USD 25.62 billion
IoT Security Market Size, Share, and Growth Analysis
IoT Security Market By Type of Security (Network Security, Endpoint Security), By Component (Solution, Services), By End-user Industry (Automotive, Healthcare), By Region - Industry Forecast 2025-2032
Report ID:
SQMIG45A2155 |
Region:
Global |
Published Date: February, 2025
Pages:
157
|Tables:
133
|Figures:
77
Format -
IoT Security Market Insights
Global IoT Security Market size was valued at USD 25.62 billion in 2023 and is poised to grow from USD 33.36 billion in 2024 to USD 275.47 billion by 2032, growing at a CAGR of 30.2% during the forecast period (2025-2032).
IoT security refers to the protection of IoT devices and networks from cyber threats. IoT security secures connected devices, data, and systems using encryption, authentication, and access control so that there would not be any unauthorized access or data breach leading to possible attacks and would assure the integrity and privacy of an IoT ecosystem. The spread of IoT devices across different sectors is one of the major enablers for the IoT security market. IoT devices have been witnessing increased adoption in smart homes, wearable technologies, healthcare, industrial applications, etc. With the increasing interconnection of more and more devices through IoT, the scope for potential attacks by malicious cyber threats also widens, hence calling for sophisticated IoT security solutions to protect such networks.
Another significant market enabler is the integration of artificial intelligence (AI) and machine learning (ML) in IoT security solutions. AI and ML technologies greatly increase the ability of IoT security solutions to detect and respond to threats in real-time. They make analyzing huge volumes of data generated by the IoT devices easier and can identify patterns and anomalies for potential security breaches.
Market snapshot - 2025-2032
Global Market Size
Largest Segment
Solutions
Fastest Growth
Solutions
Growth Rate
30.2% CAGR
Global IoT Security Market ($ Bn)
Regional Share (%)
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IoT Security Market Segments Analysis
Global IoT Security Market is segmented by Type of Security, Component, End-user Industry and region. Based on Type of Security, the market is segmented into Network Security, Endpoint Security, Application Security, Cloud Security and Other. Based on Component, the market is segmented into Solution and Services. Based on End-user Industry, the market is segmented into Automotive, Healthcare, Manufacturing, Infrastructure & Cities, Industrial Systems & Sensors, Smart Home & Consumer and Transport & Urban Mobility. Based on region, the market is segmented into North America, Europe, Asia Pacific, Latin America and Middle East & Africa.
Analysis by Offering
Solutions is leading the global IoT security market by offerings segment because of its all-inclusive, scalable, and customizable nature. It is valued at USD 13.5 billion in 2024 and expected to grow at a CAGR of 19.9% to reach USD 57.9 billion in 2032. Solutions provide end-to-end security across diverse industries such as healthcare, manufacturing, and smart cities. These solutions integrate advanced technologies like AI and machine learning for proactive threat detection and real-time monitoring. Modular components offer businesses the ability to choose tailored offerings for specific needs, which ensures flexibility. Additional ones are the cost-efficient scalabilities of cloud-based and subscription models along with regulatory compliances. Together, all these factors make them very favorable choice for secure IoT ecosystems.
The segment which is growing rapidly under offerings is services with USD 11.9 billion in 2024 and assumed to reach USD 54.6 billion in 2032 with a CAGR of 20.9%. Increase in demand for specialized expertise and managed security solutions is driving this segment. As IoT ecosystems grow in complexity, businesses require ongoing monitoring, threat detection, and risk management, which is provided by services like managed security, consulting, and incident response. These services enable companies to stay ahead of evolving threats without requiring extensive in-house resources. Scalability, cost-effectiveness, and adapting to new vulnerabilities makes the services highly relevant to the organizations seeking protection for their IoT infrastructure, in conformance with the compliance and security requirements.
Analysis by Data Sensitivity
By data sensitivity, low and moderate sensitive data dominates the global IoT security market, with USD 13.8 billion in 2024 and expected to grow at a CAGR of 19.2%. to reach 56.4 billion in 2032 because, these are the ones that can have the most versatile used-case scenarios. Since such data include less crucial but highly useful information that has to be processed by IoT, the majority of use cases mandate processing fewer sensitive data not necessitating high-security standards in case of smart home appliances, industrial monitoring, or environmental sensors. Demand for the most cost-effective solutions to data integrity, privacy, and availability comes without complications involved with sensitive data. As a result, this segment serves a wide range of businesses, making it the largest in the market.
High sensitive data is the fastest growing segment under data sensitivity market because of the rising necessity for securing critical and personal data managed by IoT devices in various industries including healthcare, finance, and smart cities. As a consequence of increasing breaches in systems, violation of privacy, and regulatory compliance (such as GDPR), businesses working with sensitive data must ensure that advanced security systems, such as encryption, secured authentication, and real-time monitoring, are implemented. Increasing use of IoT in sensitive areas along with the threat of cyberattacks is driving demand for specialized security solutions, making this segment important to maintain trust and mitigate risks.
Global IoT Security Market By Offering
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IoT Security Market Regional Insights
North America is the leading region with USD 9.8 Billion in 2024 and is assumed to reach USD 39.8 Billion by 2032 with a CAGR of 19.2% because of its technological framework, high penetration rates of the IoT devices, and cybersecurity measures. Specifically, U.S. and Canada lead in IoT adoption across healthcare, manufacturing, and smart city projects, which makes them require efficient security tools. Several key IoT security solution vendors are based in North America and lead innovations in the market. Also, strong government initiative across strong data protection regulations and cybersecurity frameworks further enhances this region as a leader in the use of IoT security to ensure the proper protection of sensitive data and devices from an emerging threat.
The fastest-growing market is Asia-Pacific with a CAGR of 22.2% in the IOT security market, as it is rapidly digitalizing and increasing the number of IoT devices. China, India, and Japan are among the key countries driving this growth. Growing industrial sectors such as manufacturing, healthcare, and smart cities are increasing demand for IoT security solutions. The governments of this region also are enforcing more strict regulations to secure their critical infrastructure and data privacy. Rapid urbanization, innovative technology, investments in 5G and AI are all fueling growth in the region, hence making it a key player in the IoT security landscape.
Global IoT Security Market By Geography
- Largest
- Fastest
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IoT Security Market Dynamics
IoT Security Market Drivers
Connected Devices' Growth Fuels Global Demand for IoT Security
- The expansion of the IoT ecosystem is transforming the global IoT security market, led by the increased number of connected devices. The growing use of smart devices-from industrial sensors to smart homes-increases cyber threats. For instance, the development of smart home products, in which security features such as cameras and locks are in high demand, is gaining momentum. Consumers feel security is first, and with this comes a demand for working IoT solutions protecting their homes.
Regulations and Government Initiatives Accelerate Global IoT Security Growth
- IoT ecosystem security is encouraged by government initiatives and regulatory measures, which fuel the global IoT security market. Government has become uncompromising in terms of law enforcement and even the GDPR from the EU that mandates protecting data for the IoT devices handling personal information has come into action with heavy penalties for non-adherence. In the US, California IoT Security Law is in place, requiring manufacturers to ensure strong security measures, and Cybersecurity Improvement Act comes as minimum requirements for the IoT devices purchased by the federal government.
IoT Security Market Restraints
High Implementation and Maintenance Costs Hinder IoT Security Market
- High security costs pose a major challenge to the global IoT market. Many organizations incur costly certificate breaches, which average $2.25 million, and cyber-attacks that cost $250,000 per incident. The upfront expenses for IoT security, including advanced equipment, software, integration, and staff training, pose barriers, especially to SMEs. The costs of ongoing maintenance, software, and hardware updates further contribute to costs, affecting ROI and slowing market growth by increasing the time to achieve a positive return on security investments.
Absence of Standardization and Interoperability is a Threat to Global IoT Security
- Lack of standardization in the IoT ecosystem poses a challenge in the global IoT security industry. Multiple IoT devices and platforms with their unique security requirements make it challenging to maintain consistency in information security. The lack of standardized security frameworks leads to inconsistency in encryption, authentication, and threat detection. In addition, the incompatibility of devices makes the integration of security even more complex and increases vulnerabilities. Industry fragmentation does not allow companies to have a robust security across different IoT environments.
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IoT Security Market Competitive Landscape
The Global IoT Security Market is driven by companies like Microsoft Corporation, Amazon.com, Inc. (AWS), Cisco, IBM Corporation, and Palo Alto Networks, Inc., which together have a market share of 38.92%. They use their technological strengths, enormous cloud infrastructure, and established customer base to consolidate and expand the market. For example, Microsoft has heavily invested in its Azure IoT security solutions that provide an end-to-end set of tools to include threat detection, device authentication, and data encryption. In the same manner, AWS used its cloud services and IoT Core offerings to attract enterprise clients while focusing on secure and scalable solutions for a variety of IoT applications across industries. Both Microsoft and AWS continue to upgrade AI-driven analytics and machine learning capabilities as part of their security frameworks to enhance threat prediction and real-time monitoring capabilities.
Top Players in IoT Security Market
- Cisco Systems, Inc. (USA)
- IBM Corporation (USA)
- Intel Corporation (USA)
- Siemens AG (Germany)
- Infineon Technologies AG (Germany)
- Broadcom Inc. (USA)
- Fortinet Inc. (USA)
- Palo Alto Networks, Inc. (USA)
- Karamba Security Ltd. (Israel)
- Trend Micro Incorporated (Japan)
- Symantec Corporation (USA)
- ARM Holdings (UK)
- Check Point Software Technologies Ltd. (Israel)
- Gemalto NV (Netherlands)
- Sophos Group plc (UK)
- PTC Inc. (USA)
- AT&T Inc. (USA)
- Verizon Communications Inc. (USA)
- Thales Group (France)
Recent Developments
- In April 2024, Cisco has invested in Upstream Security, a cloud-based platform for connected cars and IoT ecosystems, to enhance vehicle cybersecurity and compliance with regulations like UNECE R155. Upstream’s technology integrates with Cisco's IoT Control Center to secure connected mobility services by providing advanced threat detection and response capabilities without hardware installation.
- In April 2024, IBM Cloud and Fortinet have jointly announced the availability of the Fortinet Virtual FortiGate Security Appliance (vFSA) on IBM Cloud, which will improve cloud network security through features such as automated installations and FortiFlex licensing. Designed to protect hybrid and multi-cloud settings and specifically paying attention to the monitoring of IoT devices in manufacturing, vFSA supports a wide range of industries such as financial services, retail, and manufacturing.
- In December 2024, partnership of Amazon Web Services (AWS) and ZKTeco has enhanced cloud capabilities of ZKTeco and brought the Minerva IoT platform. With the support of AWS, ZKTeco can develop IoT solutions that are safe, scalable, and intelligent. The collaboration of AWS's Cloud Foundations technology makes sure that operations run efficiently, high security is provided, and the services are quickly deployed.
IoT Security Key Market Trends
- Rising Concerns Over Smart Home Security: As smart home devices become mainstream, consumers increasingly get worried about the security risks related to these connected gadgets. To address the rising concerns, demand for strong security solutions increased because of hacking, unauthorized access, and data breaches. Consumers fear that cyber criminals will use loopholes in smart locks, cameras, and thermostats to steal personal data. These issues are addressed by companies such as Amazon's Ring through end-to-end encryption, two-factor authentication, and real-time alerts.
- Blockchain for IoT Data Security and Device Identity Management: Blockchain-based technology strengthens the security of IoT and managed device identity through decentralized, tamper-proof ledgers. It gives reliability to an IoT device for registering, authenticating, and communicating without a central authority. Vulnerabilities in this approach include cyberattacks, which can be dramatically reduced through this application, as will be further explained. For instance, in Identity Management, devices are cryptographically identified. In proper authentication, they will only connect with the proper credentials, and IBM Watson IoT assures the security of information exchanging data using blockchain.
IoT Security Market SkyQuest Analysis
SkyQuest's ABIRAW (Advanced Business Intelligence, Research & Analysis Wing) is our Business Information Services team that Collects, Collates, Correlates, and Analyses the Data collected by means of Primary Exploratory Research backed by robust Secondary Desk research.
As per SkyQuest analysis, in conclusion, Solutions by offerings lead the market because of it is scalable and inclusive. It also provides end-to-end security across various industries from healthcare to manufacturing. And North America is a market leader in this market because of its development in technological infrastructure, high penetration of IoT devices and cybersecurity measures. This market is majorly driven by increase in number of connected and smart devices.
Increased security cost is one of the biggest challenges for a global IoT market. Organizations are experiencing breach of expensive certificates averaging $2.25 million and cyberattacks costing $250,000 per incident. The initial costs for initiating IoT security, ranging from high-end equipment, software, integration, and training of staff, have many hurdles in it, even for the SMEs.
| Report Metric | Details |
|---|---|
| Market size value in 2023 | USD 25.62 billion |
| Market size value in 2032 | USD 275.47 billion |
| Growth Rate | 30.2% |
| Base year | 2024 |
| Forecast period | 2025-2032 |
| Forecast Unit (Value) | USD Billion |
| Segments covered |
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| Regions covered | North America (US, Canada), Europe (Germany, France, United Kingdom, Italy, Spain, Rest of Europe), Asia Pacific (China, India, Japan, Rest of Asia-Pacific), Latin America (Brazil, Rest of Latin America), Middle East & Africa (South Africa, GCC Countries, Rest of MEA) |
| Companies covered |
|
| Customization scope | Free report customization with purchase. Customization includes:-
|
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Table Of Content
Executive Summary
Market overview
- Exhibit: Executive Summary – Chart on Market Overview
- Exhibit: Executive Summary – Data Table on Market Overview
- Exhibit: Executive Summary – Chart on IoT Security Market Characteristics
- Exhibit: Executive Summary – Chart on Market by Geography
- Exhibit: Executive Summary – Chart on Market Segmentation
- Exhibit: Executive Summary – Chart on Incremental Growth
- Exhibit: Executive Summary – Data Table on Incremental Growth
- Exhibit: Executive Summary – Chart on Vendor Market Positioning
Parent Market Analysis
Market overview
Market size
- Market Dynamics
- Exhibit: Impact analysis of DROC, 2021
- Drivers
- Opportunities
- Restraints
- Challenges
- Exhibit: Impact analysis of DROC, 2021
- SWOT Analysis
KEY MARKET INSIGHTS
- Technology Analysis
- (Exhibit: Data Table: Name of technology and details)
- Pricing Analysis
- (Exhibit: Data Table: Name of technology and pricing details)
- Supply Chain Analysis
- (Exhibit: Detailed Supply Chain Presentation)
- Value Chain Analysis
- (Exhibit: Detailed Value Chain Presentation)
- Ecosystem Of the Market
- Exhibit: Parent Market Ecosystem Market Analysis
- Exhibit: Market Characteristics of Parent Market
- IP Analysis
- (Exhibit: Data Table: Name of product/technology, patents filed, inventor/company name, acquiring firm)
- Trade Analysis
- (Exhibit: Data Table: Import and Export data details)
- Startup Analysis
- (Exhibit: Data Table: Emerging startups details)
- Raw Material Analysis
- (Exhibit: Data Table: Mapping of key raw materials)
- Innovation Matrix
- (Exhibit: Positioning Matrix: Mapping of new and existing technologies)
- Pipeline product Analysis
- (Exhibit: Data Table: Name of companies and pipeline products, regional mapping)
- Macroeconomic Indicators
COVID IMPACT
- Introduction
- Impact On Economy—scenario Assessment
- Exhibit: Data on GDP - Year-over-year growth 2016-2022 (%)
- Revised Market Size
- Exhibit: Data Table on IoT Security Market size and forecast 2021-2027 ($ million)
- Impact Of COVID On Key Segments
- Exhibit: Data Table on Segment Market size and forecast 2021-2027 ($ million)
- COVID Strategies By Company
- Exhibit: Analysis on key strategies adopted by companies
MARKET DYNAMICS & OUTLOOK
- Market Dynamics
- Exhibit: Impact analysis of DROC, 2021
- Drivers
- Opportunities
- Restraints
- Challenges
- Exhibit: Impact analysis of DROC, 2021
- Regulatory Landscape
- Exhibit: Data Table on regulation from different region
- SWOT Analysis
- Porters Analysis
- Competitive rivalry
- Exhibit: Competitive rivalry Impact of key factors, 2021
- Threat of substitute products
- Exhibit: Threat of Substitute Products Impact of key factors, 2021
- Bargaining power of buyers
- Exhibit: buyers bargaining power Impact of key factors, 2021
- Threat of new entrants
- Exhibit: Threat of new entrants Impact of key factors, 2021
- Bargaining power of suppliers
- Exhibit: Threat of suppliers bargaining power Impact of key factors, 2021
- Competitive rivalry
- Skyquest special insights on future disruptions
- Political Impact
- Economic impact
- Social Impact
- Technical Impact
- Environmental Impact
- Legal Impact
Market Size by Region
- Chart on Market share by geography 2021-2027 (%)
- Data Table on Market share by geography 2021-2027(%)
- North America
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- USA
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Canada
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Europe
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- Germany
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Spain
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- France
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- UK
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Rest of Europe
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Asia Pacific
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- China
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- India
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Japan
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- South Korea
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Rest of Asia Pacific
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Latin America
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- Brazil
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Rest of South America
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Middle East & Africa (MEA)
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- GCC Countries
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- South Africa
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Rest of MEA
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
KEY COMPANY PROFILES
- Competitive Landscape
- Total number of companies covered
- Exhibit: companies covered in the report, 2021
- Top companies market positioning
- Exhibit: company positioning matrix, 2021
- Top companies market Share
- Exhibit: Pie chart analysis on company market share, 2021(%)
- Total number of companies covered
Methodology
For the IoT Security Market, our research methodology involved a mixture of primary and secondary data sources. Key steps involved in the research process are listed below:
1. Information Procurement: This stage involved the procurement of Market data or related information via primary and secondary sources. The various secondary sources used included various company websites, annual reports, trade databases, and paid databases such as Hoover's, Bloomberg Business, Factiva, and Avention. Our team did 45 primary interactions Globally which included several stakeholders such as manufacturers, customers, key opinion leaders, etc. Overall, information procurement was one of the most extensive stages in our research process.
2. Information Analysis: This step involved triangulation of data through bottom-up and top-down approaches to estimate and validate the total size and future estimate of the IoT Security Market.
3. Report Formulation: The final step entailed the placement of data points in appropriate Market spaces in an attempt to deduce viable conclusions.
4. Validation & Publishing: Validation is the most important step in the process. Validation & re-validation via an intricately designed process helped us finalize data points to be used for final calculations. The final Market estimates and forecasts were then aligned and sent to our panel of industry experts for validation of data. Once the validation was done the report was sent to our Quality Assurance team to ensure adherence to style guides, consistency & design.
Analyst Support
Customization Options
With the given market data, our dedicated team of analysts can offer you the following customization options are available for the IoT Security Market:
Product Analysis: Product matrix, which offers a detailed comparison of the product portfolio of companies.
Regional Analysis: Further analysis of the IoT Security Market for additional countries.
Competitive Analysis: Detailed analysis and profiling of additional Market players & comparative analysis of competitive products.
Go to Market Strategy: Find the high-growth channels to invest your marketing efforts and increase your customer base.
Innovation Mapping: Identify racial solutions and innovation, connected to deep ecosystems of innovators, start-ups, academics, and strategic partners.
Category Intelligence: Customized intelligence that is relevant to their supply Markets will enable them to make smarter sourcing decisions and improve their category management.
Public Company Transcript Analysis: To improve the investment performance by generating new alpha and making better-informed decisions.
Social Media Listening: To analyze the conversations and trends happening not just around your brand, but around your industry as a whole, and use those insights to make better Marketing decisions.
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