Connected Car security market poised to nearly double by 2032 as automakers prioritize cyber protection

Press Release, 13 January 2026

The global connected car security market focused on safeguarding the growing number of internet-enabled vehicles from cyber threats is on track to almost double in value by 2032, according to a new industry forecast. The market is expected to grow from roughly $3.37 billion in 2025 to about $6.99 billion by 2032, representing an 11 % compound annual growth rate over the forecast period. This surge reflects the rapid increase in connected vehicle features and rising concerns around vehicle cybersecurity.

As modern cars become more software-driven and interconnected with over-the-air (OTA) updates, telematics, vehicle-to-everything (V2X) communication, and advanced driver assistance systems (ADAS) securing electronic control units (ECUs), communication networks, and cloud platforms has become critical for original equipment manufacturers (OEMs) and suppliers. The growth of software-defined vehicles (SDVs) and the transition toward electric and autonomous vehicles further intensify security demands, pushing automakers to integrate robust protection measures into their platforms.

Regulatory frameworks like UNECE WP.29 cybersecurity management systems (CSMS) and various national guidelines including those in the U.S. and China — are also pressuring carmakers to strengthen their cybersecurity architectures, driving further investment in connected car security solutions. Key players such as NXP Semiconductors, Harman International, Aumovio SE, and others are expanding their portfolios to meet growing demand for comprehensive vehicle defense tools.

In-vehicle security solutions designed to protect internal networks and prevent unauthorized access to a vehicle’s systems are expected to command the largest share of this market as vehicles become more digitally complex. Hardware-based security, such as tamper-resistant modules and advanced cryptographic tools, is also anticipated to grow faster than software alone due to its enhanced protection capabilities.

With connectivity now a defining feature of modern automobiles, the race is on to build resilient cybersecurity foundations that can support safer, smarter, and more secure mobility in the years ahead.

Compiled using AI