Healthcare Cyber Security Market by Threat Type (Malware, Distributed Denial-Of-Service (DDOS), and Advanced Persistent Threat (APT)), by Solution (Antivirus & Antimalware, Risk & Compliance Management, Security Information & Event Management (SIEM), DDOS

Healthcare Cyber Security Market by Threat Type (Malware, Distributed Denial-Of-Service (DDOS), and Advanced Persistent Threat (APT)), by Solution (Antivirus & Antimalware, Risk & Compliance Management, Security Information & Event Management (SIEM), DDOS Mitigation, Identity & Access Management, and Others), by Security (Cloud security, Network security, Endpoint security, and Others) and by End User (Hospitals & Clinics, Pharmaceuticals & Biotechnology Industries, Health Insurance Companies, and Medical Devices Companies) – Global Opportunity Analysis and Industry Forecast 2023-2030

The Healthcare Cybersecurity Market size was valued at USD 18.2 billion in 2023, and is predicted to reach USD 62.1 billion by 2030, with a CAGR of 15.3% from 2024 to 2030.

Governments worldwide are increasingly recognizing the heightened cyber threats confronting healthcare institutions and are taking proactive steps to enhance cybersecurity within the sector. They are implementing strategic initiatives, providing financial backing, and enacting legislation to establish clear guidelines for safeguarding health information and delineating cybersecurity protocols. These legal frameworks serve as a roadmap for healthcare organizations, promoting a culture of cybersecurity awareness and regulatory compliance. In the U.S., the Department of Homeland Security (DHS) has introduced measures to standardize cyber incident reporting, facilitating coordinated responses to cyber threats. Similarly, the European Commission has adopted the inaugural European cybersecurity certification scheme to bolster the reliability of ICT products, thereby reinforcing cybersecurity measures across various sectors, including healthcare.

Moreover, the rising number of cyberattacks in healthcare industry is further boosting the growth of the market. According to the U.S. Department of Health & Human Services, in 2023, more than 88 million individuals experienced significant breaches involving their personal health information, highlighting the sector's heightened vulnerability to malicious activities. Nearly 75% of ransomware attacks successfully encrypted data, marking the highest encryption rate observed in the past three years. This notable increase, up from 61% in 2022, emphasizes the evolving tactics and capabilities of cybercriminals targeting healthcare organizations. Hospitals, clinics, and research labs are particularly vulnerable, grappling with a complex array of cybersecurity risks.

However, the expansion of the healthcare cybersecurity market faces a significant obstacle due to a shortage of skilled cybersecurity professionals, especially in developing countries. There is a recognized scarcity of experts capable of addressing the complex challenges posed by cybercrimes in healthcare. Developing nations encounter difficulties in recruiting and retaining these specialized professionals, making it challenging to establish robust security frameworks within healthcare systems. The intricate nature of healthcare cybersecurity, coupled with limited resources and educational disparities, hinders the swift adoption of advanced cybersecurity practices. This shortage affects the protection of patient data and compromises incident response capabilities, leaving healthcare organizations vulnerable to prolonged cybersecurity threats.

On the contrary, the integration of blockchain technology is a crucial factor that brings significant opportunities for the future of the Healthcare Cybersecurity Market. With the increasing threats to personal and financial information of digital service users worldwide, especially from sophisticated attacks such as ransomware, DDoS, and phishing, blockchain offers a promising solution to enhance cybersecurity. Blockchain's key characteristics, such as immutability and resistance to modification, create a secure environment for storing sensitive patient information. By storing patient data on a blockchain, individuals gain control and can share a single, unalterable version of their health records. This not only empowers patients but also strengthens protection against cyberattacks. Moreover, blockchain facilitates the development of decentralized security systems by distributing data across various network nodes. This decentralized approach significantly raises the difficulty for hackers, requiring considerable time and resources to compromise multiple nodes, thereby improving overall cybersecurity in the healthcare sector. Using blockchain in healthcare demonstrates a proactive measure against cybercrimes, safeguarding applications, systems, and data through decentralization.

Segment Overview

The healthcare cybersecurity market is segmented on the basis of solution, security, end user, and region.
• By Solution, the market is divided into antivirus and anti-malware protection, risk and compliance management, security information and event management, distributed denial-of-service (DDoS) mitigation, identity and access management, and other solutions.
• By Security, the market is segmented into cloud security, network security, endpoint security, and other securities.
• By End-user, the market is classified into hospitals & clinics, pharmaceutical & biotechnology industries, health insurance companies, and medical device companies.
• Region-wise, the market is segmented into North America, Europe, Asia-Pacific, and rest of the world (RoW).

North America dominates the Healthcare Cybersecurity Market

The increasing frequency of cyberattacks in the healthcare sector of North America is driving the growth of the healthcare cybersecurity market in this region. The U.S. is particularly affected, experiencing the highest number of ransomware attacks globally, accounting for 15% of all reported incidents. In April 2022 alone, 65 hospitals and 450 healthcare facilities in the U.S. fell victim to cyberattacks, leading to compromised patient data and approximately USD 100 million in losses. With ransomware attacks and other malicious activities posing significant risks to patient data and healthcare infrastructure, there is an urgent need for proactive security solutions and strategies to protect against cyber threats and ensure the integrity, confidentiality, and availability of critical healthcare systems and information in the region.

Furthermore, government investment in healthcare cybersecurity is playing a crucial role in driving market growth, especially in countries including Canada, the U.S., and Mexico. These governments acknowledge the vital importance of protecting healthcare systems and patient data from cyber threats. For instance, the Canadian government has announced a substantial investment of USD 34.4 billion to modernize its healthcare infrastructure, focusing on integrating advanced technologies. This investment aims to improve the efficiency and effectiveness of healthcare delivery while ensuring robust cybersecurity measures are in place to safeguard sensitive information. Such strategic investments create significant opportunities for the expansion of the healthcare cybersecurity market in this region.

Key Market Players

The key players in the healthcare cybersecurity market include:
• Palo Alto Networks Inc.
• Cisco Systems Ltd
• Fortinet Inc.
• Crowdstrike
• Check Point Software Technologies Ltd
• Microsoft Corporation
• Zscaler
• IBM Corporation
• Trend Micro
• Arista Networks, Inc.

Recent Developments

January 2024

Cisco and the Organization for Economic Cooperation and Development (OECD) launched a research initiative on digital well-being. The initiative aims to improve the risks it poses to digital divides, cybersecurity, and disinformation among the healthcare industries.

November 2023

Palo Alto Networks launched Strata Cloud Manager, which is the industry's first AI-powered Zero Trust management and operations solution. This platform aims to simplify management and operations across the entire network security estate. It also offers advanced security capabilities and new Next-Generation Firewalls for healthcare industries and others.

August 2023

Fortinet launched a new SD-WAN services aimed at simplifying operations and enhancing the digital experience. This approach reduces network complexity, simplifies management, and enhances the digital experience for healthcare organization.

KEY BENEFITS
• The healthcare cybersecurity market report provides a quantitative analysis of the current market and estimations from 2024 to 2030. This analysis assists in identifying the prevailing market opportunities.
• The study comprises a comprehensive analysis of the healthcare cybersecurity market trends, including current and future trends for depicting prevalent investment pockets in the market.
• The information related to key drivers, restraints, and opportunities and their impact on the healthcare cybersecurity market is provided in the report.
• The competitive analysis of the market players along with their market share in the healthcare cybersecurity market is provided in the report.
• The SWOT analysis and Porter’s Five Forces model are elaborated in the study.
• The value chain analysis in the market study provides a clear picture of the role of stakeholders.