Booming OT Cybersecurity Sales Expected to Surpass IT
A new report from ABI Research predicts that the global market for cybersecurity in industrial systems is set to more than double from US$12.75bn in 2023 to around US$21.6bn by 2028, with a compound annual growth rate of 9.2%. The report suggests that spending on cyber-protection for operational technology (OT) and Internet of Things (IoT) applications could surpass spending on IT security due to the continuous growth of OT applications.
ABI predicts that network security and segmentation technologies will experience the fastest growth in the OT cybersecurity sector, followed by identity and access management and end-point protection.
Michael Amiri, senior industrial cybersecurity analyst at ABI, explains, “The fact is that OT and IoT devices are just beginning to expand and are far more numerous. An industrial plant could have tens of thousands of sensors, routers, and PLCs, all of which must be protected from malicious actors. OT cybersecurity revenues are becoming integral to the overall cybersecurity market.”
Amiri adds, “Every industrial sector imaginable is embracing some digitalization and concept of Industry 4.0. As a result, the potential for cyber-threats has also increased, prompting a growing demand for robust defensive measures. This market has lots of space for growth, as there is considerable capacity to expand smart industries.”
Technologies that secure OT networks now offer enhanced capabilities using AI and behavioral traffic analysis to detect and respond to OT-specific network threats. Demand for these security products is seeing strong growth, according to ABI.
Segmentation technologies are playing a crucial role in securing OT traffic by providing cost-effective partitioning and allowing customization of security controls and data flows for each isolated segment. ABI Research predicts that segmentation will generate the highest revenues in the OT cybersecurity market.
“Recent macroeconomic pressures do not seem to have impacted the OT cybersecurity market,” Amiri concludes. “On the contrary, rapid digitalization and escalating geopolitical tensions have contributed to increased spending and market revenues, especially in sectors most prone to cyberattacks, such as oil and gas, utilities, mining, and manufacturing. These are sectors where OT cybersecurity providers might want to direct their marketing efforts.”
ABI Research: X LinkedIn
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