Dynamic application security testing or DAST is an automated source code analysis technique used to detect security vulnerabilities in web applications before they are deployed. It helps identify security flaws and vulnerabilities within an application and enables developers to fix them proactively before threat actors can exploit them. With the ever rising volume and sophistication of cyber threats, organizations across industries are increasingly focusing on application security testing to strengthen their security posture and prevent data breaches.

The global dynamic application security testing market is estimated to be valued at US$1.86 Bn in 2024 and is expected to exhibit a CAGR of 24.% over the forecast period 2023 to 2030.

DAST helps automatically test web applications for security issues, defects, or vulnerabilities during the development cycle itself. It saves time and resources by detecting mistakes early in development rather than waiting until later testing or post-deployment. With more organizations embracing DevSecOps and embedding security throughout the software development lifecycle (SDLC), the demand for DAST solutions is growing substantially.

Key Takeaways
Key players operating in the dynamic application security testing market are WhiteHat Security, Veracode, Synopsys Accenture, IBM Corporation, Micro Focus, Pradeo, Rapid7, Tieto, and Trustwave holdings, Inc. WhiteHat Security and Veracode currently dominate the market owing to their wide product portfolio and global customer base.

The growing adoption of cloud-based applications and shift towards remote working models amid the pandemic have further accelerated the demand for robust application security. According to a recent survey, over 90% of the organizations reported an increase in vulnerability findings after implementing DAST.

Emerging technologies like artificial intelligence, machine learning and blockchain are helping DAST tools perform more accurate and actionable tests. AI improves code analysis capabilities to detect even sophisticated vulnerabilities. Meanwhile, ML enables DAST to learn from past scans and detection patterns to continuously enhance results over time.

Market Trends
The dynamic application security testing market is increasingly moving towards as-a-service offerings to make DAST more accessible and cost-effective for organizations of all sizes. Leading vendors are focusing on cloud-based SaaS models which provide the flexibility and scalability that modern DevSecOps require. Another trend is the integration of DAST tools with various development phases including dependency scanning, code reviewing and CI/CD pipelines to streamline vulnerability management and quick remediation.

Market Opportunities
Growing security budgets among enterprises and increased compliance requirements across industries are driving greater investments in application security. Continuous technology advances also enable DAST vendors to offer highly automated, AI-powered testing that is more accurate and cost-effective than traditional methods. There is also an opportunity for DAST providers to offer customized solutions and professional services tailored for different enterprise sizes, sectors and geographic regions. Expanding into emerging markets will further fuel market growth over the coming years.

Impact of COVID-19 on Dynamic Application Security Testing Market

The COVID-19 pandemic hit the global economy severely causing lockdowns in various countries. This had a notable impact on the dynamic application security testing market as well. Companies shifted their focus from digital transformation initiatives to adjusting operations amid lockdowns and ensuring business continuity.

In the initial months of the pandemic, the market witnessed a decline in spending as enterprises focused on sustaining existing investments. However, as remote work became permanent for many companies, they increasingly adopted cloud-based applications and services to enable remote working. This boosted the need for dynamic application security testing to identify vulnerabilities in applications accessible from anywhere.

With a rise in cyberattacks exploiting the pandemic situation, organizations accelerated their application security efforts. They started conducting frequent security tests to secure applications from internal and external threats. Various government agencies also mandated stringent security compliance for apps dealing with sensitive data. This increased the demand for automated security testing tools that deliver continuous results.

The market is expected to grow at a higher rate post-COVID as digitalization becomes integral to business models. Spending on application security will rise continuously to address risks emerging from the expanding attack surface. Vendors are also expanding offerings around DevSecOps, integrated tooling, and centralized visibility to help enterprises navigate the new normal securely.

Geographical Regions with High Market Concentration

North America accounts for the largest share of the dynamic application security testing market in terms of value currently. This is attributed to early adoption of advanced security technologies among organizations and stringent regulatory standards for application security in the region.

Asia Pacific is considered the fastest growing regional market projected to expand at the highest CAGR during the forecast period. This can be accredited to increasing cyber threats, rising digital transformation initiatives of enterprises, and growing emphasis on compliance in countries like China, India, and Singapore.