The operations technology (OT) cybersecurity sector is projected to expand at a robust annual growth rate of 9.2%, climbing from $12.75 billion in 2023 to approximately $21.6 billion by 2028, according to ABI Research’s “Operational Technology Security Markets” report released on June 24.
According to ABI, the rise of digitization and smart manufacturing is leading to a surge in cyber-attacks targeting OT systems, making them increasingly common and pervasive. As a result, network security and segmentation technologies are anticipated to see the most significant growth, followed by advancements in identity and access management and endpoint protection.
Michael Amiri, a senior analyst specializing in industrial cybersecurity at ABI, comments, “The widespread adoption of digitization and Industry 4.0 concepts across various industrial sectors has heightened the risk of cyber threats, driving a greater need for advanced defensive solutions. This sector holds substantial potential for growth.”
ABI suggests that expenditures on OT and Internet of Things (IoT) technologies might eventually eclipse those for information technology (IT), as the market for IT devices like laptops and tablets has stabilized. “OT and IoT devices are still in the early stages of expansion and are significantly more numerous,” Amiri notes. “An industrial facility could be equipped with tens of thousands of sensors, routers, and programmable logic controllers (PLCs), all of which need robust protection against cyber threats. OT cybersecurity is becoming a critical component of the broader cybersecurity landscape.”
Amiri highlights an increased demand for technologies designed to secure OT networks, particularly those enhanced with artificial intelligence (AI) and behavioral traffic analysis for detecting and addressing specific OT network threats. Nonetheless, ABI predicts that segmentation technologies, which secure OT traffic through effective partitioning and customizable security controls, will generate the highest revenue within the OT cybersecurity market.
“Recent macroeconomic challenges don’t seem to be affecting the OT cybersecurity sector,” adds Amiri. “In fact, rapid digitization and rising geopolitical tensions are driving increased investment and revenue growth, especially in industries highly susceptible to cyber threats such as oil and gas, utilities, mining, and manufacturing. These are key areas where OT cybersecurity providers might want to focus their marketing efforts.”
