Cyber Security Cloud

Basic Information

Stock Code
4493
Industry
Information and Communications
Category Detail
Systems & Software
Prefecture
Tokyo
Establishment Year
August 2010
Listing Year
March 2020
Official Website
https://www.cscloud.co.jp/
TSE Information
TSE Information
Yahoo! Finance
Yahoo! Finance
Other Companies
FRONTEO, Digital Arts, Soliton Systems, Zenmu Tech, FFRI, JIG-SAW, SegWe Group, BBSec, Tobira Systems, Cybertrust, Trend Micro

Overview

Cyber Security Cloud is a leading company in the information and communications industry founded in 2010, featuring the top domestic market share in cloud-based Web security services and global expansion.

Current Situation

Cyber Security Cloud recorded net sales of approximately ¥3.858 billion, operating profit of approximately ¥832.85 million, and net profit of approximately ¥575.10 million for the fiscal year ending December 2024. Its flagship cloud-based Web application security service 'KOGEKI SHADAN-KUN' holds the top domestic market share and is adopted by over 20,000 sites. It has also expanded globally, with users in more than 100 countries. In recent years, it has launched AI-powered WAF automatic operation and cloud security managed services, accumulating track records such as contracts with the Digital Agency. Technological superiority is secured through patent acquisitions and international standard certifications. To diversify its business, it also offers vulnerability assessments and privacy consent management tools. By establishing subsidiaries and through acquisitions, it has strengthened overseas bases and technological capabilities, aiming for sustainable growth leveraging the expanding cloud security market.

Trivia

Interesting Facts

  • Holds top share with over 20,000 deployed sites in Japan's cloud WAF market
  • Acquired patent for 'firewall device' in 2018 (Patent No. 6375047)
  • Global company with services utilized in over 100 countries worldwide
  • Founded Cybersecurity Alliance to lead industry collaboration
  • Continuously focuses on integrating AI technology and threat intelligence
  • Listed on Tokyo Stock Exchange Growth Market in 2020, achieving rapid growth post-IPO
  • Its 'KOGEKI SHADAN-KUN' boasts No. 1 sales in Japan's cloud WAF market
  • Established subsidiaries in the U.S. and Singapore for aggressive global expansion
  • 'SIDfm' vulnerability information management solution holds top domestic share
  • High reliability demonstrated by securing Digital Agency government cloud projects

Hidden Connections

  • Provides WAF operation rule optimization for major cloud providers like AWS, Azure, and Google Cloud
  • Cybersecurity Alliance founding significantly contributes to industry standardization and self-regulation
  • Serves as a hub for company collaborations, deploying Japanese technology globally through multiple overseas subsidiaries
  • Patented proprietary technologies differentiate from competitors and create barriers to new entrants
  • Expanded business scope across security fields by acquiring vulnerability assessment business
  • Provides fully managed cloud security services to key domestic and international customers
  • Early focus on AI and cloud technology integration, securing technological leadership in the industry

Future Outlook

Growth Drivers

  • Increasing demand for Web security amid cloud adoption growth
  • Evolution of high-precision attack detection via AI utilization
  • Enhanced brand recognition and strengthened overseas expansion in global markets
  • Rising needs for countermeasures against increasingly complex cyber attacks
  • Security investments linked to accelerating digital transformation
  • Government and public sector security enhancement initiatives
  • Stable revenue from established subscription model
  • Aggressive investments in new business and service areas

Strategic Goals

  • Achieve 70% share in Japan's cloud security market
  • Secure over 30% revenue ratio from overseas
  • Develop numerous new security services leveraging AI technology
  • Maintain leadership in industry-standard cybersecurity alliance
  • Establish sustainable information security governance framework
  • Enrich service lineup to meet diverse customer needs
  • Expand low-environmental-impact operations and social contributions
  • Strengthen talent development to promote technology succession domestically and internationally

Business Segments

Web Security Services

Overview
Provides a variety of security services aimed at ensuring the safety of websites and cloud resources.
Competitiveness
Effectively delivers attack detection and defense measures using advanced technology and the latest AI.
Customers
  • IT companies
  • Financial institutions
  • Government agencies
  • Retail businesses
  • Service industries
  • Medical institutions
  • Educational institutions
  • Startups
  • SMEs
  • Large enterprises
Products
  • Cloud-based WAF
  • WAF automatic operation service
  • Vulnerability information management service
  • Vulnerability assessment
  • Fully managed security
  • Privacy consent management tool

Global Expansion and Overseas Subsidiary Operations

Overview
Expands security services in overseas markets utilizing U.S. and Singapore subsidiaries.
Competitiveness
Global intelligence deployment and multilingual support.
Customers
  • Overseas IT companies
  • Multinational corporations
  • Overseas government agencies
  • Cloud providers
  • Overseas partner companies
Products
  • Cloud-based WAF
  • Automatic operation service
  • Global security support

R&D and AI Technology Development

Overview
Promotes security R&D using AI and continuous product enhancements.
Competitiveness
In-house developed AI and extensive cyber threat data utilization.
Customers
  • Internal
  • Partner companies
  • Academic institutions
  • Startups
Products
  • Security AI algorithms
  • Attack pattern analysis tools
  • Automated vulnerability detection systems

Competitive Advantage

Strengths

  • Top domestic market share in cloud-based Web security
  • Attack detection and defense powered by AI technology
  • Multi-regional responsiveness through global expansion
  • Technological reliability backed by multiple patents and ISO certifications
  • Diverse service lineup
  • High customer satisfaction and adoption record
  • Active overseas subsidiary establishment for market expansion
  • Cybersecurity alliance founding and industry contributions
  • High employee technical expertise and R&D capabilities
  • Robust subscription model

Competitive Advantages

  • Largest number of deployed sites in Japan's cloud WAF market
  • AI-based WAF automatic operation reduces operational costs
  • Multilingual support system accommodating domestic and international customers
  • Differentiation through patented advanced defense rule technology
  • Diverse security services aligned with market needs
  • Rapid global responsiveness via overseas subsidiaries
  • Provision of fully managed cloud environment security services
  • Continuous technological innovation and new service launches
  • Strong partnerships and alliance activities
  • Superior compliance framework for regulatory adherence

Threats

  • Accelerating technological innovations by domestic and international competitors
  • Sophistication and diversification of cyber attacks
  • Changes in laws, regulations, and privacy protections
  • Cloud vendors' enhancement of proprietary security
  • Intensifying price competition from new entrants
  • Global instability and economic uncertainties
  • Rapid increase in cybersecurity risks
  • Fluctuations in customer security investment awareness

Innovations

2024: CloudFastener Launch

Overview
Launched fully managed service integrating multiple AWS security services.
Impact
Secured Digital Agency contracts, enhancing reliability

2024: Establishment of Generative Technology Co., Ltd.

Overview
Established new subsidiary to strengthen R&D integrating AI technology and security.
Impact
Contributes to product diversification through AI utilization

2023: Cybersecurity Alliance Incorporated as General Incorporated Association

Overview
Incorporated to strengthen cross-industry collaboration and boost market competitiveness.
Impact
Enhanced industry influence and credibility

2022: U.S. Subsidiary Relocation for Global Expansion

Overview
Relocated U.S. subsidiary base to Los Angeles to accelerate global operations.
Impact
Expanded overseas market and improved operational efficiency

2021: WafCharm AWS Edition Launch for AWS Users

Overview
Launched AWS WAF automatic operation service, achieving No. 1 domestic adoption.
Impact
Expanded user base and improved satisfaction

Sustainability

  • Acquired international standard certification for information security management (ISO/IEC 27001)
  • Established and promoted inter-company cybersecurity alliance for overall industry health
  • Promoted environmentally considerate office operations at global bases
  • Actively conducted information security training and awareness activities
  • Contributed cyber attack research and preventive measures back to society