PUBLISHER: AnalystView Market Insights | PRODUCT CODE: 1555715
PUBLISHER: AnalystView Market Insights | PRODUCT CODE: 1555715
The IoT Security Market size was valued at USD 23,456.34 million in 2023, expanding at a CAGR of 18.5% from 2024 to 2032.
The IoT Security Market encompasses solutions to protect connected devices and networks from cyber threats in the rapidly expanding Internet of Things (IoT) ecosystem. IoT security is crucial for safeguarding data integrity and privacy across various industries, including healthcare, automotive, and smart cities. Increasing cyber-attacks targeting IoT devices, such as the Mirai botnet attack that infected over 600,000 devices, highlight the growing need for robust security measures. While the complexity of securing a diverse range of connected devices poses challenges, the rise in government regulations and standards, like the EU's Cybersecurity Act, creates opportunities for growth in this market. Additionally, innovations in AI-driven security solutions and the growing adoption of blockchain technology for secure data transmission are expanding the market's potential. Major players like Cisco and Palo Alto Networks are heavily investing in IoT security solutions, reflecting the critical importance of protecting interconnected environments from evolving cyber threats.
IoT Security Market- Market Dynamics
Increasing awareness about sustainable growth to propel market demand
The rapidly expanding Internet of Things (IoT) ecosystem is transforming industries by connecting billions of devices, ranging from smart home gadgets to industrial machines. According to the International Data Corporation (IDC), the number of connected IoT devices is expected to reach 41.6 billion by 2025, emphasizing the vast scale of this network. This expansion is driving innovation across sectors like healthcare, where IoT-enabled devices are enhancing patient monitoring, and smart cities, where connected sensors are optimizing traffic management and energy consumption. The U.S. National Institute of Standards and Technology (NIST) has underscored the importance of developing robust security frameworks to protect this growing ecosystem from cyber threats. Governments and organizations worldwide are increasingly investing in IoT infrastructure, highlighting the critical role of IoT in advancing digital transformation and improving operational efficiency.
IoT Security Market- Key Insights
As per the analysis shared by our research analyst, the global market is estimated to grow annually at a CAGR of around 18.5% over the forecast period (2024-2032)
Based on Component segmentation, Network security was predicted to show maximum market share in the year 2023
Based on Security Type segmentation, Network security was the leading type in 2023
Based on Application segmentation, Industrial IoT (IIoT) was the leading type in 2023
Based on region, North America was the leading revenue generator in 2023
The Global IOT Security Market is segmented based on Component, Security Type, Application, End-User, and Region.
The market is divided into two categories based on Components: Solutions and Services. Network security is the top priority due to its critical role in safeguarding data transmission, followed by endpoint security, application security, cloud security, and IAM. Among services, professional services take precedence over managed services for tailored security needs.
The market is divided into five categories based on Security Type: Device Security, Network Security, Data Security, Application Security, and Cloud Security. Network security leads in priority due to its essential role in protecting data flow across IoT systems, followed by data security to safeguard sensitive information. Device security is next, ensuring individual IoT device protection, followed by application security and cloud security.
IoT Security Market- Geographical Insights
In the IoT Security Market, North America leads due to its advanced technological infrastructure and high adoption rates of IoT across various sectors, including healthcare, automotive, and manufacturing. The U.S. government has implemented initiatives like the IoT Cybersecurity Improvement Act, mandating security standards for IoT devices used by federal agencies, which drives the market forward. Europe follows closely, with the EU's General Data Protection Regulation (GDPR) and the Cybersecurity Act reinforcing stringent data protection and security measures for IoT devices. Countries like Germany and the UK are at the forefront, investing heavily in securing IoT ecosystems, particularly in smart city projects. In the Asia-Pacific region, rapid IoT adoption in countries like China, Japan, and South Korea is fueling market growth, with China's government supporting the integration of IoT in industrial applications through policies like the "Made in China 2025" initiative. Latin America and the Middle East are emerging markets, with Brazil and the UAE investing in smart infrastructure, increasing the demand for robust IoT security solutions.
In the IoT Security Market, leading players include Cisco Systems, Palo Alto Networks, and IBM. Cisco Systems has bolstered its IoT security offerings through strategic acquisitions, such as the purchase of IoT security firm Sentryo, enhancing its industrial cybersecurity capabilities. Palo Alto Networks is actively expanding its market presence through collaborations, such as its partnership with Siemens to integrate advanced IoT security solutions into industrial environments, addressing the growing need for secure operational technology (OT). IBM, a key player, has developed the Watson IoT platform, incorporating AI-driven security features to protect connected devices from emerging threats. Additionally, Microsoft is strengthening its IoT security portfolio through partnerships with IoT device manufacturers, integrating Azure Sphere for secure device-to-cloud communication. These initiatives highlight the competitive landscape, where companies are leveraging acquisitions, partnerships, and technological innovations to address the increasing demand for comprehensive IoT security solutions in a rapidly evolving digital environment.
In August 2024, Actelis Networks formed a strategic partnership to introduce an AI-driven cybersecurity SaaS solution tailored for IoT networks. This initiative aims to enhance security measures for connected devices, addressing the growing demand for robust IoT security solutions.
In May 2024, GlobalPlatform launched a new Secure Channel Protocol to enhance IoT security and enable remote management for low-power devices. This protocol addresses challenges in updating constrained NarrowBand IoT devices and promoting sustainability and compliance within the IoT ecosystem.