5G Security Market Size, Share, Industry, Forecast and outlook (2024-2031)

Global 5G Security Market is Segmented By Component (Solution, Service), By Deployment Mode (On-Premises, Cloud), By Architecture (5G NR Standalone, 5G NR Non-Standalone), By Network Component Security (Radio Access Network Security, Core Security), By Application (Virtual & Augmented Reality, Connected Automotive, Smart Manufacturing, Wireless eHealth, Smart Cities), By End-User (Banking, Financial Services and Insurance, Consumer Goods and Retail, Healthcare, Aerospace and Defense, Telecommunication, Energy and Utilities, Manufacturing, Others), and By Region (North America, Latin America, Europe, Asia Pacific, Middle East, and Africa) – Share, Size, Outlook, and Opportunity Analysis, 2023-2030

5G Security Market Size

The Global 5G Security Market reached USD 1.4 billion in 2022 and is expected to reach USD 21.4 billion by 2030, growing with a CAGR of 40.7% during the forecast period 2023-2030. The 5G security market is a rapidly growing sector that focuses on addressing the unique security challenges of 5G networks.

As 5G technology continues to be adopted worldwide, the demand for robust security solutions to protect these networks and the data transmitted over them is expected to increase. 

Furthermore, as 5G networks become more prevalent, they become attractive targets for various cyber attacks, including DDoS attacks, ransomware and data breaches. The heightened risk of cyber threats drives the need for robust security measures.

Asia-Pacific’s enormous population has produced a sizable pool of mobile subscribers for telecom firms which has increased the regional share up to 54.3% in the global 5G security market. The region contributes the most mobile customers worldwide and will continue to grow its network in the upcoming years. 

Furthermore, leading technologies, including 5G, edge computing, blockchain and 5G security, are expected to dominate Asia-Pacific, thus creating growth prospects for the security industry to grow.

5G Security Market Scope

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5G Security Market Dynamics

Growing Cybersecurity Attacks

IoT devices are being targeted by hackers, who are increasingly taking advantage of well-known flaws, including those relating to the default username, password and backdoor in static code. Automation is now being adopted across many industries by integrating IoT and fast networks. Electricity, water and other vital resources are among the early adopters of technologies and are currently in the automation phase. Automation makes The activities much more efficient, but the systems are now more vulnerable to cyberattacks.

Thus, many operators have focused on securing their carrier networks since network attacks have increased in frequency, leading to create growth prospects for the 5G security market. For instance, O2 Telefonica in Spain engaged 1,000 security personnel and 650 analysts to operate in seven Security Operations Centers (SOCs) globally after the bank heist.

Stringent Regulations

Stringent regulations significantly drive the 5G security market by establishing higher standards, requirements and expectations for security measures in 5G networks. These regulations create a sense of urgency and necessitate robust security solutions and practices.

Stringent regulations, such as the General Data Protection Regulation (GDPR) in the European Union, impose strict requirements on the collection, processing and protection of personal data. As 5G networks facilitate the exchange of vast amounts of sensitive data, organizations must implement robust security measures to safeguard privacy and meet data protection obligations. The need for compliance with these regulations drives the demand for enhanced security solutions.

Growing Irregularities In Spectrum

A primary benefit of constructing the 5G network is the utilization of higher frequencies. But all high frequencies are already used for various purposes, including telecommunications and government operations. However, accessing these high-frequency spectrums is essential for developing 5G infrastructure. 

There are conflicts when accessing these frequency bands because they have already been assigned to various uses. However, it is unclear when wireless operators will be granted access to these spectrums to deploy 5G infrastructure. Different government entities are currently establishing various legislation throughout the world.

For instance, the Federal Communications Commission (FCC) in the U.S. has allotted frequencies starting at 24 GHz, whilst Ofcom (UK), the communications regulator in the UK, has suggested allocating a 6 GHz frequency band for 5G infrastructure. In June 2019, the South Korean Ministry of Science and ICT held an auction for the 3.5 GHz and 28 GHz bands needed for 5G services. The delay in reaching an agreement on spectrum use and the irregularity in spectrum allocation prevent a clear understanding of the precise security requirements, making the network more insecure and hampering the market growth.

5G Security Market Segment Analysis

The Global 5G Security Market is segmented based on component, deployment mode, architecture, network component security, application, end-user and region.

Growing technological advancements has escalated the demand for 5G security services among various end-user industries.

Services hold nearly half of the share in the Global 5G Security Market. The services segment of the 5G security market includes professional services, managed security services and support and maintenance services. Professional services involve security consulting, risk assessment, security audits and security strategy development. 

Managed security services provide ongoing monitoring, incident response and security operations management. Support and maintenance services ensure the smooth functioning of security solutions and timely updates or patches.

While the services segment may have a relatively smaller market size compared to solutions, it is crucial for organizations that require specialized expertise and resources to implement and manage 5G security effectively. 

Thus companies are investing in boosting the segment’s growth. For instance, On February 22, 2023, A growing company in managed security services, Atos recently unveiled its new '5Guard' security offering for businesses seeking to deploy private 5G networks as well as for telecom operators seeking to enable integrated, automated and orchestrated security to safeguard their customers and assets.

Source: DataM Intelligence Analysis (2023)

Global 5G Security Market Geographical Share

Asia-Pacific’s Growing Population, Rising Disposable Incomes And Investments In Cold Chain Infrastructure

The Asia-Pacific 5G security market is experiencing substantial growth due to the increasing deployment of 5G networks in countries like China, Japan, South Korea, Australia and Singapore. The region is expected to cover more than half of the share at the global level and China is expected to show the highest growth in the region, followed by Japan and India. 

These countries are at the forefront of 5G implementation and are driving the demand for robust security solutions to protect their critical infrastructure, data and communications.

Japan has invested in 5G security to support its 5G network deployments. The Japanese government has allocated funds to enhance the security capabilities of the country's telecommunications infrastructure. Additionally, Japanese companies are collaborating with global partners to develop secure and trusted 5G networks. 

Furthermore, the regional market is fueled by factors such as the expansion of IoT devices, digital transformation initiatives, rising cyber threats and the need to comply with stringent regulatory requirements. 

Source: DataM Intelligence Analysis (2023)

5G Security Market Companies

The major global players include Ericsson, Palo Alto Networks, Cisco, A10 Networks, Huawei , Nokia, F5 Networks, Juniper Networks, Trend Micro and G+D Mobile Security.

COVID-19 Impact on 5G Security Market

COVID Impact

The pandemic led to an increase in cyber threats and attacks as organizations rapidly adopted remote work and digital solutions. Cybercriminals capitalized on the situation, targeting vulnerabilities in 5G networks and exploiting security gaps. It heightened threat landscape has underscored the importance of robust security measures and solutions in the 5G ecosystem, driving the demand for 5G security products and services.

The pandemic further accelerated the adoption of cloud computing and virtualization technologies. These technologies are fundamental to the implementation of 5G networks and services. However, they also introduce new security challenges and vulnerabilities. As organizations increasingly rely on cloud-based services and virtualized network functions, the demand for security solutions addressing these concerns has grown.

Ukraine-Russia War Impact 

The physical infrastructure supporting 5G networks is at risk in regions affected by the conflict. Damage to infrastructure, disruption of communication links and the potential for sabotage undermine the security and reliability of 5G networks. Efforts to secure and protect infrastructure assets become paramount in areas affected by the conflict to mitigate potential risks.

Furthermore, the conflict can exacerbate cybersecurity threats in the 5G domain. Nation-state actors often exploit geopolitical conflicts to launch cyberattacks against critical infrastructure and communication networks. Such attacks can target 5G networks, including their security infrastructure, aiming to disrupt services, compromise data integrity, or gain unauthorized access. The need for robust 5G security solutions and proactive threat intelligence becomes crucial in such scenarios.

AI Impact

As 5G networks are deployed worldwide, they bring new security challenges due to their increased complexity, higher data rates and a larger attack surface. Artificial intelligence (AI) technologies play a crucial role in addressing these security concerns and enhancing the overall security posture of 5G networks. 

AI-powered security solutions can analyze large volumes of network traffic, detect patterns and identify anomalies or potential threats in real-time. Machine learning algorithms can continuously learn and adapt to new attack vectors, helping to detect and prevent advanced cyber threats in 5G networks.

Scope

By Component

• Solution
  • Disturbed Denial of Service Protection
  • Security Gateway
  • Next Gen Firewall
  • Data loss Prevention
  • Antivirus/Antimalware
  • Sandboxing
  • Other Solutions
• Service
  • Consulting
  • Implementation
  • Support & Maintenance

By Deployment Mode

• On-Premises
• Cloud

By Architecture

• 5G NR Standalone
• 5G NR Non-Standalone

By Network Component Security

• Radio Access Network Security
• Core Security

By Application

• Virtual & Augmented Reality
• Connected Automotive
• Smart Manufacturing
• Wireless eHealth
• Smart Cities

By End-User

• Banking, Financial Services and Insurance
• Consumer Goods and Retail
• Healthcare
• Aerospace and Defense
• Telecommunication
• Energy and Utilities
• Manufacturing
• Others

By Region

• North America
  • The U.S.
  • Canada
  • Mexico
• Europe
  • Germany
  • The UK
  • France
  • Italy
  • Russia
  • Rest of Europe
• South America
  • Brazil
  • Argentina
  • Rest of South America
• Asia-Pacific
  • China
  • India
  • Japan
  • Australia
  • Rest of Asia-Pacific
• Middle East and Africa

Key Developments

• On June 2021, Cisco announced the launch of the IoT Router Portfolio. Enterprise networks will benefit from this product's flexibility, security and scalability for IoT and 5G deployment.
• On April 2021, Palo Alto Networks collaborated with US-based DISH, a connectivity firm. The partnership will aid DISH in protecting its 5G network. It will enable DISH to leverage dynamic security enforcement, real-time threat correlation, secure network slicing and container security. Additionally, it will use Prisma Cloud and a cloud-native security solution consisting of VM-series and CN-series Next-Generation Firewalls.
• On February 22, 2023, A growing company in managed security services, Atos recently unveiled its new '5Guard' security offering for businesses seeking to deploy private 5G networks as well as for telecom operators seeking to enable integrated, automated and orchestrated security to safeguard their customers and assets.

Why Purchase the Report?

• To visualize the Global 5G Security Market segmentation based on component, deployment mode, architecture, network component security, application, end-user and region, and understand key commercial assets and players.
• Identify commercial opportunities by analyzing trends and co-development. 
• Excel data sheet with numerous 5G security market-level data points with all segments.
• PDF report consists of a comprehensive analysis after exhaustive qualitative interviews and an in-depth study.
• Product mapping available as Excel consisting of key products of all the major players.

The Global 5G Security Market Report Would Provide Approximately 85 Tables, 90 Figures And 219 Pages.

Target Audience 2023

• Manufacturers/ Buyers
• Industry Investors/Investment Bankers
• Research Professionals
• Emerging Companies