Next-gen tech driving military cybersecurity market to $16bn by 2023
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Frost & Sullivan's report 'Global Military Cybersecurity Market, Forecast to 2023', anticipates global military cybersecurity to grow to $16.01 billion by 2023 at a compound annual growth rate (CAGR) of 3.6% from 2018-2023.
"Militaries across the globe are budgeting for and pursuing the development of new enabling, next-generation technologies for cybersecurity," said Ryan Pinto, Research Analyst, Frost & Sullivan. "These technologies will open up significant growth opportunities by improving the speed and accuracy of logistics battlefield planning, increasing autonomous functionality of systems, aiding decision-making, lowering overhead costs and enabling less soldier risk."
In the future, military requirements for cybersecurity will demand a solution with a range of possible applications—a one-stop shop for systems and add-on services that will allow quicker and cheaper implementation.
With the growing concern surrounding cyber warfare, defence contracts announced to counter the threat will be increase significantly across North America, Europe and APAC. Less developed and small countries may not have the budgets to procure and implement advanced cybersecurity solutions, and the Chinese military market, although relatively large, is blocked for global companies.
"Industry consolidation and Tier II contractors winning more lucrative awards will increase competition. However, defense companies could grow market share through M&A and utilizing current positioning in the defense market," stated Pinto.
To capitalise on future possibilities, vendors should focus on:
- Increasing R&D investment in companies with strong funding for research programmes.
- Establishing public-private partnerships to improve innovation and national cybersecurity posture.
- Offering training-as-a-service to improve positioning on contracts.
- Developing a broad range of cyber solutions that will improve capabilities to defend and attack the full spectrum range.
- Creating broad military cyber solutions that allow quicker and cheaper integration with legacy components.
"Despite promising growth drivers, there are currently several substantial drawbacks that don't allow double-digit market advancement," noted Pinto. "The main factors restraining market advancement include insufficient funding, compatibility issues, and protectionism of nations trying to develop domestic industrial capabilities on the one hand and, on the other, trying to minimise the reliance of their military on foreign entities with high-level access."
Frost & Sullivan's research, Global Military Cybersecurity Market, Forecast to 2023, explores the factors, trends and technologies that have shaped the military cybersecurity landscape, the challenges that lie ahead and the opportunities that can be tapped. It includes extensive analysis of the main mergers and acquisitions, global demand for military cybersecurity products and services, competitive landscape and disruptive technologies, maturity timelines and R&D investments.
Global Military Cybersecurity Market, Forecast to 2023 is part of Frost & Sullivan's global defence research and analysis available through the Growth Partnership Service programme.
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