Industrial Cybersecurity Market by Component (Solutions, Services), Security Type (Endpoint Security, Network Security), End User (Industrial Manufacturing, Transportation & Logistics)— Global Forecasts to 2030

Industrial Cybersecurity Market Size & Forecast

The Industrial Cybersecurity Market is expected to reach $49.53 billion by 2030, at a CAGR of 14.8% during the forecast period 2023–2030. The emergence of disruptive digital technologies and the increasing frequency & sophistication of cyberattacks are the major factors driving the growth of this market. However, the shortage of trained professionals restrains the growth of this market. Additionally, the growing need for cloud-based security solutions among SMEs and the increasing use of Artificial Intelligence, Machine Learning, and Blockchain technologies for cyber defense are expected to offer significant growth opportunities for this market. However, the increasing use of mobile devices as an attack vector and the vulnerability issues with IoT devices are major challenges for market growth. Additionally, the consistently rising adoption of cloud technologies and industrial cybersecurity-as-a-service are prominent trends in the industrial cybersecurity market.

Impact of COVID-19 on the Industrial Cybersecurity Market

Government bodies worldwide imposed restrictions during the COVID-19 pandemic, encouraging employees to work from home. The combat measures like complete lockdowns and quarantine have adversely impacted many industries, including a portion of the IT security industry.

The COVID-19 pandemic affected the industrial sector due to its impact on manufacturing operations. With the increasing adoption of advanced technologies, such as AI, machine learning, and IoT, manufacturing is becoming smarter through technology and connected devices. The heavy reliance on connected devices has made organizations more vulnerable to DDOS and phishing attacks, data theft, ransomware attacks, and data breaches. Organizations have started focusing on monitoring emails and active directories for anomalous logins, reviewing tactical actions, and implementing key security controls.

Several leading cybersecurity players leveraged the COVID-19 crisis as a new opportunity to restructure and revisit their existing strategies and develop advanced portfolios. For instance, in 2020, Check Point Software Technologies Ltd. (Israel) launched Check Point R81, its next-generation unified cyber security platform, to provide autonomous threat prevention designed for the entire distributed enterprise. Companies are prepared to innovate solutions faster due to increased cyberattacks during the pandemic. Thus, the rising demand for cybersecurity solutions in the industrial sector is expected to create significant opportunities for the growth of the industrial cybersecurity market in the coming years.

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The Emergence of Disruptive Digital Technologies Drive the Growth of the Industrial Cybersecurity Market

Cybersecurity has become a major concern for organizations in the industrial sector as technological advancements have increased cyberattacks. The industrial sector is becoming increasingly vulnerable to cyber risks due to the growing adoption of advanced technologies, including machine learning, data analytics, robotics, and the IIoT. Government bodies and various organizations are undertaking initiatives to promote the adoption of advanced technologies in the industrial sector. For instance, in 2022, the UAE’s Ministry of Industry and Advanced Technology (MoIAT) and EDGE Group PJSC (UAE) signed a memorandum of understanding (MoU) to establish the UAE’s first Industry 4.0 Enablement Centre to promote the adoption of Industry 4.0 technologies across the manufacturing sector. Digital transformation increases productivity, improves efficiency, and reduces production costs. However, it also increases the scope for cybercriminals to take advantage of unguarded networks and systems.

According to Trend Micro Incorporated (Japan), in 2020, 61% of manufacturers experienced cybersecurity incidents in their smart factories. These attacks disrupted manufacturing processes, leading to production delays and irreversible loss of capital and critical & confidential data. Thus, the increased risk of cyberattack with the emergence of disruptive digital technologies has boosted the need for real-time security monitoring, access control, and surveillance in manufacturing facilities, driving the adoption of cybersecurity solutions in the industrial sector.

Key Findings in the Global Industrial Cybersecurity Market Study:

In 2023, the Solutions Segment to Account for the Largest Share

Based on component, the global industrial cybersecurity market is segmented into solutions and services. In 2023, the solutions segment is expected to account for a larger share of the global industrial cybersecurity market. The large market share of this segment is attributed to the increasing concerns regarding data security and privacy and the consistent efforts by shareholders in the industrial sector to improve efficiency, reduce costs, and increase security. Also, the segment is expected to grow at a higher CAGR during the forecast period.

Endpoint Security Segment to Grow at Highest CAGR During the Forecast Period

Based on security type, the global industrial cybersecurity market is segmented into network security, application security, cloud security, endpoint security, and other security types. In 2023, the endpoint security segment is expected to account for the largest share of the global industrial cybersecurity market. Additionally, this segment is expected to register the highest CAGR during the forecast period. The large market share of this segment is attributed to the exponential rise in the number of endpoint devices and rising demand for endpoint security solutions to secure various enterprise networks.

Industrial Manufacturing Segment Dominated the Industrial Cybersecurity Market

Based on end user, the global industrial cybersecurity market is segmented into industrial manufacturing, energy & utilities, transportation & logistics, and other end users. In 2023, the industrial manufacturing segment is expected to account for the largest share of the global industrial cybersecurity market. The large market share of this segment is attributed to the rising demand for real-time security monitoring from manufacturers, growing cybersecurity incidents, and the increasing use of smart devices.

Based on geography, the market is broadly segmented into North America, Europe, Asia-Pacific, Latin America, and the Middle East & Africa. In 2023, North America is expected account for the largest share of the global industrial cybersecurity market. The large market share of this segment is attributed to the increasing government initiatives, growing advanced technologies in the region, and rising cyber-attacks in the industrial sector.

Industrial Cybersecurity Market: Competitive Analysis

The report includes a competitive landscape based on an extensive assessment of the key strategic developments adopted by the leading market participants in the industrial cybersecurity market over the last three years. The key players profiled in the global industrial cybersecurity market are e Fortinet, Inc. (U.S.), Cisco Systems, Inc. (U.S.), Juniper Networks, Inc. (U.S.), Palo Alto Networks, Inc. (U.S.), IBM Corporation (U.S.), Check Point Software Technologies Ltd. (Israel), F5, Inc. (U.S.), Splunk, Inc. (U.S.), Mandiant, Inc. (U.S.), Broadcom, Inc. (U.S.), Oracle Corporation (U.S.), Microsoft Corporation (U.S.), Intel Corporation (U.S.), Imperva, Inc. (U.S.), Cyberark Software Ltd. (U.S.), and RSA Security LLC (U.S.).

Scope of the Report:

Industrial Cybersecurity Market, by Component           

• Solutions 
  • Encryption
  • Data Loss Prevention
  • Unified Threat Management
  • Firewalls
  • Antivirus/Antimalware
  • Intrusion Detection/Prevention Systems
  • Security & Vulnerability Management
  • Disaster Recovery
  • Web Filtering
  • Identity & Access Management
  • Risk & Compliance Management
  • DDS Management
• Services 
  • Professional Services
  • Managed Services

Industrial Cybersecurity Market, by Security Type                    

• Network Security
• Application Security
• Cloud Security
• Endpoint Security
• Other Security Types

Industrial Cybersecurity Market, by Deployment Mode

• On-premise Deployment
• Cloud-based Deployment

Industrial Cybersecurity Market, by End User

• Industrial Manufacturing 
  • Automotive
  • Aerospace & Defense
  • Electronics & Electrical
  • Chemicals
  • Heavy Metals & Machinery
  • FMCG
  • Other Manufacturing Industries
• Energy & Utilities
• Transportation & Logistics
• Other End Users                   

Industrial Cybersecurity Market, by Geography

• North America
  • U.S.
  • Canada
• Europe 
  • U.K.
  • Germany
  • France
  • Italy
  • Spain
  • Rest of Europe
• Asia-Pacific 
  • China
  • South Korea
  • India
  • Japan
  • Taiwan
  • Singapore
  • Rest of Asia-Pacific
• Latin America 
  • Brazil
  • Mexico
  • Rest of Latin America
• The Middle East and Africa 
  • Israel
  • UAE
  • Rest of MEA

Key questions answered in the report: