Global Market Study on Automotive Cyber Security: COVID-19 Impact Opens a Directory of Challenges and Opportunities


Automotive Cyber Security  Market
  • Published On : Apr-2020 |
  • Pages : 300 Pages |
  • Format : Automotive Cyber Security  Market Automotive Cyber Security  Market Automotive Cyber Security  Market Automotive Cyber Security  Market

The COIVD-19 pandemic has highlighted the importance of cybersecurity in the automotive sector. During the crisis situation, different factors such as shortage of raw materials, slacking demand, reduced output, and OEM shutdowns have negatively influenced the automotive sector. With a high level of decline in different services, cybersecurity service providers are expected to witness a huge drop in demand. Major automotive companies are revising their business outlook for coming years which is full of uncertainties and minimal business promises, challenging the business of the service providers in the market. The shutdown of automotive production hubs across the Asia Pacific and Europe owing to restricted travel and import restrictions have brought down the adoption rate of cybersecurity services.

The global market consists of many types of services including managed security services, consulting services, unified threat management, and end-point security. Though the market is feeling the heat in terms of the reduced adoption rate of these services, the research & development activities to strengthen security services in the automotive sector for the future is generating revenue and growth prospects for the service providers. Major companies profiled in the global automotive cybersecurity market are Symantec Corporation, IBM Corporation, Microsoft Corporation, and Intel Corporation.   

The existing COVID-19 pandemic has posed significant challenges to the functioning of the automotive industry across the globe. As governments across the world brace for an even greater impact, key automotive players are preparing for the worst. Already, shortages of raw materials, reduced output, slackening demand for vehicles, and original equipment manufacturers shutdowns are affecting the industry on a large scale. In short, the short-term business outlook seems quite grim for automotive stakeholders. As a consequence, a domino effect is anticipated on allied industries, such as automotive parts, battery manufacturers, cyber security service providers and oil pumps to name a few.

Impact of COVID-19 Outbreak

With respect to cyber security, a declining demand for automobiles is poised to create significant operational disruptions amongst prominent service providers against the backdrop of COVID-19. With major economic uncertainties looming ahead, companies have revised their future business outlook. Continental AG, for instance, has withdrawn its 2020 forecast as outlined in its 2019 annual report. Key spokespersons of the company have explained that as the future remains uncertain, the timing for a new outlook is difficult to determine. Likewise, the Automotive Cybersecurity Summit has been postponed to August of this year.

According to Persistence Market Research (PMR), the global automotive cybersecurity market was valued at US$ 460 million in 2018 and predicts that by 2028, the market would be valued in excess of US$ 1 Bn. However, the COVID-19 outbreak seems to have cast a shadow on these projections.

Significant automotive production curbs have occurred in major production hubs across Europe and the Asia-Pacific. Around 4/5th of the global automotive supply chain is linked to China. Being the epicenter of the coronavirus outbreak, Chinese automotive companies are operating at half the capacity, leading to supply chain disruptions. However, improvements in production cycles have been witnessed in the country, as the intensity of the disease has waned. This is anticipated to leverage prospects for cybersecurity providers in the future.

Re-thinking Future Projections for Automotive Cyber security Market

As leading market players are shifting their focus towards realigning future projections for automotive cybersecurity, certain parameters are anticipated to continue on their existing growth trajectories. Automotive cybersecurity consists of several categories. These typically include managed security services, end-point security, integration and consulting services and unified threat management. While the pandemic may have limited the sales of security services to key automotive companies, it has not deterred the latter from conducting increased research on developing more robust systems in the future. Centri Technologies, a leading automotive cyber security player, has encouraged work-from-home facilities for its employees.

While successfully attempting to contain the spread of the pandemic, the company remains committed to its goal of maintaining business continuity by virtue of remote working arrangements. The company continues to strengthen its Atonomi security solution platform. The platform helps secure autonomous vehicles by giving automotive manufacturers the ability to enhance processes with in-built block chain based immutable device identity and reputation tracking. The company estimates that its “connected” vehicles segment will increase to more than 60 million annually by 2020.

Consulting and integration services are anticipated to burgeon in the future, attributed to greater penetration of connected devices and breaches in industrial control systems. With increasing risks of cyberattacks on a daily basis, it is imperative to remain safeguarded and prevent any serious breach of security. In today’s time, hackers have discovered many ways to jeopardize a large number of vehicles through a single attack. This risk has been further amplified with the current lockdown scenario.

Hackers can take advantage of the mandatory social distancing guidelines to initiate a wave of remote cyberattacks capable of crippling the entire world. As more automobile companies rely on automation, the market for cyber security consultation and integration has registered an uptick as well. Players such as SBD have therefore initiated the Automotive Secure Development Lifecycle (ASDL) based consultation services which include system design reviews, market intelligence, threat modelling, countermeasure planning and penetration testing.

The Future is All Set for Automation

As the novel coronavirus infection spreads at an increasing pace, social distancing measures are becoming stricter with each passing day. With offices and production units remaining shut, people have efficiently utilized the digital platform for conducting business. With automation becoming a reality anyway, the COVID-19 pandemic is only accelerating the pace at which we are heading in that direction. One day, we might just reach complete automation. Besides ushering in a new era of existence, the pandemic is also outlining the serious flaws associated with artificial intelligence and automation. This is therefore a clarion call for the automation industry to initiate serious reforms in real-world autonomous systems on three major grounds.

Firstly, there is an urgent need to rethink the metrics. With greater number of automated machines being deployed, the conventional metrics such as speed, cycle time and success rate provide only a limited picture of progress. A more reliable unit of measurement, such as the average number of human interventions per automated function. It would be pointless to, say, own a robot operating at a speed of 4 miles per hour if it cannot complete a single delivery without human interference.

Compared to software development and information technology operations, artificial intelligence and machine learning are way behind. Therefore, there is a need to better integrate software engineering with the latter. Secondly, error handling and communication from human beings needs to improve. The current trends reveal that artificial intelligence companies tend to spend much more on building the systems rather than thinking about error handling and seamless transitions between machines and humans. Thus, we need to devise better ways of handling and communicating errors, particularly for machine learning.

Analyst’s Viewpoint

Redefining human-machine interaction is the need of the hour. The novel coronavirus has compelled us to shift to the cloud. A question is raised that as lesser people control a wide pool of automated devices, do we possess the appropriate tools to pass relevant information remotely to these machines. In other words, a question arises as to whether we need to move beyond tactile inputs such as voice recognition or brain-machine interfaces. These are some aspects that we as human beings must seriously consider while are locked away inside our homes, waiting to ward off the virus.

The research study on the automotive cyber security market offers a close look at evolving aspects of the market as well as dynamics impacting the market growth. The research study focuses on key developments that have made their mark in the automotive cyber security market and other developments that are on the cards. The report talks about various macro and microeconomic factors responsible for having an in-depth impact on the growth of the automotive cyber security market.

A direct market overview provides the growth scenario and market potential with maximum precision, which is adjudged with suitable assumptions. The report features unique and relevant factors that are likely to have a significant impact on the automotive cyber security market during the forecast period. This report includes a detailed and considerable amount of information, which will help new manufacturers in the most comprehensive manner for better understanding.

Several stakeholders in the automotive cyber security market can rely on the data offered in this research study and delve into pragmatic decision making. Moreover, information offered in the automotive cyber security market report also helps new market entrants in expanding their bases in the market.

The report elaborates the historical and current trends molding the growth of the automotive cyber security market. The performance journey of the market has been drawn and analyzed in way that the lucrative side is evident to readers. The competitive landscape presented in the automotive cyber security market report gives a detailed outlook of profiles of key companies operating in the market, along with their differential strategies and key focus areas.

Automotive cyber security Market: Segmentation

PMR’s research study on the global automotive cyber security market offers a detailed market segmentation, wherein key segments have been discussed in detail. The segmentation of the automotive cyber security market has been offered on the basis of technology, component, and region. Every segment has been analyzed in detail, and data pertaining to the growth of each segment has been included in the study.

Technology

Component

Region

  • Managed Security Services
  • End-point Security
  • Integration Services
  • Consulting Services
  • Unified Threat Management
  • Others
  • Hardware
  • Software
  • Services
  • North America
  • Latin America
  • Europe
  • China
  • Japan
  • SEA and Other
  • APAC
  • MEA

Automotive cyber security Market: Key Questions Answered

The research study on the Automotive cyber security market offers inclusive insights about the growth of the market in the most comprehensible manner for better understanding of users. Key insights offered in the report answer some of the most salient questions that assist stakeholders in gauging all emerging possibilities.

  • How does the rapidly changing business environment bode for automotive cyber security market?
  • What would be the key trends constantly shaping growth of the automotive cyber security market?
  • Which are prominent regions offering plentiful opportunities to stakeholders in the automotive cyber security market?
  • What are the differentiating developmental strategies adopted by key players in global automotive cyber security landscape?
  • How would the global COVID-19 pandemic impact performance of market?

Automotive Cyber Security Market: Research Methodology

A unique and promising research methodology forms the base of the Automotive cyber security market during the forecast period. The report has been prepared after a comprehensive analysis of the market happenings and then, riveting insights have been compiled meticulously. The research methodology of the Automotive cyber security market has been a two-step process that comprises of primary and secondary researches. Key stakeholders, which include manufacturers, suppliers, and distributors, and experts of several designations, including executive vice presidents, directors, service engineers, technical advisors, GM marketing professionals, and sales professionals have been interviewed.

Secondary sources referred to garner the report findings include investor presentations of manufacturers, World Bank, and many other credible sources.

Companies covered in Automotive Cyber Security Market Report

  • Secure works Corporation
  • IBM Corporation
  • Intel Corporation
  • Verizon Communication Inc.
  • Symantec Corporation
  • Checkpoint Software Technologies Ltd.
  • Microsoft Corporation
  • Sophos Ltd.
  • Trend Micro Incorporated
  • Lockheed Martin Corporation.

Automotive Cyber Security Market

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