The Defense Cyber Security Market comprises of cybersecurity solutions and technologies adopted by government and military organizations. These solutions include network security, endpoint security, application security, wireless security, cloud security, database & infrastructure security among others. With increasing cyber threats from hackers and nation state backed hacker groups, governments across the world have increased their defense budget for protecting critical information infrastructure from cyber-attacks. Adoption of advanced technologies such as big data analytics, IoT, artificial intelligence is also driving the need for robust cybersecurity systems among defense organizations.
Market key trends:
One of the key trends in the defense cyber security market is the increasing demand for cloud-based cybersecurity solutions. With growing cloud adoption, defense organizations are looking for multi-layered security systems that provide protection across endpoints, network, applications and cloud infrastructure. Cloud-based security solutions provide remote accessibility and scalability along with reduced operational costs. Furthermore, increasing instances of cyber-warfare and targeted cyber-attacks on defense networks have boosted investments in advanced cybersecurity technologies. This has accelerated the development of new cyber defense capabilities such as cyber range training systems, threat intelligence solutions and automated security response systems.
Threat of new entrants: The defense cyber security market has moderate threat of new entrants due to existing intellectual property rights of incumbent players and high R&D and capital investment required to develop advanced solutions.
Bargaining power of buyers: Buyers have moderate bargaining power due to availability of numerous vendors providing cyber security solutions. However, switching costs act as a barrier.
Bargaining power of suppliers: Suppliers have low bargaining power due to availability of substitute components and differentiation in products.
Threat of new substitutes: Threat of substitution is low as defense sector requires certified and tested cyber security solutions matching their customized requirements.
Competitive rivalry: The market experiences high competitive rivalry among key global players investing heavily in R&D and product innovations.
The Global Defense Cyber Security Market Demand is expected to witness high growth, exhibiting a CAGR of 11% over the forecast period, due to increasing cyber attacks on defense networks and systems. North America dominates the market currently due to heavy investments in defense technologies by the US and Canada. Majority of players are based in the US and have strong presence across the region.
The defense cyber security market in North America is expected to remain the largest as well as the fastest growing region during the forecast period. This is majorly attributed to increasing cyber warfare capabilities of nations like US, Canada and other allies. Additionally, presence of major players and increasing R&D investments by governments in the region further supports market growth.
Key players operating in the defense cyber security market are General Dynamics-CSRA, Booz Allen Hamilton Holding Corp., Northrop Grumman, Raytheon Technologies Corporation, Leidos Holdings Inc., SAIC, Lockheed Martin Corporation, Viasat Inc., CACI International Inc. and L3 Harris Technologies. Key players are focusing on new product launches and partnerships to strengthen their market position.
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it