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Railway Cybersecurity Market Growth to be Driven by Emerging Trends | $12.95 Billion by 2029
Stay informed on tariff shifts, macro trends, and global economic changes-use code ONLINE30 to enjoy 30% off our global market reports.What is the Projected Market Size of the Railway Cybersecurity Industry?
Recent years have seen robust growth in the size of the railway cybersecurity market. It is set to expand from $8.96 billion in 2024 to $9.73 billion in 2025, recording a compound annual growth rate (CAGR) of 8.6%. The growth observed during the historic period is largely owing to factors such as increased government initiatives, rising urbanization, an upsurge in railway cyberattacks, policies favoring smart railways, and heightened investments in railway infrastructure.
What Will Be the Size of the Railway Cybersecurity Market by 2029?
It is anticipated that the railway cybersecurity market will experience significant growth in the coming years, with projections indicating a rise to $12.95 billion in 2029. This equates to a compound annual growth rate (CAGR) of 7.4%. The predicted growth within this period is related to an upsurge in cyberattacks, a rise in cases of data leaks or breaches, heightened demand for passenger and cargo space, an increase in railroad ventures, and a growing need for cloud-based solutions. The integration of IoT, AI, and automation technologies, technological advances, diversifications and joint undertakings, ground-breaking digital technologies, and strategic alliances with railway operators and service providers are key trends expected to shape the market in the forecast period.
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What Are the Key Drivers Accelerating Growth in the Railway Cybersecurity Market?
The escalating prevalence of cyberattacks is anticipated to stimulate the expansion of the railway cybersecurity market. Any intentional, unauthorized attempt to compromise the confidentiality, integrity, or availability of computer systems, networks, or classified information is classified as a cyberattack. Critical infrastructure like signaling, communication, and control systems can be debilitated by cyberattacks on railway systems, resulting in delays, cancellations, and operational disruptions, adversely affecting passenger and freight transportation services. Railway cybersecurity solutions protect critical infrastructure, ensure seamless operations, and enhance passenger safety within the railway sector through proactive security measures, internal risk assessments, and addressing underreported issues. To illustrate, the Australian Cyber Security Centre reported that there were 76,000 cybercrime reports in 2022, a 13% increase from the preceding year. Moreover, the Anti-Phishing Working Group, a U.S.-based organization, recorded a total of 1,025,968 phishing attacks in the first quarter of 2022, marking a 15% surge from the fourth quarter of 2021 when 888,585 attacks were reported. Thus, the rising prevalence of cyberattacks is fueling the growth of the railway cybersecurity market.
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How Is the Railway Cybersecurity Market Segmented by Type, Application, and Region?
The railway cybersecurity market covered in this report is segmented -
1) By Type: Infrastructure, On-board
2) By Offering: Solutions, Services
3) By Security: Application Security, Network Security, Data Protection, Endpoint Security, System Administration
4) By Application: Passenger Trains, Freight Trains
Subsegments:
1) By Infrastructure: Trackside Security Systems, Signaling and Communication Systems Security, Train Control and Management System Security, Network Security (including railway data centers and servers), Passenger Information System Security, Electrification and Power Grid Security, Other Infrastructure Cybersecurity Solutions
2) By On-board: Train Control and Communication Systems Security, Passenger Wi-Fi Security, On-board Information System Security, Vehicle Network Security (e.g., connected train systems), On-board CCTV and Surveillance System Security, Cybersecurity for Automatic Train Operation (ATO), Other On-board Cybersecurity Solutions
What Are the Key Trends Driving Growth in the Railway Cybersecurity Market?
Leading firms in the railway cybersecurity sector are innovating advanced technologies like security platforms for imparting cutting-edge features to their customers and establish a competitive superiority. Such platforms are exhaustive systems or structures safeguarding digital resources, information, networks, and infrastructure against cyberattacks and security flaws. For example, in May 2023, Cylus Ltd., an organization from Israel offering railway security solutions, introduced the Rail Tech Security Platform. This platform is a distinct cybersecurity solution specifically created for operational rail technology systems, providing real-time insight, resilience, and compliance for rolling stock and trackside operations. The Rail Tech Security Platform's extraordinary feature is its unique, tailor-made design for rail transport operators. As per Cylus, this platform synchronizes flawlessly with operational rail systems and cybersecurity structures. It belongs to a category designed to equip rail operators with essential context and instructions to pre-emptively supervise and control cybersecurity and potential risks across all operational rail technology areas.
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Who Are the Leading Companies Driving Growth in the Railway Cybersecurity Market?
Major companies operating in the railway cybersecurity market are Huawei Technologies Co. Ltd., Robert Bosch GmbH, Siemens AG, Hitachi Ltd., Raytheon Technologies Corporation, General Electric, International Business Machine Corporation, Cisco Systems Inc., ABB Ltd., Nokia Corporation, BAE Systems Plc, Collins Aerospace Companies, Thales Group, Alstom SA, Webtec Corporation, Bombardier Inc., Sabre Rail Services Ltd., HollySys Automation Technologies Ltd., Traffic Control Technology Co. Ltd., SafeRail SAS, Cyberbit Ltd., Cervello Inc., Cylus Ltd., Shift5 Inc., Gear Rail, Barbara IoT SL, SpirOps, C3UK Ltd.
Which Is the Leading Region in the Global Railway Cybersecurity Market?
Asia-Pacific was the largest region in the railway cybersecurity market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the railway cybersecurity market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
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