Healthcare Cybersecurity Market

Updated on : Oct 11, 2024

Healthcare Cybersecurity Market Size, Share, Industry Growth, Latest Trends, Analysis, Forecast - 2028

Healthcare Cybersecurity Market size is predicted to grow at a 14.2% CAGR to produce revenue of USD 35.3 billion by 2028 from USD 18.2 billion in 2023. The major factors driving the market growth include increased cyberattacks, concerns about security and privacy, increased use of IoT and connected devices, and growth in the usage of cloud-based healthcare solutions. Moreover, using healthcare IT solutions more often in outpatient care facilities and the significance of IoT security in healthcare cybersecurity will drive the demand for these products in the near future.

To know about the assumptions considered for the study, Request for Free Sample Report

To know about the assumptions considered for the study, download the pdf brochure

COVID-19 Impact

The coronavirus pandemic caused an unbelievable calamity that had an impact on every facet of the contemporary reality. These negative repercussions created the perfect environment for a significant rise in cybercrime targeting vital infrastructures, more especially the health sector, which was the most affected by the epidemic. Cybercriminals continue to target the healthcare industry due to the impact that had been created by the COVID-19 pandemic. Cybercriminals use ransomware, phishing schemes, and other targeted attacks when the healthcare industry is most at risk. Organizations have been unprepared to handle the increased challenges of the pandemic, such as minimal protection for workers who work remotely and comingled data being stored in the cloud without security and privacy measures in place. A decrease in system and security visibility has made it possible for attackers to infiltrate systems covertly, leading to malicious software like ransomware that locks crucial systems and data until a ransom is paid. In order to manage this unprecedented situation, hospitals have transferred their attention and resources to their primary role, managing this extraordinary emergency, which has placed them in a vulnerable situation.

Healthcare Cybersecurity Market Dynamics

Driver: Growing adoption of IoT and connected devices

Healthcare businesses utilize cybersecurity technologies and techniques to protect patient privacy and maintain the privacy of the sensitive medical data. Healthcare cybersecurity ensures that sensitive medical information is restricted and only accessible to authorized users, such as patient’s doctor. Healthcare firms are shielded from external threats by healthcare cybersecurity, including ransomware and hackers looking to steal sensitive personal data to resell on the Dark Web. Moreover, it protects data from internal risks, such as malevolent internal actors like hospital workers and those posed by users who unintentionally endanger sensitive data. For instance, hospital employees who fall prey to phishing schemes could risk hackers accessing sensitive patient information. Thus, to offer complete protection against data security risks, healthcare cybersecurity must be able to enforce data protection requirements over any and all systems used by medical organizations.

Restraint: Insufficient training and dearth of knowledgeable IT staff

With the development of technology, the network architecture for healthcare cybersecurity is growing increasingly complex. In today's virtual world, there are simply too many entry points for threats to exploit, yet there aren't enough skilled cybersecurity specialists to understand and counteract such sophisticated and zero-day attacks. Due to a lack of skilled security professionals, the healthcare industry is in grave danger. Network flaws are exploited by cyber threats to access the network. The number of zero-day attacks has increased as sophistication levels have increased. The tactics and strategies used by attackers to infiltrate the network remain undetected. Businesses fail to adequately invest in their security infrastructure due to a lack of awareness of contemporary cyber dangers, which causes significant losses. Moreover, organizations with urgent cybersecurity needs have seen a severe lack of competent people, which makes them further vulnerable to cyberattacks.

Opportunity: IoT security plays critical role in healthcare cybersecurity sector

IoT security may be classified as a cybersecurity strategy and defensive system that guards against the risk of cyberattacks, which mostly target physically connected loT equipment. Any connected loT device is open to breach, penetration, and control by a bad actor, allowing them to eventually infiltrate, steal user data, and bring down networks. As loT devices currently make up 30% of all devices on enterprise networks, there has been a change in how businesses operate as a result of the loT technology's rapid development in capabilities and adoption. These devices create valuable data that provides insightful information that influences decisions in real time and enables accurate predictive modeling. Moreover, IoT plays a critical role in the company's digital transition by being able to generate workforce productivity, business efficiency, and profitability as well as the overall employee experience.

Challenge: Vulnerability and concern related to medical data

Healthcare cybersecurity has become a distinct concern due to the nature of medical data. One can, for example, block a stolen bank card and obtain a new one. Yet, once information on medical conditions or lab tests has been made public, it is impossible to "remove" it. Patients' health and, in certain situations, lives are in danger when clinical electronic systems fail. Each clinic or hospital has several networks and digital complexes, including electronic health records (EHRs), electronic prescriptions and decision support systems, intelligent heating, ventilation, and air conditioning (HVAC), infusion pumps, medical Internet of things (loMT) devices, and more. All of them are vulnerable to cybercriminals. Healthcare providers and their business partners must also strike a balance between preserving patient privacy and providing quality care and complying with HIPAA, GDPR, and other regulations. It makes it harder to implement security measures, and cybercriminals rush to take advantage of it.

Healthcare Cybersecurity Market Ecosystem

By end use industry, the telehealth and digital health providers segment to grow at the highest CAGR during the forecast period

Telehealth and Digital Health Providers have emerged as important players in the healthcare industry, providing remote healthcare services and digital tools to patients and healthcare providers. In healthcare cybersecurity, these providers confront a variety of specific cybersecurity concerns, such as the need to protect sensitive patient data, secure communication routes, and maintain the integrity of digital health systems. As more people use telehealth and digital health services, the necessity for strong cybersecurity measures to secure patient data and assure the safety and usefulness of these services grows. As a result of these reasons, the telehealth and digital health providers sector is expected to develop at the greatest CAGR during the projection period.

By services, the managed services segment to grow at the highest CAGR during the forecast period

Managed services in healthcare cybersecurity involve outsourcing the management of security systems and infrastructure to a third-party provider. These services provide ongoing monitoring, management, and maintenance of an organization's security systems, such as firewalls, intrusion detection and prevention systems, and SIEM systems. The rise in large-scale networks and Internet of Things (IoT) applications is increasing demand for managed services. Additionally, the managed services segment is expected to have a higher CAGR over the projection period due to the rise in large-scale networks and IoT applications.

By region, North America to account for the highest market size during the forecast period

Many significant market players are present in North America, providing cutting-edge solutions to all regional end customers. In North America, the US and Canada are anticipated to contribute significantly to the expansion of the market for healthcare cybersecurity due to their robust economies. Apart from this aspect, the widespread adherence to data compliance regulations and cloud deployments are influencing the extensive deployments of healthcare cybersecurity systems. Furthermore, the expansive use of personal devices, such as smartphones and laptops, to assist the healthcare industry in continuing their activities, securing data residing within healthcare organizations, and transferring it over business networks amid pandemic, are expected to massively drive the adoption of healthcare cybersecurity solutions in North America. Thus, these factors are anticipated to support the market for global healthcare cybersecurity in North America.

Kay Market Players

IBM (US), Cisco (US), Palo Alto Networks (US), Check Point (Israel), Fortinet (US), Trend Micro (Japan), Dell EMC (US), CrowdStrike (US), Kudelski Security (Switzerland), CloudWave (US), Claroty (US), Imperva (US), LogRhythm (US), Kaspersky (Russia), Sophos (UK), Juniper (US), Forcepoint (US), Verimatrix (US), Forescout (US), Imprivata (US), SailPoint Technologies (US), Saviynt (US), JFrog (US), Fortified (US), ClearDATA (US), Cynerio (US), MedCrypt (US), Armis (US), Cylera (US), Zeguro (US), Virta Laboratories (US), Protenus (US), Censinet (US), and Sternum (Israel) are the key players and other players in the healthcare cybersecurity market.

Healthcare Cybersecurity Market Scope 

The study categorizes the healthcare cybersecurity market by offerings, services, solution type, threat type, security type, end-user, and region.

By Offering:

• Solutions
• Services

By Services:

• Professional Services
• Managed Services

By Solution Type:

• IAM
• Antivirus/Antimalware
• Log Management and  SIEM
• Firewall
• Encryption and Tokenization
• Compliance and Policy Management
• Patch Management
• Other Solution Types (data backup and recovery and asset identification and visibility)

By Threat Type:

• Phishing
• Ransomware
• Malware
• DDoS
• APT
• Other Threat Types (account hijacking, code injection, website defacement, and unauthorized access)

By Security Type:

• Network Security
• Cloud Security
• Application Security
• Endpoint and IoT Security

By End Use Industry:

• Hospitals and Healthcare Facilities
• Medical Device Manufacturers
• Pharmaceuticals and Biotechnology
• Health Insurance Providers and Payers
• Telehealth and Digital Health Providers
• Government Healthcare Agencies

By Region:

• North America
• Europe
• Middle East and Africa
• Asia Pacific
• Latin America

Recent Developments

• In March 2023, IBM (US) collaborated with Cohesity (US) to provide better data security and reliability in hybrid cloud settings. IBM Storage Defender solution combines data protection, cyber resilience, and data management capabilities to protect enterprises' data layers from threats such as ransomware, human error, and sabotage. It also has a cyber vault and clean room capabilities, as well as automatic recovery operations to help retrieve business-critical data in hours or minutes rather than days or weeks.
• In December 2022, Cisco (US) collaborated with Cylera (US) to solve complex security issues in the medical space. Cylera's MedCommand automates the inventory, risk analysis, and profiling of IoT devices for Cisco's ISE, HIoT devices, OT equipment, and key hospital building management systems. It also looks for anomalous traffic requests and flags them to network monitoring tools and security incident and event management systems.
• In December 2022, Palo Alto Networks (US) unveiled Medical IoT Security, a Zero Trust security solution for medical devices that eliminates implicit trust by continuously verifying every user and device. It enables healthcare organizations to deploy and manage new connected technologies quickly and securely.
• In August 2021, Check Point (Israel) acquired Avanan (US). With this acquisition, Avanan will integrate into the Check Point Infinity consolidated architecture to deliver the world’s most secure email security offering. By utilizing patented technology designed and built for cloud email environments, this will be the only unified solution in the market to protect remote workforce from malicious files, URLs and Phishing across email, collaboration suites, web, network, and endpoint.
• In March 2021, Trend Micro (Japan) collaborated with Nuffield Health (UK). Through this collaboration, Trend Micro’s Vision One platform assists Nuffield Health by enabling quicker and earlier threat detection, analysis, and remediation. It helps Nuffield Health safely meeting the demand for its clients by reducing threat detection and response times and increasing in-house IT efficiency.

Frequently Asked Questions (FAQ):

To speak to our analyst for a discussion on the above findings, click Speak to Analyst