Cyber-physical Systems Security Market Growth Drivers, New Trends, Opportunities, Key Companies and Future Outlook

Cyber-physical Systems (CPS) Security Market by Solution (Network Security, Data Security, IAM, SIEM), Service (Incident Response), Application (Medical Device Security, Industrial Automation Security, Smart Grid Security) - Global Forecast to 2030.
The cyber-physical systems (CPS) security market [https://www.marketsandmarkets.com/Market-Reports/cyber-physical-system-cps-security-market-247212119.html?utm_campaign=cyberphysicalsystemcpssecuritymarket&utm_source=abnewswire.com&utm_medium=referral] is projected to expand at a compound annual growth rate (CAGR) of 16.5% from USD 16.07 billion in 2025 to USD 34.44 billion by 2030. The growing use of Industry 4.0, smart manufacturing, industrial IoT, and connected critical infrastructure, which are changing the way infrastructure and industrial systems are monitored and managed, is fueling the market's strong expansion. Real-time monitoring, automation, and decision-making in a variety of industries, such as manufacturing, energy & utilities, transportation, automotive, and smart infrastructure, are made possible by the convergence of physical systems with computation, control, and networking.

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By application, transportation & vehicle security segment to witness highest CAGR during forecast period

The transportation and vehicle security segment is being driven by the rapid adoption of connected, autonomous, and software-defined vehicles, along with the expansion of smart transportation infrastructure. Rising risks related to vehicle hacking, fleet disruption, traffic system attacks, and failures in critical mobility infrastructure are accelerating investments in CPS security solutions. The integration of sensors, AI-based threat analytics, real-time monitoring, and secure communication platforms enables predictive maintenance, collision prevention, fleet security, and cyber-resilient transportation operations. These capabilities are driving strong CPS security adoption across automotive, rail, aviation, ports, and smart mobility ecosystems.

By vertical, healthcare segment to register highest growth rate during forecast period

The healthcare vertical is being transformed by the rapid digitalization of medical devices, hospital automation systems, and clinical workflows. The growing deployment of connected medical equipment, remote patient monitoring, robotic surgery, and smart hospital infrastructure is increasing exposure to cyber-physical threats that can directly impact patient safety. CPS security platforms help healthcare providers secure connected devices, protect clinical systems from cyberattacks, ensure data integrity, and maintain regulatory compliance while enabling reliable real-time operations. The rising need to prevent device tampering, ransomware, and system outages is making CPS security a critical investment for modern healthcare organizations.

By region, North America to hold largest market share during forecast period

North America benefits from early adoption of industrial cybersecurity, advanced automation, and smart infrastructure technologies. Stringent cybersecurity, safety, and critical infrastructure protection regulations across transportation, healthcare, energy, and manufacturing are driving large-scale deployment of CPS security solutions. The region benefits from the presence of leading CPS security vendors, strong OT security R&D ecosystems, and high investment in critical infrastructure resilience. Increasing threats from ransomware, industrial espionage, and cyber-physical sabotage are further strengthening the demand for integrated CPS security platforms across North America.

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Unique Features in the Cyber-physical Systems Security Market

Unlike traditional cybersecurity, CPS security must protect both computational networks and the underlying physical processes they control. This dual nature means security solutions must account for physical feedback loops, real-time device behavior, and safety-critical operations - not just data confidentiality or IT threats. Such requirements necessitate specialized monitoring and control frameworks that span IT and Operational Technology (OT) environments.

CPS security platforms emphasize real-time visibility and threat response, because latency or delays can directly affect physical systems like manufacturing lines, power grids, or autonomous vehicles. Features often include continuous monitoring of sensors and actuators, real-time anomaly detection, and automated mitigation workflows tailored for CPS environments. These capabilities go beyond typical IT patch cycles and offline analysis.

To handle the complexity of CPS environments, many solutions integrate Artificial Intelligence (AI), Machine Learning (ML), and behavioral analytics. These technologies help identify subtle abnormalities in device behavior and system processes, enabling proactive threat detection rather than reactive security. Predictive analytics can spot early indicators of compromise or performance degradation in critical systems.

CPS security must often meet stringent sector-specific regulations (e.g., energy, healthcare, transportation) and frameworks such as NIST or NIS directives. Security products in this market are designed not just for protection, but also to help organizations demonstrate compliance through logging, audit trails, and reporting - a feature that is less central in many traditional IT security markets.

Major Highlights of the Cyber-physical Systems Security Market

The global Cyber-Physical Systems Security Market is expanding quickly, with estimates placing the market value at roughly USD 10-12 billion in 2024 and projected to grow to anywhere between ~USD 32 billion by 2033 at a strong CAGR of ~13 %+ over the forecast period. This reflects the increasing investments in securing interconnected physical and digital systems across industries.

A key driver of the CPS security market is the rising integration of operational technology (OT) with information technology (IT). As sectors such as manufacturing, energy, transportation, and healthcare adopt connected machines and automation, there's growing urgency to secure both digital networks and physical control systems against sophisticated cyber threats.

Escalating cyber-attacks on industrial control systems (ICS) and critical infrastructure heighten the demand for specialized CPS security solutions. These attacks can disrupt production, energy distribution, and safety systems - making robust CPS security essential for business continuity and public safety.

North America holds a leading share of the CPS security market, supported by advanced technology adoption, proactive regulation, and mature industrial ecosystems. Meanwhile, the Asia-Pacific region is among the fastest-growing markets, driven by rapid industrial modernization, urbanization, and public investment in smart infrastructure. Europe also plays a significant role due to strong regulatory frameworks and cybersecurity mandates.

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Top Companies in the Cyber-physical Systems Security Market

ABB (Switzerland), Siemens (Germany), Schneider Electric (France), Honeywell (US), Rockwell Automation (US), Hitachi (Japan), Toshiba (Japan), Bosch (Germany), Continental AG (Germany), Cisco (US), Dragos (US), Help AG (UAE), CPX (UAE), Microminder Cyber Security (UAE), Paramount Assure (UAE), CyberKnight Technologies (UAE), ITSEC (UAE), ATS (UAE), C3 Automation (UAE), Microtech AE (UAE), and Clouds Dubai (UAE) are amongst the leading players in the CPS security market.

ABB delivers industrial digitalization through CPS security that integrates robotics, automation, electrification, and software. The company's Ability platform enables real-time monitoring, predictive maintenance, workflow automation, and digital twins across utilities, manufacturing, and energy sectors. Solutions include embedded cybersecurity, operational optimization, and lifecycle services to enhance safety, performance, and resilience. ABB also provides AI-driven analytics for operational insights and supports integration of legacy and modern industrial systems. The company continually expands its CPS security portfolio to address Industry 4.0, smart factories, and the protection of critical infrastructure.

Siemens offers CPS security and automation solutions that combine hardware, software, and IoT through platforms like MindSphere and SIMATIC WinCC. Its systems support predictive maintenance, secure industrial operations, and digital twins across manufacturing, energy, healthcare, and infrastructure. Siemens focuses on AI-driven optimization, industrial cybersecurity, and connected workflows for improved efficiency and reliability. The company offers comprehensive, end-to-end digitalization services, facilitating the seamless convergence of IT and OT, as well as providing real-time operational insights. Siemens continues to innovate in smart infrastructure, industrial IoT, and Industry 4.0 solutions, enhancing performance and reducing operational risks.

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