The global market for Automotive Cyber Security was estimated at US$4.1 Billion in 2023 and is projected to reach US$11.4 Billion by 2030, growing at a CAGR of 15.9% from 2023 to 2030. This comprehensive report provides an in-depth analysis of market trends, drivers, and forecasts, helping you make informed business decisions.
This communication, however, introduces entry points that hackers can exploit, potentially impacting safety-critical functions like braking, steering, and acceleration. As a result, automotive cybersecurity has become essential, aiming to protect these interconnected systems from unauthorized access, data theft, and malicious control. With the stakes so high, manufacturers are now prioritizing cybersecurity at the design stage, developing multi-layered defenses to safeguard vehicle systems, passenger data, and overall vehicle safety from cyberattacks.
These systems use machine learning algorithms to detect unusual patterns within the vehicle's network and can alert the driver or automatically activate defensive measures if a threat is identified. Another breakthrough is in secure OTA updates, which allow manufacturers to remotely update vehicle software without compromising security. This capability is essential for EVs and autonomous vehicles that require frequent software upgrades and enables rapid response to emerging threats. Cryptographic key management is also improving, enabling secure communication between vehicle components and external networks while safeguarding sensitive data. These cybersecurity innovations are crucial in creating resilient vehicles capable of withstanding sophisticated cyberattacks and ensuring driver and passenger safety in an increasingly connected world.
Electric vehicles, on the other hand, are heavily reliant on secure battery management systems and charging infrastructure, which must be protected to prevent tampering that could result in battery drain or damage. EVs and autonomous vehicles often feature OTA updates, meaning they require continuous software upgrades for optimal performance and security. This capability introduces additional security challenges, as any vulnerability in the OTA system could expose the vehicle's software to malicious modifications. For these reasons, automakers and cybersecurity providers are investing in specialized solutions tailored for EV and autonomous architectures, such as end-to-end encryption, secure boot processes, and redundant safety protocols, to ensure the integrity of the vehicle's systems against cyber threats.
Another significant factor is the shift toward autonomous and electric vehicles, which demand complex, integrated cybersecurity frameworks to secure mission-critical systems, from navigation to power management. Regulatory bodies worldwide are also enforcing cybersecurity standards in the automotive industry, mandating that automakers implement robust security measures to protect consumers from cyber risks. For instance, the UNECE WP.29 regulations require automakers to establish cybersecurity management systems for vehicle models sold in Europe, pushing the industry to adopt standardized security practices.
Moreover, as consumers become more aware of cyber risks, their expectations for cybersecurity in vehicles are rising, influencing automakers to invest in highly secure systems that protect both data and personal safety. These factors are propelling the automotive cybersecurity market forward, solidifying it as a vital area of investment as the automotive industry embraces a more connected, autonomous, and digital future.
Global Automotive Cyber Security Market - Key Trends and Drivers Summarized
How Is Cybersecurity Becoming Essential in Modern Vehicles?
The rise of automotive cybersecurity reflects the industry's response to increasing risks and vulnerabilities in modern vehicles. But what has led to its critical importance? With the growing integration of digital systems in cars - from infotainment and navigation to advanced driver-assistance systems (ADAS) and over-the-air (OTA) updates - vehicles are now more connected than ever. This connectivity, while enhancing user experience and vehicle functionality, exposes vehicles to potential cyber threats. Modern cars rely heavily on embedded software and connected networks that allow vehicles to communicate with external systems, such as traffic infrastructure, other vehicles, and mobile devices.This communication, however, introduces entry points that hackers can exploit, potentially impacting safety-critical functions like braking, steering, and acceleration. As a result, automotive cybersecurity has become essential, aiming to protect these interconnected systems from unauthorized access, data theft, and malicious control. With the stakes so high, manufacturers are now prioritizing cybersecurity at the design stage, developing multi-layered defenses to safeguard vehicle systems, passenger data, and overall vehicle safety from cyberattacks.
What Innovations Are Driving Automotive Cybersecurity?
The field of automotive cybersecurity is advancing rapidly as manufacturers and technology companies work to stay ahead of evolving threats. But what are the key innovations shaping this critical area? One significant development is the implementation of multi-layered security architectures, which protect vehicles on multiple fronts, from hardware to software and external network communication. This approach involves encrypting data at each layer, restricting access to trusted sources only, and monitoring the vehicle's systems for any irregular activity in real-time. Additionally, intrusion detection and prevention systems (IDPS) have become a standard feature in modern automotive cybersecurity.These systems use machine learning algorithms to detect unusual patterns within the vehicle's network and can alert the driver or automatically activate defensive measures if a threat is identified. Another breakthrough is in secure OTA updates, which allow manufacturers to remotely update vehicle software without compromising security. This capability is essential for EVs and autonomous vehicles that require frequent software upgrades and enables rapid response to emerging threats. Cryptographic key management is also improving, enabling secure communication between vehicle components and external networks while safeguarding sensitive data. These cybersecurity innovations are crucial in creating resilient vehicles capable of withstanding sophisticated cyberattacks and ensuring driver and passenger safety in an increasingly connected world.
How Are Electric and Autonomous Vehicles Affected by Cybersecurity Demands?
The shift to electric and autonomous vehicles is intensifying the need for robust automotive cybersecurity measures. But how are these types of vehicles specifically impacted? Autonomous vehicles depend on complex networks of sensors, cameras, radar, and LiDAR systems to process environmental data and make real-time driving decisions. If a hacker gains control of these systems, the vehicle's ability to navigate safely is compromised, posing severe safety risks. As a result, cybersecurity in autonomous vehicles extends beyond protecting data to ensuring the physical safety of passengers and other road users.Electric vehicles, on the other hand, are heavily reliant on secure battery management systems and charging infrastructure, which must be protected to prevent tampering that could result in battery drain or damage. EVs and autonomous vehicles often feature OTA updates, meaning they require continuous software upgrades for optimal performance and security. This capability introduces additional security challenges, as any vulnerability in the OTA system could expose the vehicle's software to malicious modifications. For these reasons, automakers and cybersecurity providers are investing in specialized solutions tailored for EV and autonomous architectures, such as end-to-end encryption, secure boot processes, and redundant safety protocols, to ensure the integrity of the vehicle's systems against cyber threats.
What Factors Are Driving Growth in the Automotive Cybersecurity Market?
The growth in the automotive cybersecurity market is driven by a combination of technological advancements, regulatory requirements, and heightened consumer expectations for vehicle safety. One key driver is the increasing sophistication of in-vehicle systems and connectivity features, which create numerous entry points that cybercriminals could exploit. With the rise of vehicle-to-everything (V2X) communication, vehicles are now linked to traffic systems, other cars, and even home networks, raising the need for secure data transmission to protect against interception and tampering.Another significant factor is the shift toward autonomous and electric vehicles, which demand complex, integrated cybersecurity frameworks to secure mission-critical systems, from navigation to power management. Regulatory bodies worldwide are also enforcing cybersecurity standards in the automotive industry, mandating that automakers implement robust security measures to protect consumers from cyber risks. For instance, the UNECE WP.29 regulations require automakers to establish cybersecurity management systems for vehicle models sold in Europe, pushing the industry to adopt standardized security practices.
Moreover, as consumers become more aware of cyber risks, their expectations for cybersecurity in vehicles are rising, influencing automakers to invest in highly secure systems that protect both data and personal safety. These factors are propelling the automotive cybersecurity market forward, solidifying it as a vital area of investment as the automotive industry embraces a more connected, autonomous, and digital future.
Scope of the Study
The report analyzes the Automotive Cyber Security market, presented in terms of market value (US$ Thousand). The analysis covers the key segments and geographic regions outlined below.Segments
Component (Software, Hardware); Application (ADAS & Safety, Infotainment, Powertrain Systems, Body Control & Comfort, Telematics, Communication Systems); End-Use (Passenger Cars, Light Commercial Vehicles, Heavy Commercial Vehicles)Geographic Regions/Countries
World; United States; Canada; Japan; China; Europe (France; Germany; Italy; United Kingdom; Spain; Russia; and Rest of Europe); Asia-Pacific (Australia; India; South Korea; and Rest of Asia-Pacific); Latin America (Argentina; Brazil; Mexico; and Rest of Latin America); Middle East (Iran; Israel; Saudi Arabia; United Arab Emirates; and Rest of Middle East); and Africa.Key Insights:
- Market Growth: Understand the significant growth trajectory of the Component Software segment, which is expected to reach US$8.2 Billion by 2030 with a CAGR of a 16.2%. The Hardware Component segment is also set to grow at 15.1% CAGR over the analysis period.
- Regional Analysis: Gain insights into the U.S. market, estimated at $1.1 Billion in 2023, and China, forecasted to grow at an impressive 20.5% CAGR to reach $2.8 Billion by 2030. Discover growth trends in other key regions, including Japan, Canada, Germany, and the Asia-Pacific.
Why You Should Buy This Report:
- Detailed Market Analysis: Access a thorough analysis of the Global Automotive Cyber Security Market, covering all major geographic regions and market segments.
- Competitive Insights: Get an overview of the competitive landscape, including the market presence of major players across different geographies.
- Future Trends and Drivers: Understand the key trends and drivers shaping the future of the Global Automotive Cyber Security Market.
- Actionable Insights: Benefit from actionable insights that can help you identify new revenue opportunities and make strategic business decisions.
Key Questions Answered:
- How is the Global Automotive Cyber Security Market expected to evolve by 2030?
- What are the main drivers and restraints affecting the market?
- Which market segments will grow the most over the forecast period?
- How will market shares for different regions and segments change by 2030?
- Who are the leading players in the market, and what are their prospects?
Report Features:
- Comprehensive Market Data: Independent analysis of annual sales and market forecasts in US$ Million from 2023 to 2030.
- In-Depth Regional Analysis: Detailed insights into key markets, including the U.S., China, Japan, Canada, Europe, Asia-Pacific, Latin America, Middle East, and Africa.
- Company Profiles: Coverage of major players in the Global Automotive Cyber Security Market such as Argus Cyber Security, Cequence Security, Continental Automotive Technologies GmbH, Cyberkov Co., Ltd., DEKRA SE and more.
- Complimentary Updates: Receive free report updates for one year to keep you informed of the latest market developments.
Some of the 42 companies featured in this Global Automotive Cyber Security Market report include:
- Argus Cyber Security
- Cequence Security
- Continental Automotive Technologies GmbH
- Cyberkov Co., Ltd.
- DEKRA SE
- L&T Technology Services Limited
- Thales Group
- TÜV SÜD, AG
- Upstream Security, Inc.
- Vector Informatik GmbH
Table of Contents
I. METHODOLOGYII. EXECUTIVE SUMMARY2. FOCUS ON SELECT PLAYERSIII. MARKET ANALYSISCANADAITALYSPAINRUSSIAREST OF EUROPESOUTH KOREAREST OF ASIA-PACIFICARGENTINABRAZILMEXICOREST OF LATIN AMERICAIRANISRAELSAUDI ARABIAUNITED ARAB EMIRATESREST OF MIDDLE EASTIV. COMPETITION
1. MARKET OVERVIEW
3. MARKET TRENDS & DRIVERS
4. GLOBAL MARKET PERSPECTIVE
UNITED STATES
JAPAN
CHINA
EUROPE
FRANCE
GERMANY
UNITED KINGDOM
ASIA-PACIFIC
AUSTRALIA
INDIA
LATIN AMERICA
MIDDLE EAST
AFRICA
Companies Mentioned
- Argus Cyber Security
- Cequence Security
- Continental Automotive Technologies GmbH
- Cyberkov Co., Ltd.
- DEKRA SE
- L&T Technology Services Limited
- Thales Group
- TÜV SÜD, AG
- Upstream Security, Inc.
- Vector Informatik GmbH
Table Information
| Report Attribute | Details |
|---|---|
| No. of Pages | 93 |
| Published | November 2024 |
| Forecast Period | 2023 - 2030 |
| Estimated Market Value ( USD | $ 4.1 Billion |
| Forecasted Market Value ( USD | $ 11.4 Billion |
| Compound Annual Growth Rate | 15.9% |
| Regions Covered | Global |
| No. of Companies Mentioned | 10 |
