Automotive Cybersecurity Market

The global automotive cybersecurity market is to be worth more than USD 19.32 billion by 2033.

The ongoing proliferation in demand for connected cars coupled with growing disposable income in developing regions is predicted to enormously support automotive cybersecurity market growth. The analysis has represented vast opportunities in the North American region. Along with the rise in disposable income, consumer interest is also inclining towards more comfortable and safer rides. Innovative technologies will connect, automate, and ultimately drive modern-day vehicles and, with the increasing demand, will turn out to be a part of an interrelated vehicle ecosystem, susceptible to the same cyber security risks as other information ecosystems. In more accustomed information ecosystems, security, vigilance, and resilience are the hallmarks of cyber risk management and information security. With the safety of human passengers at stake, these three principles will direct cybersecurity in the developing mobility ecosystem.

Another Triggering factor for automotive cybersecurity market growth lies in the fact that with increasing demand for connected cars, cybercrimes are also increasing in the automotive industry, which has led to the implementation of rigid cybersecurity standards globally. For instance, in June 2020, the World Forum for Harmonization of Vehicle Regulations (WP29) implemented a new international automotive cybersecurity regulation to pave the way for connected vehicles and alleviate the cybersecurity risks of passenger vehicles. The regulation establishes performance and audit requirements for cybersecurity and software update management for new-fangled passenger vehicles sold in the European Union and dozens of other countries. The cybersecurity regulation precisely calls out three lifecycle phases: development, production, and post-production, which include monitoring, detecting, and responding to cyberattacks. With the increasing demand for connected cars, which is increasing cyber-attacks on automobiles, cybersecurity standards are being implemented, boosting the market growth of automotive cybersecurity.

The companies operating within the automotive cybersecurity industry are undergoing mergers, collaboration, acquisition, long-term contracts, and service agreements to increase their global footprint. For instance, in January 2022, Aptiv PLC (NYSE: APTV), a global technology company, acquired Wind River, a global leader in delivering software for the intelligent edge, for $4.3 billion in cash.

With Aptiv and Wind River's synergistic technologies and decades of experience delivering safety-critical systems, the company will hasten this journey to a software-defined future of the automotive industry. Combining Wind River's industry-leading software, customer base, and talent with Aptiv's complementary technologies, global resources, and scale will realize the company's vision of the new machine economy. Together, the company will accelerate the digital transformation of its customers across industries through best-in-class intelligent systems software.

According to the CXOs and primary research conducted, the rise in disposable income and the growing influence of governments to increase the adoption of connected cars in developing or developed regions would aggressively impact the automotive cybersecurity market growth. With security, resilience, and vigilance at the automaker's helm, they are taking various steps to safeguard the data they are creating, such as escalating the regulatory, risk, and cybersecurity negotiation to augment overall vehicle safety, security, and privacy, taming the industry's cybersecurity talent, methodologies, proficiency, and responsiveness, edifying secure product expansion and software coding routines coupled with substantial immersion from security professionals, fashioning robust technology and nursing proficiencies and sharing statistics across the industry on budding threats and responses and creating competences within the vehicle, its ecosystem, and supply chain for avoiding attacks, mending exposures, and retorting to attacks.

The automotive cybersecurity market is analyzed across North America, Europe, Asia-Pacific, Latin America, and Middle East & Africa. In line with the analyzed region, the North American region will witness the highest market growth, followed by Europe, Asia-Pacific, Latin America, and Middle East & Africa. The increase in demand for connected cars, implementation of favorable policies by the government, and rise in disposable income. The presence of major industry players within the region is primary factor supporting market potential within the North American region. The major companies operating within the market are Aptive PLC, Broadcom Inc., Continental AG, Denso Corporation, Guard Knox Cyber-Technologies Ltd., Honeywell International, Inc., Harman International, Karamba Security, Robert Bosch GmbH and Vector Informatik GmbH.