Defense Cybersecurity Market Trends Analysis Research Report By Platform (Software & Service and Hardware), By Solution (Cyber Threat Protection, Threat Evaluation, Content Security, and Others), By Type (Critical Infrastructure Security & Resilience, Application Security, Cloud Security, and Others), By End User (Land Force, Naval Force, and Air Force) and Region (North America, Europe, Asia-Pacific, Middle East & Africa and Latin America) - Forecast till 2030
Defense Cybersecurity Market is expected to grow rapidly at a 7.6% CAGR consequently, it will grow from its existing size of from $20.56 Billion in 2023 to $ 43.67 billion by 2030.
The report provides a qualitative analysis, which includes drivers and opportunities, difficulties, and trends to better know the current market dynamics. It also outlines the most important strategy for organic or inorganic use by market players.
The section on company profiles will focus on strategic changes that include mergers, acquisitions, and product launches as well as joint ventures, partnerships, and collaborations, as well as investment in research and development, as well as the expansion of top firms operating on both the global and regional levels.
The Defense Cybersecurity Market involves the supply of cybersecurity services and solutions to safeguard defense and military systems such as networks, data, and systems from cyber-attacks. It includes a variety of techniques and strategies designed to protect sensitive data as well as ensuring that communications are secure and preventing unauthorised access as well as dealing with the ever-changing and complex nature of cyber-attacks in the defense industry.
As more nations rely on connected and technologically advanced defense systems and systems, the market for defense cybersecurity plays an essential role in keeping the integrity, security and availability of sensitive information from the military and operations.
This market includes a broad range of solutions, such as firewalls, encryption as well as intrusion detection systems as well as secure communication protocols as well as advanced threat intelligence designed to address the specific security challenges facing defense companies across the world.
The continuous evolution of cyber-attacks and the rapid digitalization of defense infrastructures highlight the need for continual improvement and investment in security measures to ensure the security of military operations as well as the security of national interests.
Expanding cyberattacks across various defense industries
In the last few times there has been an incredibly increase in the frequency sophistication, and the severity of cyber attacks around the world. The threats originate from a variety of sources, including nation states hackers, hacktivists and cybercriminal organizations as well as insider threats. Defense companies are the most frequent victims of cyberattacks because of the sensitive and confidential nature of the data they manage.
In October, for instance 2022 The Federal Bureau of Organizations (FBI) National Security agency (NSA) declared State funded Cyber attackers had successfully penetrated the defense sector, protecting and preserving access to their network and had snatched sensitive information in the compromised systems starting in January 2021 to November 2021.
The growing cyber threat poses significant threats for national security. Cyberattacks that are sponsored by the state have been used as a way of conducting digital warfare, and defense agencies are required to be prepared against attacks.
They can come in a variety of forms, ranging from espionage to Advanced Persistent Threats (APTs), Intellectual Property Theft, and infiltration that aims to steal classified information to disrupting vital structures and operations of the military. The effects from a cyberattack that is successful the defense sector could be devastating, possibly damaging national security and putting lives in danger.
Restraints
Inefficiency of older systems in the current cybersecurity landscape
Security legacy systems are older, and often obsolete technological infrastructures, software and equipment that were employed by defense agencies for a considerable time. These systems were designed during a time when cybersecurity was not the primary issue, but they currently have a number of limitations when compared to modern security efforts.
The older systems are not typically equipped with the adequate security features or factors that modern system benefit from. They are therefore more vulnerable to cyberattacks and weaknesses. Many attackers target systems that are older since they know that they may not have the most current patching, security updates or the capability to use sophisticated security protocols.
The process of updating or replacing these older systems can be a challenge. The cost of upgrading or replacement of these systems is significant, and requires a large amount of money which could compete with other priorities in defense. The rapid evolution of cybersecurity demands systems that are regularly upgraded and modified in response to the latest threats. The older systems, due to their outdated structures and limitations are not well-suited to this task.
Opportunities: Boost in international collaborations
International collaborations are the possibility for defense agencies from various nations to join forces in a concerted effort to increase cybersecurity capabilities. In today's increasingly interconnected world where cyber threats frequently surpass borders, cooperation on cybersecurity in defense is increasingly important.
One of the major advantages of international cooperation in cybersecurity for defense is the sharing of resources, knowledge and threat intelligence. There is no one nation that has the entire knowledge of cybersecurity or technology. Through sharing knowledge, experiences and the best practices, nations can work together to strengthen their security defenses. This cooperation will allow for a better knowledge of current cyber threats and the creation of efficient security measures.
Additionally, international cooperation can aid in the development of international standards and norms in cybersecurity. These standards will guide the behavior of cyberspace professionals and provide guidelines for dealing with cyber-attacks. For instance, nations can reach an agreement on the guidelines for engagement and responses in the event of a cyber attack. This helps reduce the chance of confusion or escalations during an incident involving cyber.
Furthermore, collaboration efforts could create collaborative research and development efforts which can lead to the development of modern cybersecurity technology. This could reduce efforts that are duplicated, increase efficiency, and speed up technological advancement in cybersecurity in defense. International collaboration can also improve the capabilities of incident response. When there's a massive cyberattack, countries can collaborate on their response, share information about threats and collaborate to recognize and counter threats, thus minimizing the impact from the incident.
Challenges
Insufficient skilled staff
The most significant challenge facing the cybersecurity landscape of defense is the lack of qualified personnel. As the increasing complexity and frequency of cyber-related threats increase increasing the demand for highly skilled cybersecurity professionals has risen to unprecedented levels.
The problem is multifaceted, due to the rapid development of cyber-related threats, the growing attack surface that is a result of increased digital connectivity, as well as the intricate nature of the cybersecurity field.
The cybersecurity field is distinguished by its ever-changing and dynamic nature. Cyber-security threats are evolving rapidly and malicious actors constantly developing new strategies and techniques to penetrate security systems. This rapid change requires an educated workforce and the ability to adjust quickly to new threats.
This shortage is made worse due to the time required to educate and train cybersecurity professionals, which creates an ongoing gap between the required skills and the skills readily available in the workplace. The ever-growing attack surface caused by the increased interconnectivity of defense networks as well as the rapid adoption of new technologies, creates a lot of pressure on cybersecurity experts.
In the age of Internet of Things (IoT), cloud computing as well as other advancements expand the potential vulnerability and require a team capable of protecting diverse and complex systems. The increasing attack surface demands specialists in cybersecurity with expertise with cloud security IoT security and control for industrial systems.
The complexity of the cybersecurity industry can lead to a shortage of qualified personnel. Cybersecurity is not a single subject, but is made up of various specific domains that are specialized, including penetration testing and threats intelligence, incident resolution and even risk control. Each area requires a distinct knowledge base, and people who are proficient in one field may not necessarily be experts in the other.
Defense Cybersecurity Market Segment Analysis
Based on End Users the navy segment has the most market share in the market for cybersecurity in defense over the forecast timeframe.
It is expected that the Navy segment is predicted to have the highest market share in the forecast time. Navy forces heavily rely on network-centric activities, in which ships, submarines and aircrafts, and other facilities on shore are connected to increase the effectiveness of operations and situational awareness.
The size and complexity of maritime networks makes them the prime targets for cyber attacks which require sophisticated cybersecurity measures. The Navy's commitment to networking-centric warfare places it in the top of the line when it comes to investing in robust cyber security measures for the defense sector.
Naval assets constitute crucial infrastructure, including submarines, aircraft carriers, as well as communication hubs. Protecting these assets from cyber-attacks is essential to maintaining their operational capabilities and strategic advantages. The Navy's commitment to protecting important maritime infrastructure is a key factor in its leading role in advancing cybersecurity defense.
Based on the offerings Software and Services segment is the biggest market share of the cybersecurity market for defense during the forecast timeframe.
It is expected that the Software and Services segment is predicted to have the biggest market share in the cybersecurity market for defense during the forecast time frame due to various factors that are crucial to the market:
The defense industry is experiencing an explosion in the adoption of cutting-edge technologies including artificial intelligence and machine learning as well as quantum-resistant cryptography. Software solutions play a key part in making use of and adapting to the latest developments, giving the agility needed to be ahead of new cyber-attacks.
Cloud computing's adoption in defense operations demands robust software solutions that can protect information stored and processed in cloud-based environments. Cloud-based cybersecurity services provide the ability to scale and adapt which allows defense companies to respond to evolving requirements effectively.
Competitive Landscape of the Defense Cybersecurity Market
In October 2023, the US Defense Information Systems Agency (DISA) (US) developed a Zero Trust Network named Thunderdome. The contract is valued at USD 1.86 Billion.
In January NATO awarded a contract to IBM, which will encompass the integration of cyber defense capabilities and related configuration services, extending through 2025, with an additional two-year option. The contract is valued at USD 33.6 million.
In June 2021, Cisco Systems, Inc. (US) received an investment worth USD 1.18 billion to provide Smart Net Total Care and software services.
Defense Cybersecurity Market Regional Insights
North America is expected to lead the defense Cybersecurity market by 2023.
The Defense Cybersecurity market in the North American region is experiencing significant growth due to a variety of significant aspects.
Modernization of the Military: North American nations, particularly those in the U.S., are actively upgrading their military capabilities, using advanced technologies like autonomous systems, artificial intelligence and network-centric operation. The necessity of protecting these advanced military assets from cyber-attacks drives the need for sophisticated cybersecurity solutions for defense which further strengthens North America's dominance on the market.
Global Cybersecurity Standards: North America has a significant role in defining international security standards as well as practices. The region's determination to establish and adhering to the highest cybersecurity standards increases its power in international collaborations which makes North American solutions and expertise well-known and widely accepted.
Massive Defense Budgets- The United States, especially, devotes significant budgets for cybersecurity and defense initiatives. The substantial financial investments for research and development as well as infrastructure and cybersecurity capabilities are a major factor in the dominance of the region in the market for cybersecurity defense. This financial commitment allows the use of cutting-edge technologies as well as the constant enhancement of cybersecurity methods.
Defense Cybersecurity Market Scope:
Report Data
Defense Cybersecurity Market
Defense Cybersecurity Market Forecast
43.67 billion (2024-2030)
Defense Cybersecurity Market CAGR 2024 - 2030
7.6%
Defense Cybersecurity Market Analysis Period
2024 - 2030
Defense Cybersecurity Market Base Year
2023
Defense Cybersecurity Market Forecast Data
2024 - 2030
Segments Covered
By Type, By System, by Ship Type And by Operation
Regional Scope
North America, Europe, Asia Pacific, Latin America, and Middle East & Africa
Key Companies Profiled
Airbus SAS (Netherlands), Aselsan AS (Turkey), BAE Systems plc (UK), Booz Allen Hamilton Inc. (US), Cisco Systems Inc. (US), DXC Technology Company (US), IBM Corporation (US), Intel Corporation (US), Lockheed Martin Corporation (US), Northrop Grumman Corporation (US), Raytheon Company (US), SecureWorks Corp. (US), Thales Group (France), The Boeing Company (US), Verizon Communications (US)
Defense Cybersecurity Market is expected to grow rapidly at a 7.6% CAGR consequently, it will grow from its existing size of from $20.56 Billion in 2023 to $ 43.67 billion by 2030.
What is the future outlook for the Defense Cybersecurity Market?
The future outlook for the Defense Cybersecurity Market is optimistic, with sustained growth anticipated due to escalating cyber threats, increased digitalization in defense, rising investments in advanced technologies, and heightened awareness of the critical role cybersecurity plays in safeguarding national security. However, challenges such as evolving threat landscapes and the need for continuous innovation will shape the market's trajectory.
What applications do Defense Cybersecurity have?
Defense Cybersecurity applications include protecting military networks, command and control systems, weapon systems, and sensitive data from cyber threats, ensuring the integrity and availability of critical defense infrastructure. It also involves securing communication channels, preventing unauthorized access, and addressing vulnerabilities in defense technologies.
Which Are the Top Companies Hold the Market Share in Defense Cybersecurity Market?
The report profiles key players such as Airbus SAS (Netherlands), Aselsan AS (Turkey), BAE Systems plc (UK), Booz Allen Hamilton Inc. (US), Cisco Systems Inc. (US), DXC Technology Company (US).
Reasons to Purchase this Report
Analyzing quantitative and qualitative aspects of the market, based on segmentation that includes both economic and non-economic elements
Market worth (USD Billion) information in each sub-segment and segment
Identifies the region and segment expected to see the highest expansion and dominate the market
Analysis of geography that highlights the demand for the product/service within the region as well in highlighting the elements that influence the market in each region.
Competitive landscape that includes the market position of the most prominent players, in addition to new product launches partnership, business expansions, partnerships and acquisitions within the last five years for the companies that are profiled.
Comprehensive company profiles consisting of company overviews as well as company and product information, benchmarking and SWOT analysis of the biggest market players
The present and the future market forecast for the sector in relation to the latest developments that involve drivers and growth opportunities as also challenges and limitations of emerging and developed regions.
Provides in-depth study of market from diverse perspectives by Porter's Five forces analysis
Provides an insight into the market via Value Chain
Market dynamics and scenario and growth opportunities for the market over the coming years
TABLE OF CONTENT
EXECUTIVE SUMMARY
1.1. MARKET ATTRACTIVENESS ANALYSIS
1.1.1. GLOBAL DEFENSE CYBERSECURITY MARKET, BY TYPE
1.1.2. GLOBAL DEFENSE CYBERSECURITY MARKET, BY COMPONENT
1.1.3. GLOBAL DEFENSE CYBERSECURITY MARKET, BY DEPLOYMENT
1.1.4. GLOBAL DEFENSE CYBERSECURITY MARKET, BY REGION
MARKET INTRODUCTION
2.1. MARKET DEFINITION
2.2. SCOPE OF THE STUDY
2.3. MARKET STRUCTURE
2.4. KEY BUYING CRITERIA
2.5. MARKET FACTOR INDICATOR ANALYSIS
RESEARCH METHODOLOGY
3.1. RESEARCH PROCESS
3.2. PRIMARY RESEARCH
3.3. SECONDARY RESEARCH
3.4. MARKET SIZE ESTIMATION
3.5. FORECAST MODEL
3.6. LIST OF ASSUMPTIONS
MARKET INSIGHTS
MARKET DYNAMICS
5.1. INTRODUCTION
5.2. DRIVERS
5.2.1. INCREASING DEFENSE EXPENDITURES
5.2.2. GROWING SEVERITY OF CYBER ATTACKS ON MILITARY ORGANIZATIONS
5.2.3. DRIVERS IMPACT ANALYSIS
5.3. RESTRAINTS
5.3.1. LACK OF TECHNICAL KNOWLEDGE AND EXPERTISE
5.3.2. RESTRAINTS IMPACT ANALYSIS
5.4. OPPORTUNITIES
5.4.1. INCREASING DEFENSE INITIATIVES TO SECURE CRITICAL DATA
5.5. MARKET/TECHNOLOGICAL TRENDS
5.6. PATENT TRENDS
5.7. REGULATORY LANDSCAPE/STANDARDS
MARKET FACTOR ANALYSIS
6.1. SUPPLY CHAIN ANALYSIS
6.1.1. R&D
6.1.2. MANUFACTURING
6.1.3. DISTRIBUTION & SALES
6.1.4. POST-SALES MONITORING
6.2. PORTER’S FIVE FORCES ANALYSIS
6.2.1. THREAT OF NEW ENTRANTS
6.2.2. BARGAINING POWER OF BUYERS
6.2.3. THREAT OF SUBSTITUTES
6.2.4. INTENSITY OF RIVALRY
6.2.5. BARGAINING POWER OF SUPPLIERS
GLOBAL DEFENSE CYBERSECURITY MARKET, BY TYPE
7.1. INTRODUCTION
7.2. ENDPOINT SECURITY
7.3. NETWORK SECURITY
7.4. CONTENT SECURITY
7.5. APPLICATION SECURITY
7.6. WIRELESS SECURITY
7.7. CLOUD SECURITY
7.8. OTHERS
GLOBAL DEFENSE CYBERSECURITY MARKET, BY COMPONENT
8.1. INTRODUCTION
8.2. SOLUTION
8.2.1. THREAT INTELLIGENCE & RESPONSE MANAGEMENT
8.2.2. DATA LOSS PREVENTION MANAGEMENT
8.2.3. IDENTITY & ACCESS MANAGEMENT
8.2.4. SECURITY AND VULNERABILITY MANAGEMENT
8.2.5. UNIFIED THREAT MANAGEMENT
8.2.6. ENTERPRISE RISK AND COMPLIANCE
8.2.7. MANAGED SECURITY
8.2.8. OTHERS
8.3. SERVICE
8.3.1. PROFESSIONAL SERVICES
8.3.2. MANAGED SERVICES
GLOBAL DEFENSE CYBERSECURITY MARKET, BY DEPLOYMENT
9.1. INTRODUCTION
9.2. ON-PREMISE
9.3. CLOUD
GLOBAL DEFENSE CYBERSECURITY MARKET, BY REGION
10.1. INTRODUCTION
10.2. NORTH AMERICA
10.2.1. US
10.2.2. CANADA
10.3. EUROPE
10.3.1. UK
10.3.2. GERMANY
10.3.3. FRANCE
10.3.4. ITALY
10.3.5. REST OF EUROPE
10.4. ASIA-PACIFIC
10.4.1. CHINA
10.4.2. INDIA
10.4.3. AUSTRALIA
10.4.4. JAPAN
10.4.5. REST OF ASIA-PACIFIC
10.5. MIDDLE EAST & AFRICA
10.5.1. SAUDI ARABIA
10.5.2. UAE
10.5.3. TURKEY
10.5.4. REST OF MIDDLE EAST & AFRICA
10.6. LATIN AMERICA
10.6.1. BRAZIL
10.6.2. REST OF LATIN AMERICA
COMPETITIVE LANDSCAPE
11.1. COMPETITIVE OVERVIEW
11.2. COMPETITOR DASHBOARD
11.3. MAJOR GROWTH KEY STRATEGIES IN THE GLOBAL DEFENSE CYBERSECURITY MARKET
11.4. COMPETITIVE BENCHMARKING
11.5. MARKET SHARE ANALYSIS
11.6. LEADING PLAYER IN TERMS OF THE NUMBER OF DEVELOPMENTS IN THE GLOBAL DEFENSE CYBERSECURITY MARKET
11.7. KEY DEVELOPMENTS & GROWTH STRATEGIES
11.7.1. PRODUCT LAUNCH/SERVICE DEPLOYMENT
11.7.2. MERGERS AND ACQUISITIONS
11.7.3. JOINT VENTURES
COMPANY PROFILES
(COMPANY OVERVIEW, PRODUCTS & SERVICES OFFERED, FINANCIAL OVERVIEW, KEY DEVELOPMENTS, SWOT ANALYSIS, AND KEY STRATEGIES TO BE COVERED FOR THE PUBLIC COMPANIES)
12.1. KEY MARKET PLAYERS
12.1.1. AIRBUS SAS
12.1.2. ASELSAN AS
12.1.3. BAE SYSTEMS PLC
12.1.4. BOOZ ALLEN HAMILTON, INC.
12.1.5. CISCO SYSTEMS, INC.
12.1.6. DXC TECHNOLOGY COMPANY
12.1.7. IBM CORPORATION
12.1.8. INTEL CORPORATION
12.1.9. LOCKHEED MARTIN CORPORATION
12.1.10. NORTHROP GRUMMAN CORPORATION
12.2. KEY MARKET PLAYERS
12.2.1. RAYTHEON COMPANY
12.2.2. SECUREWORKS CORP.
12.2.3. THALES GROUP
12.2.4. THE BOEING COMPANY
12.2.5. VERIZON COMMUNICATIONS
APPENDIX
13.1. REFERENCES
13.2. RELATED REPORTS
13.3. LIST OF ABBREVIATION
INDUSTRY INSIGHTS
14.1. FUTURE UAV PROGRAMS AND SPENDING
14.2. UAV PROCUREMENTS BY COUNTRY
LIST OF TABLES
TABLE 1 LIST OF ASSUMPTIONS
TABLE 2 MAJOR PATENTS GRANTED FOR DEFENSE CYBERSECURITY (2023-2030)
TABLE 3 TYPE: GLOBAL DEFENSE CYBERSECURITY MARKET, 2023-2030 (USD MILLION)
TABLE 4 COMPONENT: GLOBAL DEFENSE CYBERSECURITY MARKET, 2023-2030 (USD MILLION)
TABLE 5 DEPLOYMENT: GLOBAL DEFENSE CYBERSECURITY MARKET, 2023-2030 (USD MILLION)
TABLE 6 GLOBAL DEFENSE CYBERSECURITY MARKET, BY REGION, 2023-2030 (USD MILLION)
TABLE 7 NORTH AMERICA: DEFENSE CYBERSECURITY MARKET, BY COUNTRY, 2023-2030 (USD MILLION)
TABLE 8 NORTH AMERICA: DEFENSE CYBERSECURITY MARKET, BY TYPE, 2023-2030 (USD MILLION)
TABLE 9 NORTH AMERICA: DEFENSE CYBERSECURITY MARKET, BY COMPONENT, 2023-2030 (USD MILLION)
TABLE 10 NORTH AMERICA: DEFENSE CYBERSECURITY MARKET, BY DEPLOYMENT, 2023-2030 (USD MILLION)
