United States IoT Security Market Growth Analysis - Forecast Trends, Market Size, Share and Outlook (2025-2034)

The United Sates IoT market security reached around USD 2.16 Billion in 2024. The market is projected to grow at a CAGR of 25.60% between 2025 and 2034 to reach nearly USD 21.10 Billion by 2034.

United States IoT Security Market Growth

The financial market in the United States represents the largest and most liquid markets globally. In 2019, the nation exported financial services and insurance amounting to $151.9 billion, resulting in a surplus of $60 billion in this sector. By the conclusion of 2019, the U.S. banking system boasted assets totalling $18.6 trillion and a net income of $235.9 billion. The security of the Internet of things (IoT) is crucial in the financial sector as it protects payment systems, secures customer information, prevents fraudulent activities, and ensures the safe functioning of interconnected devices and infrastructure.

In 2022, the United States experienced the second-highest rate of victims per million internet users. In 2021, one in two internet users in North America experienced account breaches. Additionally, 89.7% of organisations in the United States faced at least one cybercrime incident in 2021. IoT cybersecurity is crucial for organisations and individuals as it is vital for safeguarding the increasing array of connected devices against cyber threats, including data breaches, ransomware, identity theft, and DDoS attacks. By facilitating secure communication, robust authentication, and effective data encryption, cybersecurity solutions play a crucial role in protecting IoT ecosystems across various sectors, thereby thwarting cybercriminals from taking advantage of vulnerabilities within these networks.

Key Trends and Developments

The proliferation of IoT devices, increasing cyberattacks, stringent government regulations, increase in cloud based IoT devices, and adoption of artificial intelligence and machine learning are the major trends impacting the United States IoT security market growth.

July 2023

The United States government introduced the Cyber Trust Mark, a security labelling initiative for Internet of Things devices, designed to safeguard American citizens from the numerous security threats linked to internet-connected technology.

November 2023

Broadcom Inc., a prominent global technology leader specialising in the design, development, and provision of semiconductor and infrastructure software solutions, successfully acquired VMware, Inc. The acquisition was aimed at establishing the former as the foremost infrastructure technology company globally.

April 2024

Cisco Invests, a prominent American multinational technology corporation, made an investment in Upstream's Mobility and IoT Cybersecurity Platform. This investment offers Cisco an enhanced understanding of the rapidly expanding SaaS sector, as the focus transitions from IoT platforms to applications that leverage IoT capabilities.

Proliferation of IoT Devices

The swift increase in the quantity of Internet of Things (IoT) devices in diverse sectors such as smart homes, healthcare, automotive, and manufacturing has generated an immediate demand for strong IoT security measures to safeguard against cyber threats.

Stringent Government Regulations and Standards

The United States government has implemented a range of regulations and guidelines, including the IoT Cybersecurity Improvement Act and recommendations from the National Institute of Standards and Technology (NIST), which establish minimum security requirements for connected devices, thereby increasing the demand for IoT security solutions.

Increase in Cloud-Based IoT Devices

With the increasing number of IoT devices linking to cloud services for data storage and processing, ensuring secure communication between these devices and cloud platforms has emerged as a critical concern. The growth of cloud-based IoT solutions is fuelling the need for security tools capable of safeguarding data across distributed networks.

Growing Adoption of Artificial Intelligence and Machine Learning

The incorporation of artificial intelligence and machine learning into the Internet of Things (IoT) security frameworks is enhancing the capabilities for threat detection and response, thereby strengthening the resilience of IoT networks against cyber threats. Consequently, there has been a rise in the implementation of sophisticated IoT security strategies.

Increasing Cyber Attacks

The increase in cyberattacks, such as ransomware incidents, data breaches, and botnet assaults, aimed at IoT devices has raised awareness among both businesses and consumers regarding the necessity for robust security protocols to protect sensitive information and systems.

United States IoT Security Market Trends

The rise in cyberattacks, particularly in the form of ransomware incidents, data breaches, and botnet assaults, targeting the Internet of things (IoT) devices has significantly heightened awareness among both businesses and consumers about the critical need for robust security protocols. This growing concern stems from the increasing frequency and sophistication of these attacks, which not only threaten the integrity of sensitive information but also jeopardise the overall functionality of systems that individuals and organisations rely on daily.

By prioritising cybersecurity measures, organisations can better protect their sensitive information and systems, while consumers can make informed choices about the devices they use and the data they share. This shift towards a more security-conscious mindset is essential in navigating the complexities of the digital age and safeguarding against the ever-evolving tactics of cybercriminals.

United States IoT Security Industry Segmentation

United States IoT Security Market Report and Forecast 2025-2034 offers a detailed analysis of the market based on the following segments:

Market Breakup by Component:

• Solutions
• Identity and Access Management
• Device Management
• Data Encryption and Tokenisation
• Unified Threat Management (UTM)
• Security analytics
• Others
• Services

Market Breakup by Deployment Mode:

• On-Premises
• Cloud

Market Breakup by Organisation Size:

• Large Enterprises
• Small and Medium Enterprise (SMEs)

Market Breakup by Security:

• Network Security
• Cloud Security
• End Point Security
• Application Security
• Others

Market Breakup by Industry Vertical:

• BFSI
• Government
• Healthcare and Life Sciences
• Energy and Power
• Manufacturing
• Others

Market Breakup by Region:

• New England
• Mideast
• Great Lakes
• Plains
• Southeast
• Southwest
• Rocky Mountain
• Far West

United States IoT Security Market Share

Based on the organisation size, the market is segmented into large enterprises and small and medium enterprise (SMEs). Small and medium enterprises (SMEs) are projected to grow at a CAGR of 26.2% during the forecast period of 2025-2034. The security of Internet of Things (IoT) systems is essential for small and medium-sized enterprises to safeguard sensitive information, avert financial losses, ensure the continuity of operations, and uphold a positive reputation.

Leading Companies in the United States IoT Security Market

Major players are focusing on the adoption of artificial intelligence and machine learning to gain a competitive edge in the market.

• IBM Corporation
• Cisco Systems Inc.
• Broadcom Inc.
• Intel Corp.
• HP Inc.
• Fortinet Inc.
• AT&T Inc.
• Check Point Software Technologies Ltd.
• Palo Alto Networks Inc.
• Trustwave Holdings, Inc.
• Others

The comprehensive report looks into the macro and micro aspects of the market. The report gives an in-depth insight into the market by providing a SWOT analysis as well as an analysis of Porter’s Five Forces model.