“Global Cybersecurity for Critical Infrastructure in Financial Sector Market to reach a market value of 14.68 Billion by 2031 growing at a CAGR of 6.5%”
The Global Cybersecurity for Critical Infrastructure in Financial Sector Market size is expected to reach $14.68 billion by 2031, rising at a market growth of 6.5% CAGR during the forecast period.
The North America region witnessed 36% revenue share in the market in 2023. The United States, in particular, is a major driver in this market due to its large and highly developed financial services industry, which faces significant cyber threats. The region’s strong regulatory framework, such as the Gramm-Leach-Bliley Act (GLBA) and the Dodd-Frank Act, mandates robust cybersecurity measures for financial institutions.
Governments and regulatory bodies worldwide impose stringent standards to protect financial infrastructure from cyber threats. Regulations such as GDPR, PCI DSS, and region-specific mandates require financial institutions to maintain robust cybersecurity measures. Non-compliance can result in hefty fines and reputational damage, prompting organizations to prioritize security solutions. Thus, stringent regulatory requirements and compliance standards are driving the market's growth.
Additionally, The financial sector has become more interconnected with various third-party vendors and service providers in recent years. While this interconnectedness improves operational efficiency, it also introduces significant cybersecurity risks. A breach in a third-party supplier’s system can lead to a domino effect, potentially compromising the entire financial ecosystem. Thus, rising awareness of supply chain security in financial ecosystems drives the market's growth.
However, While the need for cybersecurity in the financial sector is undeniable, one of the major barriers to widespread adoption is the high cost of implementation. Financial institutions must invest heavily in advanced cybersecurity tools, infrastructure, and skilled personnel to maintain robust security systems. These initial investments can be a significant burden, particularly for smaller organizations with limited budgets. Therefore, high initial investment and operational costs hamper the market's growth.
The leading players in the market are competing with diverse innovative offerings to remain competitive in the market. The above illustration shows the percentage of revenue shared by some of the leading companies in the market. The leading players of the market are adopting various strategies in order to cater demand coming from the different industries. The key developmental strategies in the market are Acquisitions, and Partnerships & Collaborations.
Based on deployment mode, the market is divided into on-premise and cloud. The cloud segment held 47% revenue share in the market in 2023. Cloud-based solutions are becoming increasingly popular due to their flexibility, scalability, and cost-efficiency. Financial institutions, particularly those in the fintech sector, increasingly adopt cloud services to manage their infrastructure and store sensitive data. Cloud deployment offers several advantages, including reduced infrastructure costs, faster implementation, and the ability to scale security measures quickly in response to evolving cyber threats.
On the basis of industry, the market is segmented into fintech, banking, and insurance. In 2023, the banking segment attained 34% revenue share in the market. Banks are prime targets for cybercriminals due to the sensitive nature of financial data and the large-scale transactions they handle daily. As digital banking continues to evolve with the integration of mobile banking, cloud computing, and artificial intelligence, the need for enhanced cybersecurity measures has grown. Cyberattacks such as ransomware, denial-of-service (DoS), and phishing attacks pose significant risks to banking systems, making cybersecurity a top priority.
By component, the market is divided into solution and service. The service segment procured a remarkable revenue share in the market in 2023. Managed security services (MSS), consulting, and cybersecurity training are crucial for financial institutions that require expert guidance, continuous monitoring, and incident response support to strengthen their security posture. Financial institutions often rely on external cybersecurity service providers to ensure their infrastructure is secure, compliant with regulations, and resilient to emerging threats.
Free Valuable Insights: Global Cybersecurity for Critical Infrastructure in Financial Sector Market size to reach USD 14.68 Billion by 2031
Region-wise, the market is analyzed across North America, Europe, Asia Pacific, and LAMEA. In 2023, the Asia Pacific region generated 33% revenue share in the market. Countries like China, Japan, South Korea, and India are witnessing rapid growth in their financial sectors, increasingly becoming targets for cybercriminals. The need for robust cybersecurity solutions has escalated with the growing adoption of digital banking, e-commerce, and mobile payment platforms. The rising number of cyberattacks, including data breaches and financial fraud, drives the demand for cybersecurity services tailored to the financial sector.
| Report Attribute | Details |
|---|---|
| Market size value in 2023 | USD 9.05 Billion |
| Market size forecast in 2031 | USD 14.68 Billion |
| Base Year | 2023 |
| Historical Period | 2020 to 2022 |
| Forecast Period | 2024 to 2031 |
| Revenue Growth Rate | CAGR of 6.5% from 2024 to 2031 |
| Number of Pages | 240 |
| Tables | 330 |
| Report coverage | Market Trends, Revenue Estimation and Forecast, Segmentation Analysis, Regional and Country Breakdown, Market Share Analysis, Porter’s 5 Forces Analysis, Company Profiling, Companies Strategic Developments, SWOT Analysis, Winning Imperatives |
| Segments covered | Deployment Mode, Industry, Component, Region |
| Country scope |
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| Companies Included | Cisco Systems, Inc., IBM Corporation, Fortinet, Inc., Palo Alto Networks, Inc., Check Point Software Technologies Ltd., Trend Micro, Inc., Huawei Technologies Co., Ltd. (Huawei Investment & Holding Co., Ltd.), Broadcom, Inc., Schneider Electric SE, and Honeywell International, Inc. |
By Deployment Mode
By Industry
By Component
By Geography
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