Market Introduction

The global cybersecurity in defence market was valued at USD 22.45 Billion in 2024 and grew at a CAGR of 12.4% from 2025 to 2034. The market is expected to reach USD 73.39 Billion by 2034. The Global Cybersecurity in Defence Market is undergoing remarkable growth and transformation. This market growth is fuelled by the rising threats within the digital space, the rapid adoption of new technologies, and the changing nature of modern warfare, which now prominently includes cyberspace as a vital battlefield. Cybersecurity in defence market encompasses a comprehensive array of technologies, services, and processes aimed at safeguarding military information systems, networks, and critical infrastructure from cyber threats, such as espionage, sabotage, data breaches, DDOS attacks, and cyberterrorism. As defence operations become more digitized—ranging from command and control to weapon systems and communication networks—the susceptibility of these assets to cyberattacks has significantly risen. This aspect has driven governments and defence organizations globally to make substantial investments in cybersecurity solutions.

Essentially, cybersecurity in defence focuses on addressing the growing vulnerability of military systems to cyber threats that can compromise operational effectiveness, expose sensitive data, disrupt critical infrastructure, or undermine command hierarchies. These risks originate from a wide range of actors, including state-sponsored hackers, cybercriminals, hacktivists, terrorist groups, and insiders. The impact of cyber-attacks on defence infrastructures can be devastating: communication channels may be disrupted, weapon systems manipulated, classified programs subjected to espionage, and civilian-military coordination compromised during emergencies. Thus, the solution designed to maintain confidentiality, integrity, and availability—the three pillars of information security—within military settings is of paramount importance, ensuring safety successfully navigated in combat arenas across myriad situational challenges faced in modern warfare landscapes, defending against adversary, covert, and overt tactics alike.

Get an overview of this study by requesting a free sample

Recent Development

• In October 2020: The company SAIC Inc. has secured the US Air Force Modelling and Simulation Support Services (AFMS3) 2.0 agreement, which involves executing, integrating, and advancing modelling and simulation (M&S), training, and analytical standards for the US Air Force, the Department of Defence, and other organisations. Issued by the General Services Administration (GSA) FEDSIM under the GSA OASIS contract vehicle, this single-award contract could potentially be worth around USD 750 million.

Market Dynamics

Drivers

Rising Frequency of Cyber Threats Targeting Military Infrastructure – One of the key factors driving the growth of global cybersecurity in the defence sector is the increasing frequency, scale, and sophistication of cyberattacks targeting national security networks and critical military infrastructure. In recent years, these attacks have shifted from targeting civilians and corporations to specifically focusing on defence systems—disrupting operations, stealing classified information, and compromising mission-critical assets. As modern warfare increasingly relies on digital technology, threat actors, including nation-state adversaries, cybercriminal organisations, and rogue hackers, are targeting defence networks more frequently. These attacks range from phishing campaigns targeting military personnel to highly advanced APTs (Advanced Persistent Threats) that penetrate secure systems over extended periods—a tactic used to extract sensitive data and undermine defensive capabilities. As a result, armed forces in major economies are acknowledging the urgent need to enhance their cyber resilience through investments in cybersecurity tools, protocols & infrastructures. This factor contributes to the growth and development of the global cybersecurity in defence market.

Restraints

Complexity and Integration Challenges of Legacy Defence Systems – A significant challenge in the global cybersecurity market for defence is the complex task of integrating modern cybersecurity solutions with outdated military infrastructure. Many defence organisations still rely on a wide range of legacy systems developed decades ago, often without a focus on security, such as older radars, communication networks, and weapon control systems. These systems often utilise obsolete hardware and software, making it both technically difficult and expensive to upgrade them with current security technologies. The diverse and proprietary nature of these old platforms presents interoperability challenges that hinder the effective deployment of cybersecurity tools, such as real-time monitoring, automated threat detection, and patch management. Furthermore, many legacy systems lack sufficient computational power or network connectivity required to support advanced security protocols, making integration even more problematic. Defence agencies face the challenging task of ensuring operational continuity while updating their technology; sudden overhauls could disrupt critical military operations. This delicate balance significantly slows down efforts to adopt state-of-the-art cybersecurity measures quickly.

Opportunities

Modernization and Digitization of Legacy Defence Systems – Numerous countries continue to use outdated defence platforms that were created during the Cold War or before advancements in cybersecurity. These systems are ill-equipped against contemporary cyber threats due to a lack of encryption, real-time monitoring capabilities, and secure firmware updates. With defence agencies embarking on digital modernisation initiatives—such as updating air defence systems, radar installations, missile control platforms, and fleet management tools—the incorporation of cybersecurity measures has become a critical aspect of system upgrades. Modernisation efforts often require updating existing systems with cybersecurity enhancements or replacing outdated platforms with new-generation options that incorporate integrated security features. Governments are progressively mandating cybersecurity compliance in military procurements, compelling vendors to prove their commitment to military-grade cybersecurity standards. The shift towards digital command systems and AI-powered platforms has expanded the scope of potential cyber threats, elevating their importance in defence strategy planning. As a result, the push for modernising military assets is directly increasing the need for customised cybersecurity solutions. This factor is anticipated to provide lucrative growth opportunities in the upcoming years.  

Segment Analysis

Regional Segmentation Analysis

The regions analyzed for the market include North America, Europe, South America, Asia Pacific, the Middle East, and Africa. North America emerged as the most significant global cybersecurity in defence market, with a 36% market revenue share in 2024.

North America, led primarily by the U.S., holds the largest share of the global cybersecurity market in the defence sector. Robust defence budgets, cutting-edge technological capabilities, and a well-established cybersecurity landscape support this dominance. The U.S. Department of Defence (DoD) regularly allocates considerable funds to cybersecurity efforts to emphasise securing national defence systems against increasingly complex cyber threats. In recent developments, programs like Cybersecurity Maturity Model Certification (CMMC) have been launched by the DoD to enforce strict security standards across its extensive supply chain, mandating that contractors and suppliers bolster their security measures. Along with establishing the U.S. Cyber Command and continually upgrading military networks, these initiatives have driven the widespread adoption of advanced cybersecurity solutions, such as AI-powered threat detection and zero-trust architectures. Canada plays a role in the regional market, though on a smaller scale, by increasing investments in military cybersecurity and engaging in joint defence initiatives with the U.S. The cooperative defence stance between these two nations under NORAD (North American Aerospace Defence Command) and other alliances promotes coordinated cyber defence strategies and technology sharing.

Check the geographical analysis of this market by requesting a free sample

Component Segment Analysis

The component segment is divided into solutions and services. The solution segment dominated the market, with a market share of around 64% in 2024. The demand for solutions is fuelled by the need to create robust perimeter defences, rapidly detect and counter cyber threats, ensure secure communication lines, and maintain data integrity and confidentiality across various military domains, including command systems, satellite communications, and battlefield management platforms. Defence agencies are progressively embracing integrated cybersecurity architectures that merge multiple solutions into cohesive frameworks, providing extensive threat visibility and quick incident response capabilities.

Deployment Segment Analysis

The deployment segment is bifurcated into on-premises and cloud. The on-premises segment dominated the market, with a market share of around 67% in 2024. Numerous defence organisations prefer on-premises solutions for mission-critical infrastructure, including command-and-control systems, weapons platforms, nuclear systems, and classified communications networks. Several factors contribute to the dominance of the on-premises segment, including strict security regulations, concerns about data sovereignty, air-gapped operations, and the lengthy lifecycle of legacy defence systems. On-premises solutions offer direct hardware control, customised configurations, and clear security boundaries. Defence agencies also have well-established processes for integrating these solutions into their networks. This integration provides stable revenue streams for vendors that specialise in hardware appliances, locally installed software, and managed services within military environments.

Security Type Segment Analysis

The security type segment is divided into network security, endpoint security, application security, cloud security and other security types. The network security system segment dominated the market, with a market share of around 40% in 2024. Network security solutions include firewalls, intrusion detection and prevention systems (IDS/IPS), virtual private networks (VPNs), network access control (NAC), and advanced threat intelligence platforms. Defence organisations place a high priority on network security to protect sensitive information during transmission and maintain seamless connectivity among different military units and command centres. The growing complexity of cyber threats, including Distributed Denial of Service (DDoS) attacks, advanced persistent threats (APTs), and state-sponsored hacking campaigns, underscores the need for robust network security. To boost network visibility and resilience, technologies such as deep packet inspection, anomaly detection, and behavioural analytics are being implemented more frequently.

End-user Segment Analysis

The end-user segment is divided into land force, naval force, and air force. The land forces segment dominated the market, with a market share of around 39% in 2024. A key factor contributing to the market share is the extensive and diverse nature of land-based deployments, which encompass numerous endpoints, tactical networks, and mobile data exchange systems. These systems are often targeted by cybercriminals, terrorists, and state-sponsored actors to disrupt battlefield communications or stealing intelligence. Compromised communication between ground command units and artillery can have catastrophic results. As a result, military forces have significantly increased investments in network security measures, such as endpoint protection, encryption technologies, secure radio communications enhancements, and bolstered mobile cybersecurity solutions.

Some of the Key Market Players

• CACI International Inc.
• BAE Systems plc
• Raytheon Technologies Corp.
• Darktrace plc
• General Dynamics Corp.
• L3Harris Technologies Inc.
• Northrop Grumman Corp.
• Booz Allen Hamilton Holding Corp.
• Leonardo S.p.A
• Thales Group
• Airbus Defence and Space
• Lockheed Martin Corp.
• QinetiQ Group plc
• Palantir Technologies Inc.
• Leidos Holdings Inc.
• SAIC Inc.

Report Description