IoT Security Market witnessed for USD 9,000 million in 2019, growing at a robust CAGR of 22.1% during forecast period. GMI Research speculates that the growing demand for IoT security solutions among several industries and countries is due to the increasing ransomware attacks on IoT devices and growing data risk in IoT networks.
Introduction of the IoT Security Market
IoT security assists in safeguarding the internet-enabled devices that connect through wireless networks. IoT security is the most secure component tied to the Internet of Things and protects IoT-based devices from various cybercrimes. It spans building automation systems, industrial machines, smart energy grids, employees’ IoT devices, and other devices not made for network security.
Key Players of the Market
IoT Security Market Dynamics
The growing ransomware attacks on IoT devices and the rising data risk in IoT networks across the globe are the significant factors that can make the global IoT Security Market mainstream in the coming six years. The hackers are becoming more active and targeting IoT devices and taking advantage of known vulnerabilities, like the default username, static code backdoor, and password. Thereby, the vulnerability of critical systems is increasing, which promotes the government of various countries to adopt IoT-enabled security. Moreover, the increasing demand for IoT security solutions followed by multiplying variants of attacks is an additional factor that positively influences market growth.
Cybercriminals are utilizing multi-layered cyber-attacks to keep an eye on the commercial aspects and intelligence of individuals, enterprises, and countries. This factor has promoted large organizations to integrate their security solutions to reduce the cost and improve the safety of their facility. Hence, the accelerating demand for integrated security solutions will fuel the market demand in the coming years. Furthermore, the growing usage of 3G and 4G long-term growth and wireless networks and technologies surges the cyber-attacks risk. Transaction-related information and real-time information, which is necessary to users, is replaced by these cellular networks, which in turn, is amplifying the need for IoT security. The growing trend of bring your own device (BYOD) is raising concerns related to data security. On the other hand, as per the IoT security market report, the significant factors that are likely to hamper the IoT security market size in the coming years are; a lack of awareness about the exceptional advantages and availability of IoT security solutions. Furthermore, the high cost of installation is an additional factor that will negatively impact market growth.
IoT Security Market Segmentation
Component Market Drivers
Based on the component, the services segment is anticipated to rise at a tremendous CAGR during the forecast period. The services segment is categorized into managed services and professional services. The increasing demand for technical proficiency in IoT devices is a crucial factor boosting the demand for consultation and professional services.
Solution Market Drivers
Based on the solution, the data encryption & tokenization is anticipated to witness faster CAGR during the forecast period. Security is regarded as one of the necessary components in the deployment of IoT in the manufacturing processes. The IoT sensors measure variables, which include speed, pressure, temperature, consumption, and actuator. These systems negatively affect the physical world, control critical infrastructure, and help in receiving sensitive information related to multiple operations and smart equipment. All these consolidated factors are driving the demand for IoT security and privacy protection in several companies.
Application Market drivers
Based on the application, Insect Control is expected to capture the massive market share over the forecast period in the global IoT Security Market attributed to the growing concern for hygiene and diseases related to insects. Insect control is categorized into mosquitoes, flies, cockroaches, termites, ants, and others in the global IoT Security Market.
Based on the region, the Asia-Pacific region is anticipated to dominate the market in the next six years. The increasing adoption of innovative technologies such as Artificial Intelligence, IoT, and several other advanced technologies is a significant factor fueling the market growth in this region. Furthermore, the constant economic growth and the rising spending on IoT, particularly in the major economies such as India, China, India, Japan, and Singapore, is complementing the market growth in the coming years.
IoT Security Market Segmentation
Market Segmentation by Component
Market Segmentation by Type
Market Segmentation by Solution
Market Segmentation by Service
Market Segmentation by Application Area
Market Segmentation by Region
Introduction of GMI Research
GMI Research is a market research and consulting firm that provides market insights and intelligence across 12 major sectors, helping our clients make effective investment and business decisions.