External Cloud Automotive Cyber Security Services Market Report 2026

The external cloud automotive cyber security services market size has grown rapidly in recent years. It will grow from $2.67 billion in 2025 to $3.04 billion in 2026 at a compound annual growth rate (CAGR) of 13.9%. The growth in the historic period can be attributed to increasing connectivity in modern vehicles, rising incidents of automotive cyberattacks, adoption of telematics and infotainment systems, growth in electric vehicle deployment, early implementation of vehicle cybersecurity standards.

The external cloud automotive cyber security services market size is expected to see rapid growth in the next few years. It will grow to $5.11 billion in 2030 at a compound annual growth rate (CAGR) of 13.8%. The growth in the forecast period can be attributed to increasing deployment of software-defined vehicles, rising regulatory mandates for automotive cybersecurity, expansion of autonomous vehicle fleets, growing reliance on cloud-managed vehicle systems, increasing investments in vehicle data protection. Major trends in the forecast period include increasing adoption of cloud-based vehicle security platforms, rising demand for over-the-air threat monitoring, growing integration of cybersecurity in connected vehicles, expansion of managed automotive security services, enhanced focus on real-time threat detection.

The increasing number of connected cars is anticipated to drive the growth of the external cloud automotive cybersecurity services market in the coming years. A connected car is a vehicle capable of accessing the internet and communicating with other vehicles via an integrated connectivity system. Recently, the number of connected cars and vehicles with advanced connectivity features has been on the rise. While these cars can access the internet, they are also susceptible to cyberattacks and thus require cybersecurity solutions. For instance, in August 2024, according to the European Union, a UK-based official European Union agency, in 2023, 1.5 million new battery-only electric passenger cars were registered in the EU, bringing the total number to 4.5 million. This represents a 48.5% increase compared with 2022, when the total number was 3 million. Consequently, the growing number of connected cars is fueling the demand for external cloud automotive cybersecurity services.

Major companies operating in the external cloud automotive cyber security services market are adopting a strategic partnership approach to defend software-defined vehicles against cyber threats. Strategic partnerships refer to a process in which companies leverage each other's strengths and resources to achieve mutual benefits and success. For instance, in June 2023, BlackBerry Limited, a Canada-based intelligent security software and services company, announced a partnership with Upstream Security Ltd. to enable automobile makers to improve the entire security posture of their cars by exploiting BlackBerry IVY's extensive telemetry data and edge compute features. Upstream's cloud-native Vehicle Detection and Response (V-XDR) infrastructure identifies automotive cybersecurity hazards, abnormalities, and operational insights and is utilized by many of the world's major automobile manufacturers, with over 20 million connected vehicles monitored globally. By integrating Upstream's specially designed V-XDR platform with BlackBerry IVY, OEMs can now pre-process and access data at the vehicle's edge to provide a larger range of actionable insights almost instantly, preserving cybersecurity compliance while drastically reducing their cloud connectivity expenses.

In March 2023, DEKRA SE, a Germany-based company offering automotive safety, testing, and cybersecurity services, acquired Onward Security Co., Ltd. for an undisclosed sum. Through this acquisition, DEKRA intends to enhance its cybersecurity capabilities for connected and cloud-enabled vehicles, bolstering its technological offerings and market position in automotive cybersecurity. Onward Security Co., Ltd., based in Taiwan, provides automotive cybersecurity solutions, including penetration testing, security validation, and cloud-focused protection services for connected vehicles.

Major companies operating in the external cloud automotive cyber security services market are Continental AG; Denso Corporation; Aptiv PLC; NXP Semiconductors N. V.; Honeywell International Inc.; Trillium Secure Inc.; Escrypt GmbH; Vector Informatik GmbH; Karamba Security; Guardknox Cyber Technologies Ltd.; Upstream Security Ltd.; Capgemini SE; Robert Bosch GmbH; SafeRide Technologies; Arilou Automotive Cybersecurity; Argus Cyber Security; BlackBerry; Cybellum Technologies LTD; MIRA Ltd.; BT Security; Cisco Systems Inc.; Dell Technologies Inc.; Fortinet Inc.; International Business Machines Corporation; Microsoft Corporation; Palo Alto Networks Inc.; Trend Micro Inc.; Check Point Software Technologies Ltd.

North America was the largest region in the external cloud automotive cyber security services market in 2025. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the external cloud automotive cyber security services market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the external cloud automotive cyber security services market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

Tariffs are impacting the external cloud automotive cyber security services market by increasing costs associated with imported servers, networking hardware, semiconductors, and security appliances used in cloud infrastructure supporting automotive platforms. Automotive OEMs and mobility service providers in North America and Europe are most affected due to reliance on globally sourced IT and security hardware, while Asia-Pacific faces cost pressures in cloud infrastructure expansion. These tariffs are raising service delivery costs and slowing platform scaling. However, they are also encouraging regional cloud deployments, local cybersecurity partnerships, and greater emphasis on software-driven security models that reduce hardware dependency.

The external cloud automotive cyber security services market research report is one of a series of new reports that provides external cloud automotive cyber security services market statistics, including external cloud automotive cyber security services industry global market size, regional shares, competitors with a external cloud automotive cyber security services market share, detailed external cloud automotive cyber security services market segments, market trends and opportunities, and any further data you may need to thrive in the external cloud automotive cyber security services industry. This external cloud automotive cyber security services market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

External cloud automotive cyber security services refer to services useful in protecting automotive electronic systems, communication networks, algorithms, and user data from malicious attacks or unauthorized access. Cybersecurity is the practice of defending and protecting computers, peripheral devices, networks, and systems from malicious attacks and viruses. Automobiles are connected to the internet and are vulnerable to cyber threats. So, automotive cyber security is essential for automakers.

The main types of security in external cloud automotive cyber security services are endpoint security, application security, and wireless network security. The different vehicle types include passenger cars and commercial vehicles. Passenger cars are used to carry passengers. Passenger cars are road vehicles designed for the carriage of passengers, with a large seating area and luxuries. The different electric vehicle types include battery electric vehicles, hybrid electric vehicles, and plug-in hybrid electric vehicles that are used in telematics systems, infotainment systems, powertrain systems, body control and comfort systems, communication systems, and ADAS and safety systems.

The external cloud automotive cyber security services market consists of revenues earned by entities by providing external cloud automotive cyber security services that are used to control algorithm and protect electronic system. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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