Connected Car Cybersecurity Market By Cybersecurity Technology (Endpoint Security, Network Security), By Application (Vehicle Security, Diagnostics Systems), By End User (Automotive OEMs, Aftermarket Service Providers, Government and Regulatory Bodies), and By Region; Global Insights & Forecast (2024 – 2030)

As per Intent Market Research, the Connected Car Cybersecurity Market was valued at USD 6.3 billion in 2023 and will surpass USD 11.3 billion by 2030; growing at a CAGR of 8.7% during 2024 - 2030.

The connected car cybersecurity market has emerged as a critical sector in the automotive industry as vehicles become increasingly digitized. With the rising integration of internet-enabled systems and the growing demand for autonomous driving technologies, the need to protect vehicles from cyber threats has never been more urgent. Cybersecurity in connected cars includes safeguarding in-vehicle networks, infotainment systems, and telematics from cyberattacks that could compromise safety, privacy, and vehicle control. The expansion of connected vehicle fleets, along with increasing regulatory pressures, has further intensified the demand for robust cybersecurity solutions.

This market is expected to grow rapidly, fueled by rising concerns over data privacy, vehicle hacking, and the vulnerabilities of onboard systems. The increase in vehicle-to-everything (V2X) communications and the proliferation of over-the-air (OTA) updates also add layers of complexity, requiring sophisticated cybersecurity measures. As the automotive industry embraces digital transformation, automotive manufacturers and service providers are investing heavily in cybersecurity to ensure compliance and protect their consumers. This evolution underscores the importance of cybersecurity in maintaining the safety, functionality, and trustworthiness of connected vehicles.

Endpoint Security Technology Is the Largest Subsegment Owing to Growing Threats

Among the various cybersecurity technologies in the connected car market, endpoint security stands out as the largest and most critical subsegment. Endpoint security solutions are designed to protect the devices that interact with the car’s networks, such as mobile devices, onboard sensors, and telematics units. As more vehicles adopt IoT technologies, the number of entry points for cyber threats has risen significantly, making endpoint security essential in safeguarding connected cars. These solutions focus on preventing unauthorized access, malware attacks, and data breaches that could exploit vulnerabilities in a vehicle’s system.

The growing reliance on connected infrastructure in vehicles has led to the increased deployment of endpoint security solutions to ensure that every device interacting with the vehicle network is secure. With cyberattacks targeting critical vehicle systems such as braking and steering mechanisms, endpoint security is no longer optional but a necessity. As a result, leading automotive manufacturers and third-party service providers are integrating advanced endpoint security solutions into their systems to mitigate the risks of cyber threats. The adoption of these solutions is expected to continue growing as the automotive sector moves toward greater connectivity and automation.

Vehicle Security Applications Drive Market Growth with Real-Time Threat Detection

Vehicle security applications are a vital aspect of the connected car cybersecurity market, with real-time threat detection standing out as a key driver of market expansion. As vehicles become more connected, they increasingly become targets for cyberattacks, including hacking, unauthorized data access, and even remote control of vehicle systems. Real-time threat detection solutions continuously monitor the vehicle’s networks for potential security breaches and offer immediate alerts or responses to mitigate the risk of an attack. This proactive approach to vehicle security is becoming an essential part of the connected car ecosystem, ensuring that vehicles remain safe and secure throughout their operational life.

The increasing complexity of vehicle systems, such as autonomous driving capabilities and advanced infotainment, has further amplified the need for real-time threat detection. As a result, automotive OEMs are prioritizing the integration of such applications into their vehicles to protect both consumers and their reputations. With growing regulatory pressure and consumer demand for secure connected vehicles, the vehicle security application segment will continue to expand rapidly, ensuring that cybersecurity is built into the core of vehicle design and operation.

Automotive OEMs Lead the Market as Primary End Users of Cybersecurity Solutions

In the connected car cybersecurity market, automotive OEMs (original equipment manufacturers) represent the largest end-user segment. With the increasing adoption of connected technologies, automotive OEMs are at the forefront of deploying cybersecurity solutions to protect vehicles and ensure consumer safety. The need to integrate cybersecurity measures into the design and manufacturing processes of vehicles has become more pronounced due to the growing number of cybersecurity threats facing connected vehicles. Automotive OEMs are working closely with cybersecurity technology providers to develop secure in-vehicle systems, telematics, and communication networks.

OEMs play a crucial role in shaping the cybersecurity landscape of the automotive industry by driving the integration of advanced security solutions from the production line to the consumer’s vehicle. These manufacturers are also responding to increasing regulatory pressure to comply with safety standards and secure customer data. As vehicles become more autonomous and connected, OEMs will continue to lead the charge in ensuring that their vehicles remain secure, making them a key player in the growth of the connected car cybersecurity market.

North America Is the Largest Region Driven by Early Adoption and Regulatory Pressures

In the connected car cybersecurity market, North America holds the largest share due to the region's advanced automotive industry, high rates of vehicle connectivity, and stringent cybersecurity regulations. The United States, in particular, is home to numerous automotive OEMs, technology providers, and regulatory bodies, which all contribute to the region's dominance. Moreover, North American manufacturers have been early adopters of advanced driver-assistance systems (ADAS) and autonomous driving technologies, further increasing the need for effective cybersecurity solutions. Regulatory bodies such as the National Highway Traffic Safety Administration (NHTSA) are also playing a significant role in mandating robust security measures for connected vehicles.

The presence of well-established cybersecurity standards and frameworks in North America has set a benchmark for other regions to follow. As the demand for connected and autonomous vehicles grows, North America’s established automotive market and the region’s focus on safety and privacy protection will continue to drive the expansion of connected car cybersecurity solutions. This region is expected to maintain a strong market position, although growth in other regions, particularly Europe and Asia Pacific, is catching up quickly.

Leading Companies and Competitive Landscape

The connected car cybersecurity market is competitive and features a wide array of players, including technology providers, automotive OEMs, and specialized cybersecurity firms. Key players such as Harman International, Bosch, and Continental are investing heavily in cybersecurity technologies for vehicles, focusing on offering secure telematics systems, intrusion detection solutions, and robust endpoint security features. Additionally, companies like McAfee, Trend Micro, and Symantec are leveraging their cybersecurity expertise to cater to the automotive sector with specialized solutions for connected cars.

The competitive landscape is shaped by strategic partnerships, acquisitions, and collaborations between automotive manufacturers and cybersecurity providers. The integration of cybersecurity into the vehicle design process is becoming increasingly important, and as a result, many leading companies are collaborating to build comprehensive security platforms that address the diverse range of cybersecurity threats connected vehicles face. As the market continues to grow, companies with advanced technological capabilities and strong ties to the automotive industry will be well-positioned to capture a significant share of the market.

Recent Developments:

• In October 2024, Harman International launched a new AI-powered cybersecurity solution for connected vehicles, offering real-time threat detection and secure data transmission.
• In September 2024, Karamba Security announced a partnership with major automotive OEMs to integrate its cybersecurity platform into their connected car systems, focusing on ECU protection and real-time threat mitigation.
• In August 2024, NXP Semiconductors introduced a new chipset designed to enhance V2X security in connected cars, enabling secure communication between vehicles and infrastructure.
• In July 2024, Blackberry QNX announced that it had secured a multi-year contract with a leading automaker to provide cybersecurity solutions for their next-generation connected vehicles.
• In June 2024, Argus Cyber Security (part of Continental AG) launched a new vehicle intrusion detection system, designed to prevent unauthorized access to in-vehicle networks and critical systems.

List of Leading Companies:

• Harman International (Samsung Electronics)
• Argus Cyber Security (a part of Continental AG)
• Guardtime
• Karamba Security
• NXP Semiconductors
• Blackberry QNX
• Cisco Systems, Inc.
• Infineon Technologies AG
• McAfee, LLC
• Palo Alto Networks, Inc.
• V2X Solutions (Veoneer)
• Irdeto
• Trend Micro Inc.
• Aptiv PLC
• ZTE Corporation

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