The potential addressable market and the overall level of investment in the sector are the number one requirement that Venture Capitalists (VC) need to see before investing in software firms rising in the Cyber/Information Security sector.
Overall, 2019 is looking to be a good year for Latin America
2018 had significant headwinds for the region: the electoral cycles in three large countries, Brazil, Colombia and Mexico; the economic adjustments in Argentina; and a transitional government of president Temer in Brazil after the impeachment of president Rousseff in 2016.
Traditionally, most Latin America Countries are not early adopters but when LATAM gets momentum, the market ignites.
During the last months, several countries in Latin America have been very active in their local cybersecurity regulations especially in the banking and financial industry. A mix of factors have developed a perfect storm: structural factors like the GDPR replication effect, serious hacking attacks to financial institutions in Mexico and Chile, and new regulations in countries like Brazil, Colombia, and Chile.