Growth attributed to continuous launches of IoT security offerings by enterprises, soaring number of service providers, and emergence of niche players
The global Internet of Things (IoT) security product market is estimated to register a staggering expansion at 14.9% compound annual growth rate (CAGR) through 2027, according to a recent research by Future Market Insights (FMI).
The market intelligence and consulting firm forecasts revenue from the global IoT security product market to increase from US$ 12 Bn in 2017 to about US$ 48 Bn by 2027 end.
This growth is primarily attributed to continuous launches of IoT security offerings by enterprises, soaring number of service providers, and emergence of niche players in the market.
North America to lead in global IoT security product market
FMI anticipates that North America will remain dominant in the global IoT security product market, with sales estimated to reach nearly US$ 16,000 Mn in revenues by 2027-end.
A growing number of connected devices is expected to fuel demand for IoT security in North America. For instance, the U.S. government invested US$ 8.8 Bn in 2015 in IoT for infrastructure, software and cyber security solutions.
As per the FMI research, Asia Pacific Excluding Japan (APEJ) will continue to be the fastest growing market for IoT security products, registering a high double-digit CAGR through 2027.
Healthcare to be fastest growing vertical in IoT security products market
Manufacturing is estimated to remain the largest vertical for IoT security products in the global market with revenues amassed from sales of IoT security products in manufacturing expected to reach US$ 15,088.9 Mn by 2027-end.
It is also predicted that healthcare will be the fastest growing vertical in the global IoT security products market, followed by energy & utility, and transportation & logistics.
In terms of value, the smart grid segment is projected to be the most attractive in the global IoT security product market during the forecast period. However, the home and building automation segment is expected to register high Y-o-Y growth rates throughout the forecast period, registering a CAGR of 16.2% throughout 2027.
In terms of component, software is projected to continue to retain its dominance in the global IoT security product market, with sales expanding at 15.2% CAGR through 2027. In addition, sales of hardware in the market is expected to surpass revenues worth US$ 20,000 Mn by 2027-end.
Key market players identified in FMI’s report include IBM Corporation, Cisco System Inc., Intel Corporation, Check Point Software Technologies Ltd., Trend Micro Inc., Infineon Technologies, Symantec Technologies, Sophos Group PLC, Palo Alto Networks, ARM Holding PLC.