Cyber Security Market Report, Size, Share, Opportunities, And Trends By Component, Deployment Model, Enterprise Size, Application, Industry Vertical, Geography - Forecast From 2024 To 2029

Description

Cyber Security Market Size:

The cyber security market is evaluated at US$213.618 billion for the year 2022 growing at a CAGR of 11.22% reaching the market size of US$449.572 billion by the year 2029.

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The growing incidence of malware and phishing attacks is the major driver of the global cybersecurity market. There has been rapid adoption of advanced technologies such as the Internet of Things (IoT), which has increased the threat of cyberattacks across various industry verticals. For example, according to NASA OIG, cybersecurity incidents at NASA surged significantly in 2021, that is, from 1,469 in 2020 to 1,785 in 2021, mainly due to the decline in NASA’s cybersecurity budget over the same period. Governments are allocating hefty amounts to the cybersecurity budget, which is boosting the global cybersecurity market growth significantly. The emerging popularity of cloud-based cybersecurity solutions and the growing usage of mobile devices within organizations are further boosting the adoption of cybersecurity solutions and services to manage and track the data flow in various systems while protecting crucial information by monitoring, classifying, and resolving different types of cyberattacks.

Cyber Security Market Analysis

Growth Drivers

• Product innovation by major market players is anticipated to increase the market.

Key players have been continuously engaging in various growth strategies to get significant market share by boosting their ability to help enterprises of varied sizes anticipate, detect, and respond to cyber threats. The growing digitalization of businesses has increased the level of breach threats, which can cause significant business risk. Moreover, companies are investing heavily in cybersecurity solutions to develop a risk-free atmosphere. However, there is still a lack of proper awareness and infrastructure in many countries to deploy cybersecurity solutions, which is currently restraining the cybersecurity market’s growth. 

• Growing demand for cybersecurity solutions.

The worldwide cybersecurity market is greatly impacted by the growing cyber threat scenario, which is also fueling a spike in demand for cutting-edge services and solutions. The increasing prevalence of advanced cyberattacks, such as phishing, ransomware, and nation-state-sponsored threats, has forced organizations all over the world to strengthen their defenses. A rise in funding for cutting-edge technology, threat intelligence, and qualified cybersecurity specialists is being driven by the heightened awareness of cybersecurity dangers. Furthermore, the ever-changing techniques of cyber attackers, in addition to the growing attack surface resulting from the use of cloud computing and digital transformation, drive a continual innovation of cybersecurity measures.

• Supply Chain Analysis

The cybersecurity supply chain, primarily composed of software, services, and hardware components, is inherently complex due to its reliance on a fragmented global ecosystem of developers, system integrators, and Managed Service Providers. The core production hubs are concentrated in North America and Western Europe, where the majority of intellectual property for advanced security software originates. A key dependency and logistical complexity revolves around the software supply chain, where third-party libraries and code repositories introduce an expanded attack surface. A breach in a single vendor's software development lifecycle can propagate vulnerabilities across thousands of downstream corporate customers, as exemplified by significant historical events. This dependency drives direct demand for Software Supply Chain Security (SSCS) tools and Application Security (AppSec) testing services, as enterprises mandate software assurance to mitigate risks inherent in their digital product dependencies.

Cyber Security Market Segment Analysis

• Identity and Access Management (By Application)

The Identity and Access Management (IAM) segment experiences profound demand acceleration because the corporate perimeter has dissolved under the influence of hybrid work and cloud adoption. IAM solutions are no longer merely authentication tools; they are the fundamental control plane for enterprise risk. The pervasive nature of credential theft as the preferred entry vector for attackers, representing a significant percentage of all cyber incidents, mandates the shift towards advanced IAM platforms. Organisations are aggressively investing in Identity Governance and Administration (IGA) and Privileged Access Management (PAM) to mitigate insider threats and control access for third-party vendors. The transition to an "Identity-First" security strategy directly drives the demand for consolidated identity fabrics capable of providing a cohesive and adaptive security layer across multi-cloud environments, superseding fragmented, legacy identity silos. This is an essential investment to reduce risk and manage the chaos created by a proliferation of multicloud applications.

• BFSI (By Industry Vertical)

The Banking, Financial Services, and Insurance (BFSI) vertical is anticipated to account for a noteworthy market share till the end of the forecast period, as there have been a frequent number of cyberattacks across this sector. Strict regulations regarding the safety and security of the money of banks’ customers are also pressuring them to opt for cybersecurity solutions and services. For example, U.S. federal law requires banks to refund their customers if someone takes money from their account without authorization, and they notify the bank within 60 days of the transaction happening.

Cyber Security Market Geographical Analysis

• US Market Analysis (North America)

The US market for cybersecurity is the largest globally, primarily driven by high IT maturity, significant federal spending on defense and critical infrastructure protection, and a culture of aggressive digital adoption. Demand is overwhelmingly shaped by the Executive Order 14028 mandate for federal agencies to implement Zero-Trust Architectures, which private contractors are subsequently adopting to align with government security requirements. Furthermore, state-level regulations, such as the California Consumer Privacy Act (CCPA), compel enterprises to invest in sophisticated Data Security and Privacy technologies to manage and protect consumer data, creating local demand for GRC and data mapping solutions.

• Saudi Arabia Market Analysis (Middle East & Africa)

Saudi Arabia’s Vision 2030, with its focus on large-scale digital transformation and smart city development, is the primary demand driver. Massive government investment in critical national infrastructure and the adoption of cloud computing necessitate a focus on Cloud Security and Infrastructure Protection. The establishment of regulatory bodies like the National Cybersecurity Authority (NCA) standardises security controls, compelling public and private sector organisations to procure compliant products and services, particularly those related to data sovereignty and local data centre protection.

• India Market Analysis (Asia-Pacific)

India represents one of the fastest-growing cybersecurity markets, propelled by pervasive digitalisation initiatives like Digital India and the recent operationalisation of the Digital Personal Data Protection (DPDP) Act. The Act’s steep penalties for non-compliance are driving a measurable shift in corporate security budget allocation towards GRC, robust Data Security and Privacy tools, and a surge in the procurement of cyber insurance. The BFSI and IT/Telecom sectors lead expenditure due to high volumes of digital transactions and data, facing complex threat landscapes, including high rates of malware and phishing incidents.

Cyber Security Market Competitive Environment and Analysis

The cybersecurity market is characterised by a diverse competitive landscape, spanning multinational IT services giants, pure-play security vendors, and highly specialised software firms. Competition is centred on platform consolidation, particularly around Zero Trust and AI-driven capabilities, forcing vendors to acquire or internally develop next-generation solutions to maintain relevance.

• IBM

IBM is strategically positioned as a comprehensive service and solutions provider, leveraging its global consulting presence and proprietary threat intelligence from its X-Force division. The company's focus is on integrating security within broader enterprise digital transformation, with key products like IBM Security QRadar (SIEM/SOAR) and IBM Security Verify (Identity and Access Management). IBM’s strategic approach emphasises building a vendor-agnostic "identity fabric" and infusing AI into its security operations to combat advanced threats, positioning it as a preferred partner for large-scale, complex enterprise security modernisations.

• McAfee, LLC

McAfee maintains a strong consumer and enterprise presence, with a renewed focus on AI-driven protection. Key product launches in 2024 and 2025 demonstrate a clear strategic pivot towards addressing AI-powered threats. The launch of the AI-Powered Scam Detector and its integration into core product offerings exemplifies their strategy of delivering real-time, proactive protection against deepfake-based fraud and automated social engineering. McAfee leverages its large installation base to rapidly deploy these AI capabilities, focusing on endpoint and consumer protection as a core element of its growth.

Cyber Security Market Developments

• October 2025: IBM Acquisition of Cognitus

IBM announced its agreement to acquire Cognitus, a provider focused on accelerating SAP transformations globally, with particular strength in regulated industries such as Aerospace and Defense, Energy and Utilities, and Manufacturing. This strategic acquisition directly enhances IBM's ability to offer deep, industry-specific security and compliance consulting services, creating direct demand for IBM’s security portfolio by embedding it into large-scale, enterprise-critical SAP projects. (Source: IBM Newsroom)

• May 2025: Check Point’s Acquisition of Veriti

Check Point Software Technologies reached an agreement to acquire Veriti, a startup that pioneered the category of pre-emptive exposure management. This acquisition strengthens Check Point's existing platform by integrating Veriti's automated, preventative security capabilities. The move is a strategic capacity addition aimed at enhancing their ability to proactively identify and remediate security gaps across the attack surface, increasing the appeal of their consolidated platform for enterprises seeking exposure management solutions. (Source: Check Point Software Technologies Press Release)

• January 2025: McAfee Launches AI-Powered Scam Detector

McAfee, LLC launched its AI-Powered Scam Detector, a new product capability designed to stop scams before they impact the user. The tool leverages artificial intelligence to analyse text, email, and video scams in real-time, providing immediate protection against increasingly sophisticated social engineering and deepfake threats. This product launch reflects a strategic investment to directly address the surging demand for AI-native consumer and business protection tools in response to the rise of generative AI-powered attacks. (Source: McAfee Newsroom)

Cyber Security Market Scope:

Cyber Security Market Segmentation:

• By Component
  • Solutions
  • Services
• By Deployment Model
  • On-Premise
  • Cloud
• By Enterprise Size
  • Small
  • Medium
  • Large
• By Application
  • Application Security
  • Infrastructure Security
  • Identity and Access Management
  • Data Security and Privacy
  • Government Risk and Compliance
  • Others
• By Industry Vertical
  • BFSI
  • Aerospace and Defense
  • Retail
  • IT and Telecom
  • Healthcare
  • Energy and Utilities
  • Others
• By Geography
  • North America
    • USA
    • Canada
    • Mexico
  • South America
    • Brazil
    • Argentina
    • Others 
  • Europe
    • United Kingdom
    • Germany
    • France
    • Spain
    • Others 
  • Middle East and Africa
    • Saudi Arabia
    • UAE
    • Israel
    • Others 
  • Asia Pacific
    • China
    • Japan
    • India
    • South Korea
    • Taiwan
    • Thailand
    • Indonesia
    • Others

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Table Of Contents

1. EXECUTIVE SUMMARY

2. MARKET SNAPSHOT

2.1. Market Overview

2.2. Market Definition

2.3. Scope of the Study

2.4. Market Segmentation

3. BUSINESS LANDSCAPE

3.1. Market Drivers

3.2. Market Restraints

3.3. Market Opportunities

3.4. Porter’s Five Forces Analysis

3.5. Industry Value Chain Analysis

3.6. Policies and Regulations

3.7. Strategic Recommendations

4. TECHNOLOGICAL OUTLOOK

5. Cyber Security Market BY Component

5.1. Introduction

5.2. Solutions

5.3. Services

6. Cyber Security MARKET BY deployment model

6.1. Introduction

6.2. On-Premise

6.3. Cloud

7. Cyber Security Market BY Enterprise size

7.1. Introduction

7.2. Small

7.3. Medium

7.4. Large

8. Cyber Security Market BY application

8.1. Introduction

8.2. Application Security

8.3. Infrastructure Security

8.4. Identity and Access Management

8.5. Data Security and Privacy

8.6. Government Risk and Compliance

8.7. Others

9. Cyber Security Market BY industry vertical

9.1. Introduction

9.2. BFSI

9.3. Aerospace and Defense

9.4. Retail

9.5. IT and Telecom

9.6. Healthcare

9.7. Energy and Utilities

9.8. Others

10. cyber security MARKET BY GEOGRAPHY

10.1. Introduction

10.2. North America

10.2.1. United States

10.2.2. Canada

10.2.3. Mexico

10.3. South America

10.3.1. Brazil

10.3.2. Argentina

10.3.3. Others

10.4. Europe

10.4.1. Germany

10.4.2. France

10.4.3. United Kingdom

10.4.4. Spain

10.4.5. Others

10.5. Middle East and Africa

10.5.1. Saudi Arabia

10.5.2. UAE

10.5.3. Others

10.6. Asia Pacific

10.6.1. China

10.6.2. India

10.6.3. Japan

10.6.4. South Korea

10.6.5. Indonesia

10.6.6. Thailand

10.6.7. Others

11. COMPETITIVE ENVIRONMENT AND ANALYSIS

11.1. Major Players and Strategy Analysis

11.2. Market Share Analysis

11.3. Mergers, Acquisitions, Agreements, and Collaborations

11.4. Competitive Dashboard

12. COMPANY PROFILES

12.1. Cognizant

12.2. Tata Consultancy Services Limited

12.3. Capgemini

12.4. IBM

12.5. HCL Technologies Limited

12.6. Accenture

12.7. McAfee, LLC

12.8. VMware, Inc

12.9. Quick Heal Technologies Limited

13. APPENDIX

13.1. Currency

13.2. Assumptions

13.3. Base and Forecast Years Timeline

13.4. Key benefits for the stakeholders

13.5. Research Methodology

13.6. Abbreviations

LIST OF FIGURES

LIST OF TABLES

Companies Profiled

Cognizant

Tata Consultancy Services Limited

Capgemini

IBM

HCL Technologies Limited

Accenture

McAfee, LLC

VMware, Inc

Quick Heal Technologies Limited

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