- Growth areas are network security and segmentation technologies, alongside identity and access management and end-point protection.
As the industrial world undergoes a profound shift towards digitization and smart manufacturing practices, the threat to industrial operations from Operational Technology (OT) attacks looms large and pervasive.
According to a report by ABI Research, the OT cybersecurity market is projected to expand significantly, with an estimated growth from $12.75 billion in 2023 to around $21.6 billion by 2028, with an approximate annual growth rate (CAGR) of 9.2 per cent.
Among the key areas poised for growth are network security and segmentation technologies, alongside identity and access management and end-point protection.
Michael Amiri, Senior Industrial Cybersecurity Analyst at ABI Research, said the escalating demand for robust defensive measures within every conceivable industrial sector as digitization and Industry 4.0 concepts gain momentum.
“With the proliferation of OT and Internet of Things (IoT) devices potentially outpacing Information Technology (IT) devices, the necessity to secure a multitude of sensors, routers, and PLCs in industrial settings is driving the rise of OT cybersecurity revenues within the broader cybersecurity market.”
Mounting geopolitical pressures
The evolution of network security technologies, infused with AI and behavioural traffic analysis capabilities to detect and counter OT-specific threats, is expected to witness significant growth as industries increasingly adopt digital practices.
Segmentation technologies are highlighted for their pivotal role in securing OT traffic by providing efficient partitioning and tailored security controls for isolated segments, thereby poised to generate substantial revenue within the OT cybersecurity market.
Despite prevailing macroeconomic challenges, Amiri said that OT cybersecurity market continues to thrive, buoyed by accelerated digitisation trends and mounting geopolitical pressures that fuel heightened spending and market revenues, particularly in sectors vulnerable to cyber threats like oil and gas, utilities, mining, and manufacturing.
“Amidst these dynamics, cybersecurity providers specialising in OT solutions are encouraged to focus their marketing efforts on sectors facing increased cybersecurity risks.”