Regulation, connected EVs, ADAS, 5G/V2X and cloud adoption drive demand for lifecycle security, managed services and compliance tools, led by Asia-Pacific.
Global Market For Cybersecurity Of Cars Industry Cybersecurity Mark
Dublin, Aug. 20, 2026 (GLOBE NEWSWIRE) — The “Cybersecurity for Cars – Market Share Analysis, Industry Trends & Statistics, Growth Forecasts (2026-2031)” has been added to ResearchAndMarkets.com’s offering.
Cybersecurity for Cars Market to Reach USD 10.03 Billion by 2031, Expanding at a 16.12% CAGR
The global cybersecurity for cars market is estimated to reach USD 4.75 billion in 2026, up from USD 4.09 billion in 2025. The market is projected to attain USD 10.03 billion by 2031, registering a compound annual growth rate of 16.12% from 2026 to 2031. Growth is being driven by expanding connected-vehicle fleets, stricter regulatory requirements, increasing software integration, and rising demand for secure cloud and over-the-air services.
Regulatory Mandates Reshape Automotive Cybersecurity
Global vehicle homologation increasingly depends on manufacturers demonstrating end-to-end cybersecurity throughout the vehicle lifecycle. UNECE R155 is expected to create a USD 2.1 billion compliance opportunity by 2030, as automotive manufacturers must address 69 attack vectors and maintain continuous monitoring capabilities.
ISO/SAE 21434 is also embedding cybersecurity engineering into vehicle concept, development, production, operation, maintenance, and decommissioning processes. These requirements are prompting automakers and suppliers to expand specialist teams, formalize risk-management procedures, and strengthen security documentation. Comparable regulations emerging in Japan and the United States are helping establish more consistent global automotive cybersecurity standards.
Connected Vehicles Expand the Automotive Attack Surface
Modern vehicles may contain as many as 150 electronic control units and approximately 100 million lines of software code, with software volumes expected to increase significantly by 2030. This growing complexity is placing pressure on legacy security architectures and increasing demand for embedded protection, real-time monitoring, secure firmware, and intrusion-detection technologies.
Backend servers account for 43% of reported incidents, while 95% of automotive cyberattacks originate remotely. The adoption of 5G-enabled vehicle-to-everything communications introduces additional high-bandwidth attack vectors across telematics gateways and connected infrastructure. Ransomware incidents targeting dealership and supplier networks also demonstrate that automotive cybersecurity risks extend beyond the vehicle to the wider mobility ecosystem.
Advanced driver-assistance systems are further elevating safety-critical cybersecurity requirements. Vehicle-to-grid integration is creating bidirectional data and energy pathways that require stronger authentication and encryption. At the same time, a shortage of skilled automotive cybersecurity professionals continues to constrain implementation across the industry.
Legacy Integration Costs Remain a Market Restraint
Retrofitting cybersecurity controls across more than 150 electronic control units in legacy vehicle platforms can add an estimated 15% to 20% to vehicle development budgets. Supplier-network breaches have also forced manufacturers to conduct costly architecture reviews and strengthen third-party risk controls. These financial pressures may delay deployment among high-volume automotive brands, even as regulatory deadlines accelerate investment.
Software-Based Security Platforms Lead Market Revenue
Software-based solutions accounted for 40.55% of market revenue in 2025, reflecting their importance in software-defined vehicles. Embedded firewalls, secure firmware, runtime intrusion detection, and centralized monitoring are increasingly being deployed as integrated automotive cybersecurity platforms.
Professional services are forecast to expand at a 19.1% CAGR as automakers outsource cybersecurity gap assessments, threat modeling, compliance audits, and implementation support. Demand is particularly strong for providers that combine continuous monitoring with UNECE R155 documentation and ISO/SAE 21434 compliance capabilities.
Professional service providers also coordinate complex integration across hardware security modules, public key infrastructure, cloud security operations, and embedded vehicle systems. This is supporting increased adoption of recurring assessments, managed detection services, and lifecycle security contracts.
Cloud Security Records Strong Growth
Endpoint security represented 29.62% of market revenue in 2025, supported by sustained demand for secure boot, cryptographic key protection, electronic control unit firewalls, and device-level authentication. Cloud security, however, is projected to grow at a 20.6% CAGR as automakers move data lakes, fleet analytics, and over-the-air update orchestration to off-board platforms.
Automotive manufacturers are also investing in network segmentation, TLS 1.3 upgrades, application hardening, and wireless security for 5G-enabled services. As virtual electronic control units transfer selected workloads to edge and cloud environments, hybrid architectures combining in-vehicle enforcement with remote, AI-assisted analytics are emerging as a key market model.
Asia-Pacific Leads Global Market Growth
Asia-Pacific held 35.12% of global revenue in 2025 and is projected to grow at a 19.5% CAGR, making it the fastest-growing regional cybersecurity for cars market. China’s expanding connected electric vehicle production is increasing demand for vehicle-to-grid security, public key infrastructure, and electronic control unit protection. Japan’s alignment with UNECE requirements is accelerating supplier certification, while South Korea’s 5G-enabled road infrastructure is supporting demand for real-time monitoring and secure over-the-air updates.
India’s automotive export ambitions are also encouraging investment in ISO/SAE 21434 compliance tools. Across Asia-Pacific, demand is rising for low-latency cloud security operations services hosted in data-residency-compliant environments.
North America remains a mature but evolving market, supported by premium connected vehicles, established insurance ecosystems, and tighter supply-chain oversight. The United States Connected Vehicles Rule, effective from March 2025, is prompting automakers to audit suppliers and reassess the sourcing of connected-vehicle components. Canada is advancing secure automotive Ethernet integration, while manufacturing facilities in Mexico are adopting managed security services to address ransomware threats affecting logistics networks.
Europe continues to serve as a regulatory and automotive cybersecurity research hub. Germany remains central to supplier innovation, while France and the United Kingdom are supporting research into quantum-safe automotive cryptography. Regional audit frameworks are also strengthening supplier assessments and promoting more consistent implementation of ISO/SAE 21434 requirements across automotive value chains.
Key Topics Covered:
1 INTRODUCTION
1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
2 RESEARCH METHODOLOGY
3 EXECUTIVE SUMMARY
4 MARKET LANDSCAPE
4.1 Market Overview
4.2 Market Drivers
4.2.1 Regulatory mandates (UNECE R155/R156, ISO 21434) compliance wave
4.2.2 Rapid growth in connected-vehicle fleet and 5G/V2X roll-outs
4.2.3 ADAS/autonomous feature proliferation elevating cyber-risk
4.2.4 Vehicle-to-Grid (V2G) bidirectional charging introduces new attack surface
4.2.5 Usage-based-insurance discounts tied to certified cyber-hardening
4.2.6 OEM monetisation of OTA security updates in software-defined cars
4.3 Market Restraints
4.3.1 High integration cost and legacy E/E architectures
4.3.2 Fragmented standards and certification overload
4.3.3 Acute shortage of automotive-grade cyber-talent
4.3.4 Post-warranty liability concerns for long-life vehicles
4.4 Industry Value Chain Analysis
4.5 Regulatory Landscape
4.6 Technological Outlook
4.7 Industry Attractiveness – Porter’s Five Forces Analysis
4.7.1 Bargaining Power of Suppliers
4.7.2 Bargaining Power of Buyers
4.7.3 Threat of New Entrants
4.7.4 Threat of Substitutes
4.7.5 Intensity of Competitive Rivalry
4.8 Impact of Macroeconomic Factors on the Market
5 MARKET SIZE AND GROWTH FORECASTS (VALUES)
5.1 By Solution Type
5.1.1 Software-Based
5.1.2 Hardware-Based
5.1.3 Professional Services
5.1.4 Integration
5.1.5 Other Solutions
5.2 By Security Type
5.2.1 Network Security
5.2.2 Application Security
5.2.3 Cloud Security
5.2.4 Endpoint Security
5.2.5 Wireless Security
5.3 By Vehicle Type
5.3.1 Passenger Cars
5.3.2 Light Commercial Vehicles
5.3.3 Heavy Commercial Vehicles
5.3.4 Electric Vehicles (BEV/HEV/PHEV)
5.4 By Application
5.4.1 Infotainment
5.4.2 Telematics and Connectivity
5.4.3 Powertrain/Propulsion Control
5.4.4 ADAS and Safety
5.4.5 Charging Infrastructure and V2G
5.5 By Form Type
5.5.1 In-Vehicle (Embedded)
5.5.2 External Cloud Services
5.6 By Geography
5.6.1 North America
5.6.1.1 United States
5.6.1.2 Canada
5.6.1.3 Mexico
5.6.2 South America
5.6.2.1 Brazil
5.6.2.2 Argentina
5.6.2.3 Chile
5.6.2.4 Rest of South America
5.6.3 Europe
5.6.3.1 Germany
5.6.3.2 United Kingdom
5.6.3.3 France
5.6.3.4 Italy
5.6.3.5 Spain
5.6.3.6 Russia
5.6.3.7 Rest of Europe
5.6.4 Asia-Pacific
5.6.4.1 China
5.6.4.2 India
5.6.4.3 Japan
5.6.4.4 South Korea
5.6.4.5 Malaysia
5.6.4.6 Singapore
5.6.4.7 Australia
5.6.4.8 Rest of Asia-Pacific
5.6.5 Middle East and Africa
5.6.5.1 Middle East
5.6.5.1.1 United Arab Emirates
5.6.5.1.2 Saudi Arabia
5.6.5.1.3 Turkey
5.6.5.1.4 Rest of Middle East
5.6.5.2 Africa
5.6.5.2.1 South Africa
5.6.5.2.2 Nigeria
5.6.5.2.3 Rest of Africa
6 COMPETITIVE LANDSCAPE
6.1 Market Concentration
6.2 Strategic Moves
6.3 Market Share Analysis
6.4 Company Profiles (includes Global level Overview, Market level overview, Core Segments, Financials as available, Strategic Information, Market Rank/Share for key companies, Products and Services, and Recent Developments)
6.4.1 Continental AG
6.4.2 Harman International (Samsung)
6.4.3 Bosch ETAS GmbH
6.4.4 Infineon Technologies AG
6.4.5 NXP Semiconductors NV
6.4.6 Cisco Systems Inc.
6.4.7 DENSO Corporation
6.4.8 Visteon Corporation
6.4.9 Delphi Technologies plc
6.4.10 Honeywell International Inc.
6.4.11 Argus Cyber Security Ltd.
6.4.12 Karamba Security Ltd.
6.4.13 Arilou Technologies Ltd.
6.4.14 Escrypt GmbH
6.4.15 Secunet Security Networks AG
6.4.16 Upstream Security Ltd.
6.4.17 VicOne Inc. (Trend Micro)
6.4.18 GuardKnox Cyber-Technologies Ltd.
6.4.19 BlackBerry QNX
6.4.20 SafeRide Technologies Ltd.
6.4.21 Cybellum Technologies Ltd.
6.4.22 Trillium Secure Inc.
6.4.23 Vector Informatik GmbH
6.4.24 Comsec Automotive Ltd.
6.4.25 GuardSquare NV
6.4.26 AutoCrypt Co. Ltd.
7 MARKET OPPORTUNITIES AND FUTURE TRENDS
7.1 White-Space and Unmet-Need Assessment
For more information about this report visit https://www.researchandmarkets.com/r/w8xi98
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