, starting from application inception through production and run-time, according to the note.

A comprehensive CNAPP solution typically integrates cloud workload protection platform, cloud security posture management and cloud infrastructure entitlement management, and more recently, includes application and data security for end-to-end capabilities, BofA said.

The investment firm said it estimates the CNAPP market at $7.2 billion in 2023 with projected growth to $16.3 billion in 2027 driven by cloud adoption, digitalization and application modernization.

Palo Alto Networks' ( PANW ) Prisma Cloud and Wiz are key players in the CNAPP market, while established vendors like Crowdstrike ( CRWD ) , Zscaler ( ZS ) and Fortinet ( FTNT ) are increasingly entering the space, BofA said.

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