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Automotive Cybersecurity Market Report 2025-2034: Industry Overview, Trends, And Forecast Analysis
Automotive Cybersecurity
What Is the Current Automotive Cybersecurity Market Size and Its Estimated Growth Rate?
In recent times, the automotive cybersecurity market has seen a swift expansion. By 2025, it is projected to increase from its $2.77 billion value in 2024 to $3.26 billion, with a Compound Annual Growth Rate (CAGR) of 17.9%. This surge throughout the prior period has been credited to factors such as the heightened uptake of connected and autonomous vehicles, more rigid governmental regulations and industrial standards, an escalating demand for Advanced Driver Assistance Systems (ADAS), the rising need for luxury vehicles, and the growth in cyber threats targeting automotive systems.
The market size for automotive cybersecurity is anticipated to witness significant expansion in the upcoming years, with predictions estimating a growth to $6.81 billion in 2029 and a compound annual growth rate (CAGR) of 20.2%. The predicted growth during the forecast period could stem from an increase in the usage of electric vehicles, 5g technology integration in connected vehicles, enhancing the attack surface, growing dependency on over-the-air (ota) software updates, automotive industry's expansion in developing markets, and increasing consciousness and investments towards proactive cybersecurity measures. Key trends anticipated during the forecast period encompass the creation of consolidated cybersecurity solutions, focus on secure vehicle-to-everything (v2x) communication, application of blockchain technology for secure data exchange, partnerships between car manufacturers and cybersecurity companies for threat intelligence, and execution of behavior-based anomaly detection for real-time threat identification.
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How Are Emerging Segments Shaping the Automotive Cybersecurity Market Landscape?
The automotive cybersecurity market covered in this report is segmented -
1) By Security Type: Network Security, Application Security, Endpoint Security, Wireless Security, Cloud Security
2) By Form: In-Vehicle, External Cloud Service
3) By Vehicle: Passenger Car, Commercial Vehicle
4) By Application: Telematics System, Body Control And Comfort System, Infotainment System, Powertrain System, Other Applications
Subsegments:
1) By Network Security: Intrusion Detection Systems (IDS), Firewalls, Secure Network Protocols
2) By Application Security: Secure Coding Practices, Application Vulnerability Testing, Software Updates And Patching
3) By Endpoint Security: Anti-Malware Solutions, Endpoint Detection And Response (EDR), Device Authentication
4) By Wireless Security: Secure Communication Protocols, Encryption Solutions, Wireless Intrusion Prevention Systems (WIPS)
5) By Cloud Security: Data Encryption And Protection, Identity And Access Management (IAM), Cloud Security Posture Management (CSPM)
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Which Growth Factors Are Influencing Automotive Cybersecurity Market Expansion?
The rise in connected cars is playing a substantial role in propelling the automotive cybersecurity market. A connected car is defined as a vehicle fitted with an embedded internet connectivity system. The cybersecurity of such cars includes elements like advanced threat intelligence, safeguarding cars from prevalent security challenges. As an example, the UK government reported in August 2022 that it's anticipated that 40% of all new cars in the UK might have self-driving features by 2035, mirroring trends observed globally.
Who Are the Dominant Players Across Different Automotive Cybersecurity Market Segments?
Major companies operating in the automotive cybersecurity market include Aptiv PLC, Argus Cyber Security, Arilou Technologies, Continental AG, ESCRYPT GmbH, GuardKnox Cyber Technologies Ltd., Harman International Industries Inc., Trillium Secure Inc., SafeRide Technologies Ltd., Lear Corporation, Karamba Security, Intel Corporation, Infineon Technologies AG, Cisco Systems Inc., Delphi Technologies PLC, Vector Informatik GmbH, Symantec Corporation, Regulus Cyber, C2A Security Ltd., XShield Ltd., Apriori Technologies Inc., AutoCrypt Co Ltd., Idaptive Automotive Cybersecurity, GuardSquare NV, Altimetrik Corp., Identiq Automotive Ltd., Guardtime AS, ForgeRock Automotive, AutomotiveCyber GmbH, Thales Group, NXP Semiconductors NV, Green Hills Software
What Are the Latest Developing Trends in the Automotive Cybersecurity Market?
The rise of technological advancements is a significant trend being observed in the automotive cybersecurity market. Major players in this sector are focusing on technological innovation to maintain their market standing. For example, SGS Société Générale de Surveillance SA., a company based in Switzerland that conducts testing, inspection and certification, unveiled a cybersecurity audit in June 2024. This initiative helps to ensure cybersecurity across the automotive supply chain. With vehicle systems becoming more and more digital, robust cybersecurity measures become critical to uphold product quality and consumer confidence. Regulations such as UN Regulation No. 155 (UN R-155) require vehicle makers to tackle risks related to suppliers in their Vehicle Cybersecurity Management System (V-CSMS) to secure both vehicles and components. Executing V-CSMS audits on suppliers facilitates manufacturers in effectively managing these dependencies.
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Which Geographic Regions Are Expected to Dominate the Automotive Cybersecurity Market in the Coming Years?
North America was the largest region in the automotive cybersecurity market in 2024. The regions covered in the automotive cybersecurity market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa
Frequently Asked Questions:
1. What Is the Market Size and Growth Rate of the Automotive Cybersecurity Market?
2. What is the CAGR expected in the Automotive Cybersecurity Market?
3. What Are the Key Innovations Transforming the Automotive Cybersecurity Industry?
4. Which Region Is Leading the Automotive Cybersecurity Market?
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