Amid the world’s current, rapid digitalization, it’s no surprise that there is a commensurate increase in demand for cybersecurity solutions, given that they play a major role in keeping the digital environment safe from hackers and other bad actors. Against this backdrop, we think it is wise to bet on Israel-based cybersecurity companies Check Point (CHKP) and Nice (NICE). Read on.As the COVID-19 pandemic accelerates the world’s pace of digital transformation, the threat of cyber-attacks is also increasing. The SolarWinds hack in December 2020, in which hackers broke into the systems of Fortune 500 companies and federal government agencies, highlighted the need for improved and advanced cybersecurity solutions to tackle growing cyber hacking incidents. According to Grand View Research, the global cyber security market is expected to grow at a CAGR of 10.9% over the next seven years.
Israel-based cybersecurity companies are known for their efficiency and global market dominance. In fact, in the first quarter of 2021, a number of start-ups in Israel’s cyber security sector raised a combined $1.5 billion in 17 separate financing deals. This placed Israel in second position in terms of investment in cybersecurity in the world.
As a result, we think it is wise to bet on Israel cybersecurity companies Check Point Software Technologies Ltd. (NASDAQ:CHKP) and NICE Ltd. (NICE). They are well positioned to capitalize on the industry tailwinds.