What is Safety Tech?

Safety Tech is a coverall term for technology built to protect people while they are online (which, these days, is pretty much all the time). It is intended to protect users from “protect users from harmful content, contact or conduct” and to “facilitate safer online experiences” (quotes taken from Safety Tech Innovation Network).

The state of Safety Tech in 2023

As our lives become increasingly online –through social media, IoT (Internet of Things), AI, and so on– the need for Safety Tech has grown exponentially.

In 2023, the safety tech sector in the UK continued its upward trajectory, showing significant growth in various aspects, as revealed by a recent government report. In this article, we’ll look at the key facts of the 2023 report, and what it means for users and businesses alike.

Safety Tech: a growing sector

One of the most striking findings of the report is the increase in the number of UK companies offering safety tech products and services. As of the latest data, there are 133 firms operating in this sector, marking a 14% increase from the previous year. This growth reflects a maturation of the sector, driven by various factors such as global regulation implementation, diversification of products and services, and increased mergers and acquisitions activity.

Revenues and Employment Soaring

The financial performance of the safety tech sector also showed remarkable growth. Total revenues for the sector reached an impressive £456 million in the most recent financial year, representing a substantial 20% increase (£75 million) compared to the previous year. This upward trajectory indicates that the sector is well on its way to achieving its goal of hitting £1 billion in annual revenues by the mid-2020s, contingent on factors like access to finance and the implementation of legislation.

Employment within the safety tech sector has also flourished, with an estimated 3,300 Full-Time Equivalent (FTE) employees, marking a 16% increase (450 people) since the previous year. This growth not only underlines the sector's vitality but also its potential to create job opportunities.

Steadfast Investment Performance

Investment in the safety tech sector remained consistent with previous years. In 2022, the sector generated £64 million across 16 deals, up from £63 million in the previous year. This continued investment highlights the sector's resilience and growing appeal to major global organizations.

Furthermore, the report hints at the likelihood of even higher overall investment due to the various acquisitions and mergers that have happened recently. Some notable acquisitions include:

• Crisp by Kroll

• eSafe Global by Smoothwall (acquired by Family Zone)

• SuperAwesome by Epic Games

• Factmata by Cision

• Atomwide by AdEPT

• SpiritAI by Twitch

• Cubica by Chemring / Roke

These acquisitions demonstrate the increasing recognition of safety tech solutions as part of the digital landscape. Generations Z and Alpha have grown up online, and more and more companies are realising that they need to invest in those generations’ safety.

Government Support

The UK government, through the Department for Digital, Culture, Media and Sport (DSIT), has played an active role in supporting the safety tech sector. Several initiatives have been launched, including the Safety Tech Innovation Network and two Safety Tech Challenge Funds, with the latest fund focused on combatting child sexual abuse material (CSAM).

Additionally, the government has published a Media Literacy Action Plan, outlining its expanded efforts as part of the Media Literacy Strategy. This includes the establishment of the Media Literacy Programme Fund, providing grants to organizations for media literacy activities, including addressing disinformation.

Expanding the Definition of Safety Tech

Over time, the definition of safety tech has evolved to encompass a broader range of technologies and solutions. Although safety tech was originally centred around protecting users from harmful content, contact, or conduct, the sector now includes technologies that identify and remove fraudulent advertising and support individual privacy and ownership of personal data.

This expansion reflects the evolving landscape of digital safety and the need for comprehensive solutions.

The UK Safety Tech Market in 2023 and beyond

In summary, the safety tech sector in the UK is experiencing robust growth and maturation. With 133 dedicated safety tech businesses generating £456 million in annual revenues in 2022, the sector is on track to reach the coveted billion-pound milestone by the mid-2020s, assuming current growth trends continue.

Several factors underpin this growth, including continued support for exporting companies, the increasing importance of regulation, and the impending enforcement of the Online Safety Bill. As the digital world continues to evolve, safety tech remains a vital component in ensuring safe and secure online experiences for users worldwide.

Overall, the findings from this government report paint a promising picture for the safety tech sector in 2023 and beyond. As technology advances, the need for effective safety measures becomes more critical, and the UK safety tech sector is rising to meet this challenge head-on. With continued support, innovation, and collaboration, the sector is poised for even greater achievements in the years to come.