Automotive Cybersecurity Market By Offering (Hardware & Software), By Propulsion Type (Electric Vehicles, ICE Vehicles), By Application (ADAS & Safety, Powertrain Systems, Telematics, Infotainment, Body Control & Comfort, Communication Systems), By Security Type (Application Security, Wireless Network Security, End-point Security), By Vehicle Autonomy (Non-autonomous Vehicles, Semi-autonomous Vehicles, Autonomous Vehicles), By Vehicle Type (Passenger Vehicles, Light Commercial Vehicles, Heavy Commercial Vehicles), and By Region; Global Insights & Forecast (2024 – 2030)

The Automotive Cybersecurity Market is poised for significant growth as vehicles increasingly integrate advanced technologies, such as connected devices and autonomous systems. With the rise of the Internet of Things (IoT) in the automotive sector, the demand for robust cybersecurity measures is becoming critical to protect against potential cyber threats.

As per Intent Market Research, the Automotive Cybersecurity Market was valued at USD 2.4 billion in 2023 and will surpass USD 7.6 billion by 2030; growing at a CAGR of 17.9% during 2024 - 2030. This growth is driven by the growing incidence of cyberattacks, regulatory compliance requirements, and the increasing complexity of vehicle systems.

Hardware Segment is Largest Owing to Increased Threat Awareness

The hardware segment of the automotive cybersecurity market is the largest, driven by the heightened awareness of cyber threats in vehicles and the need for protective measures. This segment encompasses the physical devices designed to secure vehicle networks against unauthorized access and attacks. Manufacturers are increasingly integrating advanced hardware security solutions, such as intrusion detection systems (IDS) and secure communication protocols, to safeguard critical vehicle components. The rapid development of electric and connected vehicles amplifies the need for enhanced hardware security, as these vehicles rely heavily on electronic control units (ECUs) that can be vulnerable to cyberattacks.

Moreover, the proliferation of connected vehicles is leading to a growing demand for integrated hardware solutions that provide end-to-end security. For instance, hardware-based security features, such as secure boot and hardware security modules (HSMs), are becoming standard in modern vehicles. As automakers prioritize cybersecurity in their design and manufacturing processes, the hardware segment is expected to maintain its dominance in the automotive cybersecurity market, aligning with the industry's broader goal of ensuring vehicle safety and consumer trust.

Software Segment is Fastest Growing Owing to Rapid Technological Advancements

The software segment within the automotive cybersecurity market is experiencing the fastest growth, fueled by rapid technological advancements and the need for adaptive security solutions. As vehicles evolve into more connected and autonomous systems, the demand for sophisticated software solutions capable of identifying and mitigating potential cyber threats is surging. This segment includes a range of software products, such as endpoint protection, encryption, and security information and event management (SIEM) systems, which are critical for ensuring the integrity of vehicle networks.

One of the key drivers of growth in the software segment is the increasing complexity of vehicle software architecture. As vehicles incorporate advanced functionalities, such as over-the-air (OTA) updates and vehicle-to-everything (V2X) communication, the attack surface for cyber threats expands significantly. Consequently, the development of robust software solutions that can detect vulnerabilities in real time is paramount. Companies are increasingly investing in advanced analytics and machine learning algorithms to enhance their cybersecurity offerings, positioning the software segment for accelerated growth in the automotive cybersecurity market over the forecast period.

Network Security Segment is Largest Owing to Growing Connectivity

The network security segment stands as the largest within the automotive cybersecurity market, primarily driven by the escalating demand for secure vehicle-to-network communication. As vehicles become increasingly interconnected through various channels, including Wi-Fi, cellular networks, and V2X communication, the need for robust network security measures has become paramount. Network security solutions are designed to protect data transmission between vehicles and external systems, ensuring that sensitive information is not intercepted or tampered with during transit.

Furthermore, regulatory requirements and standards aimed at enhancing automotive cybersecurity are pushing manufacturers to prioritize network security in their designs. This focus on securing communication channels not only protects against potential cyber threats but also fosters consumer confidence in connected vehicle technologies. As the automotive industry continues to embrace connectivity, the network security segment is expected to maintain its leading position in the automotive cybersecurity market, reflecting the critical nature of safeguarding communication networks in modern vehicles.

Services Segment is Fastest Growing Owing to Demand for Managed Solutions

The services segment within the automotive cybersecurity market is witnessing rapid growth, driven by the increasing demand for managed cybersecurity solutions. As the complexity of automotive technologies escalates, many manufacturers are opting for outsourcing their cybersecurity needs to specialized service providers. This segment includes a range of services, such as consulting, risk assessment, and incident response, which are essential for maintaining the security posture of modern vehicles.

The rise of managed services is largely attributed to the shortage of in-house cybersecurity expertise among automotive manufacturers. By leveraging external specialists, companies can enhance their security strategies and stay ahead of evolving cyber threats. Additionally, regulatory compliance requirements necessitate ongoing monitoring and assessment of cybersecurity measures, further fueling the demand for professional services. As manufacturers recognize the importance of proactive cybersecurity management, the services segment is expected to experience substantial growth in the automotive cybersecurity market over the forecast period.

North America is Largest Region Owing to Technological Advancements

North America currently stands as the largest region in the automotive cybersecurity market, attributed to its robust automotive industry and rapid technological advancements. The region is home to many leading automotive manufacturers and technology companies that are actively investing in cybersecurity solutions to protect their connected and autonomous vehicles. High levels of consumer awareness regarding cybersecurity threats and stringent regulatory frameworks further enhance the demand for automotive cybersecurity solutions in this region.

Moreover, the United States is a significant hub for innovation in the automotive sector, with numerous startups and established companies focusing on developing cutting-edge cybersecurity technologies. The increasing number of cyberattacks targeting vehicles in North America has prompted manufacturers to prioritize the integration of advanced cybersecurity measures into their products. As a result, the North American region is expected to maintain its dominance in the automotive cybersecurity market, driving continued growth and investment in cybersecurity solutions.

Competitive Landscape and Leading Companies

The automotive cybersecurity market is characterized by intense competition, with numerous players vying for market share. Key companies include:

1. Harman International (a Samsung company) - A leading provider of connected car technology and cybersecurity solutions.
2. NXP Semiconductors - Offers a range of secure automotive solutions, including secure vehicle architecture and hardware security modules.
3. Argus Cyber Security - Specializes in end-to-end cybersecurity solutions for the automotive industry, focusing on vehicle networks.
4. Palo Alto Networks - Provides advanced cybersecurity solutions that address the unique challenges of connected vehicles.
5. Symantec (part of Broadcom Inc.) - Offers a range of cybersecurity solutions, including endpoint protection for automotive systems.
6. McAfee - Provides comprehensive cybersecurity solutions that cater to the automotive sector's evolving needs.
7. Cisco Systems - Focuses on network security solutions that protect communication channels in connected vehicles.
8. Fortinet - Offers a wide range of cybersecurity products, including solutions tailored for the automotive industry.
9. Kaspersky Lab - Delivers cybersecurity solutions that protect vehicles from evolving cyber threats.
10. Wind River - Specializes in cybersecurity solutions for embedded systems in the automotive sector.

Report Objectives:

The report will help you answer some of the most critical questions in the Automotive Cybersecurity Market. A few of them are as follows:

1. What are the key drivers, restraints, opportunities, and challenges influencing the market growth?
2. What are the prevailing technology trends in the automotive cybersecurity market?
3. What is the size of the automotive cybersecurity market based on segments, sub-segments, and regions?
4. What is the size of different market segments across key regions: North America, Europe, Asia Pacific, Latin America, Middle East & Africa?
5. What are the market opportunities for stakeholders after analyzing key market trends?
6. Who are the leading market players and what are their market share and core competencies?
7. What is the degree of competition in the market and what are the key growth strategies adopted by leading players?
8. What is the competitive landscape of the market, including market share analysis, revenue analysis, and a ranking of key players?

Report Scope: