Automotive Cybersecurity Hardware Market Size - By Hardware, By Vehicle Connectivity Level, By Vehicle, By Application, By Sales Channel, Growth Forecast, 2025-2034

Automotive Cybersecurity Hardware Market Size

The global automotive cybersecurity hardware market size was valued at USD 2.1 billion in 2024. The market is expected to grow from USD 2.3 billion in 2025 to USD 5.8 billion in 2034, at a CAGR of 11.1%, according to latest report published by Global Market Insights Inc.

The automotive cybersecurity hardware market is growing rapidly as vehicles become more connected, electric, and software driven. With modern cars using more electronic control units (ECUs), sensors, and communication systems, the risk of cyberattacks has increased. This is driving demand for strong hardware-based security systems that can protect vehicle data and ensure safe operation.
 

Key hardware components such as secure microcontrollers (MCUs), hardware security modules (HSMs), and trusted platform modules (TPMs) are now essential for protecting vehicle networks and data. These components help prevent hacking, ensure only authorized access, and support secure communication between different vehicle systems like infotainment, telematics, and V2X (vehicle-to-everything) connections.
 

For instance, in February 2025, Infineon Technologies launched its new AURIX TC4x microcontroller series, which includes advanced built-in cybersecurity features like encryption and post-quantum protection. This shows how manufacturers are focusing on making vehicle hardware more secure to meet new safety and cybersecurity standards such as UNECE WP.29 and ISO/SAE 21434.
 

The market is advancing fast due to trends like centralized vehicle architecture, secure over-the-air (OTA) updates, and integration of software and hardware security features. Companies are developing high-performance chips that can detect and block threats in real time, keep data safe, and make vehicles more reliable. As cars become smarter and more connected, cybersecurity hardware is becoming a key part of ensuring safety, trust, and smooth operation in modern mobility.
 

Automotive Cybersecurity Hardware Market Trends

The demand for automotive cybersecurity hardware is rising as automakers collaborate with semiconductor and security solution providers to deliver secure, scalable, and resilient vehicle systems. Companies are combining expertise to accelerate development, reduce integration complexity, and shorten time-to-market for secure microcontrollers, hardware security modules (HSMs), and trusted platform modules (TPMs).
 

In 2025, Infineon and NXP partnered to develop secure ECUs and gateway controllers for connected ADAS, and infotainment systems, leveraging advanced cryptography, secure boot, and intrusion detection capabilities.
 

Regional production hubs are emerging to meet local cybersecurity standards and optimize supply chains. Players like Renesas and STMicroelectronics are establishing facilities in Asia-Pacific, Europe, and North America, enabling faster, compliant delivery of secure hardware components.
 

Emerging players, including BlackBerry QNX, are offering modular, energy-efficient platforms with trusted execution environments, real-time threat detection, and secure OTA update support, catering to connected, electric, and autonomous vehicles.
 

Modular cybersecurity platforms now support multiple vehicle architectures ICE, hybrid, and electric reducing development costs, shortening launch cycles, and enabling resilient, connected, and regulation-compliant vehicle systems for next-generation mobility.
 

Automotive Cybersecurity Hardware Market Analysis

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Based on hardware, the automotive cybersecurity hardware market is divided into hardware security modules (HSM), network security controllers, firewalls and intrusion detection units, secure microcontrollers and encryption/decryption chips. The hardware security modules segment dominated the market accounting by around 50% in 2024 and is expected to grow at a CAGR of 10.8% from 2025 to 2034.
 

• The Hardware Security Modules (HSM) segment holds a dominant position in the automotive cybersecurity hardware market, driven by its critical role in ensuring secure key storage, cryptographic processing, and real-time threat protection. HSMs provide a root of trust for vehicle ECUs, domain controllers, and connected systems, making them the preferred choice among OEMs and Tier-1 suppliers for safeguarding critical electronic and network components.
   
• The Secure Microcontrollers (MCUs) and Encryption/Decryption/ Chips segments are experiencing notable growth as manufacturers prioritize embedded security, low-latency cryptographic operations, and integration with connected vehicle architectures. These components are increasingly utilized in ADAS systems, infotainment platforms, and telematics units, reflecting the industry’s shift toward domain-centralized architectures and secure, high-performance vehicle networks.
   
• Meanwhile, Network Security Controllers and Firewalls/Intrusion Detection Units are expanding steadily, fueled by their adoption in Ethernet, CAN, and V2X communication networks. Market players are investing in advanced, modular, and scalable hardware solutions that provide intrusion detection, secure communication, and compliance with ISO/SAE 21434 and UNECE WP.29 standards. These innovations are particularly relevant for electric and autonomous vehicles, where robust cybersecurity across multiple vehicle domains is essential for safe and reliable operation.
   

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Based on vehicle, the automotive cybersecurity hardware market is divided into passenger vehicles and commercial vehicles. Passenger vehicles segment dominates the market with 82% share in 2024, and the segment is expected to grow at a CAGR of 11.3% between 2025 and 2034.
 

• The passenger vehicles segment dominates the market, driven by rising adoption of connected, autonomous, and electric vehicles. Integration of HSMs, secure microcontrollers, and ECUs in infotainment, digital cockpits, and ADAS platforms enhances vehicle safety, data protection, and compliance with ISO/SAE 21434 and UNECE WP.29.
   
• Leading players like Infineon, NXP, and STMicroelectronics are introducing advanced HSMs and secure microcontrollers for domain controllers and OTA updates, emphasizing real-time threat detection, seamless integration, and regulatory adherence.
   
• The commercial vehicles segment, although smaller in scale, is witnessing steady adoption of automotive cybersecurity hardware in trucks, buses, and specialty vehicles. Growth is supported by increasing demand for secure communication between vehicle networks, protection of fleet telematics data, and robust intrusion detection systems that enhance long-term operational safety and reliability while reducing vulnerability to cyberattacks.
   

Based on vehicle connectivity level, the automotive cybersecurity hardware market is divided into connected vehicles, semi-autonomous vehicles and fully autonomous vehicles and non-connected vehicles. The connected vehicles segment dominates the market and was valued at USD 700 million in 2024.
 

• The connected vehicles segment dominates, fueled by widespread adoption of HSMs, secure MCUs, encryption chips, and network security controllers across infotainment, digital cockpits, and telematics systems. These components provide real-time threat protection, secure OTA updates, and ensure compliance with ISO/SAE 21434 and UNECE WP.29, making them essential for modern vehicle architecture.
   
• Suppliers are expanding portfolios to include intrusion detection units, secure gateway controllers, and cryptographic accelerators, enabling robust V2X communication, threat monitoring, and resilient vehicle networks for both conventional and electrified passenger vehicles.
   
• Semi-autonomous and fully autonomous vehicles are growing fast, driven by ADAS, domain-centralized ECUs, and autonomous control platforms. These require low-latency, high-security hardware to protect critical systems and ensure operational reliability.
   
• Non-connected vehicles hold a minimal share but are gradually integrating basic security modules to meet emerging safety and regulatory standards. Overall, the market is shifting toward modular, scalable, and integrated cybersecurity platforms, supporting multiple connectivity levels while enabling OEMs to deliver secure, resilient, and future-ready vehicles across passenger and commercial segments.
   

Based on application, the automotive cybersecurity hardware market is divided into advanced driver assistance systems (ADAS), infotainment & telematics, powertrain & chassis, body electronics & comfort systems, communication systems (V2X, OTA updates) and others. The advanced driver assistance systems (ADAS) segment dominates the market and was valued at USD 700 million in 2024.
 

• The ADAS segment dominates the market, driven by the integration of HSMs, secure microcontrollers, encryption modules, and intrusion detection units across cameras, radar, LiDAR, and domain-centralized ECUs. Growing adoption of semi-autonomous and fully autonomous vehicles has accelerated demand for low-latency, real-time threat detection and fail-safe operation, making cybersecurity hardware critical for safe vehicle functionality.
   
• The Infotainment & Telematics segment is experiencing steady growth as connected services, over-the-air (OTA) updates, and in-car digital platforms increase the need for secure communication and data protection. Hardware solutions ensure that infotainment systems and telematics units are safeguarded against cyber intrusions and data breaches.
   
• The Powertrain & Chassis segment is expanding with the rise of electric and high-performance vehicles, which require secure ECUs and cryptographic processors to protect critical control systems and maintain operational safety. Body Electronics & Comfort Systems are also gaining traction, with secure hardware deployed in connected lighting, seat controls, and cabin interfaces to prevent unauthorized access and maintain system integrity.
   
• The Communication Systems segment (V2X and OTA updates) is growing rapidly as secure hardware solutions ensure safe, encrypted communication between vehicles and infrastructure, supporting connected mobility and regulatory compliance. Other applications maintain a smaller share, covering miscellaneous electronic systems that require basic cybersecurity protection but contribute to overall vehicle safety and reliability.
   

Based on sales channel, the automotive cybersecurity hardware market is divided into OEMs and Aftermarket. The OEMs segment dominates the market and was valued at USD 1.6 billion in 2024.
 

• The OEMs segment dominates the market, driven by the integration of HSMs, secure microcontrollers, encryption modules, and intrusion detection units directly into vehicles during manufacturing. OEMs ensure that cybersecurity hardware is embedded across critical systems such as ADAS, infotainment, telematics, and domain-centralized ECUs, providing real-time threat detection, secure communication, and compliance with ISO/SAE 21434 and UNECE WP.29 standards.
   
• The Aftermarket segment is experiencing limited growth, primarily through software updates, minor security modules, or retrofitted intrusion detection systems. Hardware adoption in the aftermarket remains constrained due to technical complexity, high costs, and compatibility challenges with existing vehicle architecture.
   
• Overall, OEM-led integration remains the key driver of market growth, as manufacturers increasingly embed cybersecurity hardware in connected, electric, and autonomous vehicles to ensure safety, reliability, and regulatory compliance from the design stage.
   

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In 2024, US dominated the North America automotive cybersecurity hardware market with around 81.1% market share and generated approximately USD 610 million in revenue.
 

• North America accounted for a significant share of the market in 2024, supported by a mature automotive manufacturing ecosystem, well-established OEMs, and strong demand across passenger, commercial, and specialty vehicle segments. Manufacturers are increasingly integrating HSMs, secure microcontrollers, encryption modules, and intrusion detection units to enhance vehicle safety, connectivity, and cybersecurity compliance.
   
• The U.S. represents a key opportunity within North America, driven by a large fleet of passenger and commercial vehicles, rapid adoption of hybrid and electric vehicles, and stringent regulatory policies promoting cybersecurity standards such as ISO/SAE 21434 and UNECE WP.29. The country’s robust automotive base enables rapid deployment of advanced secure ECUs, domain controllers, and cryptographic modules across connected and autonomous vehicle platforms.
   
• Leading manufacturers such as Infineon, NXP, STMicroelectronics, Renesas, and BlackBerry QNX are driving innovation in HSMs, secure MCUs, encryption processors, and intrusion detection systems. These companies are providing modular, scalable, and high-performance hardware solutions that ensure regulatory compliance, protect critical vehicle systems, and support next generation connected and autonomous mobility.
   

Germany holds share of 16% in Europe automotive cybersecurity hardware market and it will grow tremendously between 2025 and 2034.
 

• Europe holds a major position in the market in 2024, supported by a strong automotive manufacturing base, advanced technological capabilities, and stringent regulatory standards for vehicle safety and cybersecurity. Demand is driven by passenger vehicles, commercial fleets, and specialty vehicles, with OEMs and suppliers focusing on high-performance, reliable, and compliant HSMs, secure microcontrollers, encryption modules, and intrusion detection systems.
   
• Germany represents a dominated market, buoyed by substantial demand from passenger vehicles, commercial fleets, and specialty vehicles that require robust and high-performing cybersecurity hardware. The country is witnessing growing adoption of secure ECUs, domain-centralized controllers, and intrusion detection systems, ensuring safe operation of ADAS, infotainment, telematics, and connected vehicle platforms.
   
• The UK market is growing faster than other European countries, driven by increasing adoption of hybrid and electric vehicles, expansion of connected vehicle infrastructure, and rising demand from commercial fleets and private owners. Leading suppliers such as Infineon, NXP, and STMicroelectronics are introducing advanced HSMs, secure microcontrollers, and cryptographic modules for OEM and aftermarket applications, highlighting the UK market’s shift toward secure, connected, and technologically advanced vehicles.
   
• In contrast, the Italian market is supported by investments in fleet modernization, urban mobility, and transport infrastructure. Vehicle operators require robust cybersecurity hardware capable of protecting critical systems across diverse vehicle types and operational conditions, creating demand for high-reliability HSMs, secure ECUs, and intrusion detection units suitable for commercial and specialty vehicles.
   

China holds share of 56% in Asia Pacific automotive cybersecurity hardware market and it will grow tremendously between 2025 and 2034.
 

• Asia-Pacific holds a significant position in the market, driven by rising vehicle production, increasing adoption of hybrid and electric vehicles, expanding commercial fleets, and growing demand for secure, reliable, connected vehicle systems. Key trends in the region include the integration of HSMs, secure microcontrollers, encryption modules, and intrusion detection units to enhance vehicle safety, connectivity, and compliance with regional cybersecurity regulations.
   
• China dominates the Asia-Pacific market, fueled by high demand from passenger vehicles, commercial fleets, and specialty vehicles. The country is witnessing rapid adoption of electrified vehicles, connected cockpit technologies, and domain-centralized architectures, driving strong demand for cybersecurity hardware. Local manufacturing and investments ensure that secure ECUs, HSMs, and cryptographic modules meet both regulatory requirements and the needs of a growing automotive infrastructure.
   
• Local and multinational manufacturers, including Infineon, NXP, STMicroelectronics, Renesas, and BlackBerry QNX, are investing in production facilities, R&D, and advanced cybersecurity technologies to strengthen their presence in China and the broader Asia-Pacific region. These investments enable the supply of high-performance, modular, and reliable hardware solutions that protect connected, semi-autonomous, and autonomous vehicles.
   

The automotive cybersecurity hardware market in Brazil will experience significant growth between 2025 & 2034.
 

• Latin America is emerging as a key market for automotive cybersecurity hardware, driven by increasing demand from passenger vehicles, commercial fleets, and specialty vehicles that require durable, high-performance, and reliable HSMs, secure microcontrollers, encryption modules, and intrusion detection units.
   
• Brazil is leading the region, with strong growth fueled by the need for secure operation of ADAS, infotainment, telematics, and connected vehicle systems. OEMs and fleet operators are adopting cybersecurity hardware that supports secure over-the-air (OTA) updates and integration with hybrid and electric vehicles.
   
• Consumers and fleet operators are seeking hardware solutions that protect critical systems and enhance reliability, reflecting trends toward connected, semi-autonomous, and energy-efficient vehicles. Brazil is also witnessing gradual adoption of domain-centralized controllers, intrusion detection units, and cryptographic modules.
   
• Mexico represents a fast-growing market, driven by fleet modernization, expansion of commercial vehicles, and increasing adoption of hybrid and electric vehicles. Demand is rising for secure, modular, and scalable cybersecurity hardware that ensures operational safety and compliance with regulatory standards.
   
• Investments from local and multinational players such as Infineon, NXP, STMicroelectronics, Renesas, and BlackBerry QNX are strengthening the supply of high-performance, secure, and energy-efficient hardware solutions across the region, supporting Latin America’s growth in connected and autonomous mobility.
   

The automotive cybersecurity hardware market in UAE will experience significant growth between 2025 & 2034.
 

• The UAE represents a key market within MEA, supported by rapid urbanization, fleet expansion, and government initiatives promoting smart mobility, EV adoption, and connected vehicle infrastructure. Rising demand for secure vehicle networks, ADAS, infotainment, and telematics systems is driving investments in modular, high-performance, and energy-efficient cybersecurity hardware.
   
• Fleet operators and consumers in the region are increasingly seeking hardware solutions that ensure operational reliability, safeguard vehicle data, and support secure OTA updates, reflecting a broader trend toward connected and autonomous mobility.
   
• Local and multinational players, including Infineon, NXP, STMicroelectronics, Renesas, and BlackBerry QNX, are strengthening their presence in the MEA market through production, R&D, and partnerships with OEMs, ensuring the supply of advanced, secure, and scalable hardware solutions for next-generation vehicles. Overall, MEA, led by the UAE, is witnessing steady growth in automotive cybersecurity hardware, driven by fleet modernization, connected mobility initiatives, and regulatory focus on vehicle safety and cyber resilience.
   

Automotive Cybersecurity Hardware Market Share

The top 7 companies in the market are Infineon Technologies AG, NXP Semiconductors N.V., STMicroelectronics N.V., Renesas Electronics, Texas Instruments Incorporated, Analog Devices and Microchip Technology. These companies hold around 75% of the market share in 2024.
 

• Infineon Technologies AG is a leading player in the automotive cybersecurity hardware market, renowned for its advanced HSMs, secure microcontrollers, and cryptographic modules. The company provides high-performance, low-latency, and tamper-resistant hardware solutions for ADAS, infotainment, telematics, and V2X communication, supporting connected, semi-autonomous, and autonomous vehicles.
   
• NXP Semiconductors N.V. offers secure microcontrollers, HSMs, and encryption modules for OEM and aftermarket applications. NXP focuses on scalable, modular, and energy-efficient hardware solutions for connected and electrified vehicles, enabling real-time threat detection and secure vehicle communications.
   
• STMicroelectronics N.V. specializes in automotive-grade secure microcontrollers, HSMs, and embedded security solutions. The company delivers reliable and high-performance cybersecurity hardware for ADAS, infotainment, telematics, and domain-centralized ECUs, supporting connected and next-generation vehicle architectures.
   
• Renesas Electronics Corporation provides secure ECUs, cryptographic processors, and HSMs for automotive cybersecurity. Renesas emphasizes robust, energy-efficient, and low-latency hardware solutions for connected, hybrid, and autonomous vehicles, ensuring system integrity and regulatory compliance.
   
• Texas Instruments Incorporated manufactures secure MCUs, cryptographic modules, and encryption chips for connected vehicle networks. TI focuses on high-reliability, scalable, and low-power hardware solutions for ADAS, infotainment, and telematics systems in passenger and commercial vehicles.
   
• Analog Devices delivers secure microcontrollers, cryptographic processors, and encryption solutions for automotive applications. ADI emphasizes high-precision, energy-efficient, and tamper-resistant hardware for connected, electrified, and autonomous vehicle platforms.
   
• Microchip Technology provides secure microcontrollers, HSMs, and cryptographic modules for automotive OEMs. Microchip focuses on modular, low-power, and reliable hardware solutions for ADAS, infotainment, telematics, and V2X communication in connected and next-generation vehicles.
   

Automotive Cybersecurity Hardware Market Companies

Major players operating in the automotive cybersecurity hardware industry include:

• Analog Devices
• C2A Security
• Escrypt
• GuardKnox
• Infineon Technologies AG
• Microchip Technology
• NXP Semiconductors N.V.
• Renesas Electronics
• STMicroelectronics N.V.
• Texas Instruments
   

• The automotive cybersecurity hardware market is highly competitive, with established players Analog Devices, C2A Security, ESCRYPT, GuardKnox, Infineon Technologies AG, Microchip Technology, NXP Semiconductors N.V., Renesas Electronics, STMicroelectronics N.V., and Texas Instruments occupying primary segments. Analog Devices leads the sector with its secure microcontrollers, cryptographic processors, and encryption modules, focusing on high precision, energy efficiency, and tamper-resistant solutions for connected and electrified vehicles.
   
• Infineon Technologies AG, NXP Semiconductors N.V., and Renesas Electronics position themselves across core hardware segments by providing HSMs, secure ECUs, encryption modules, and intrusion detection units, differentiating through performance, low-latency operation, and modular designs suitable for ADAS, infotainment, telematics, and V2X communication systems.
   
• Microchip Technology offers secure MCUs, HSMs, and cryptographic modules for connected and semi-autonomous vehicles, emphasizing reliability, energy efficiency, and regulatory compliance.
   
• STMicroelectronics N.V. provides automotive-grade secure microcontrollers, HSMs, and cryptographic solutions, supporting connected, hybrid, and autonomous vehicle platforms with scalable and robust hardware.
   
• Texas Instruments delivers secure MCUs, encryption modules, and cryptographic processors, focusing on high-reliability, low-power, and modular cybersecurity hardware for ADAS, infotainment, telematics, and V2X networks.
   
• The automotive cybersecurity hardware market is characterized by intense competition across HSMs, secure microcontrollers, encryption/decryption chips, and intrusion detection units. Companies continue to innovate to meet the evolving demands of connected, semi-autonomous, and autonomous vehicles, ensure regulatory compliance, enhance operational safety, and maintain leadership in advanced vehicle cybersecurity solutions.
   

Automotive Cybersecurity Hardware Industry News

• In May 2025, Harman International announced the launch of its next-generation secure gateway controllers and intrusion detection systems for connected and semi-autonomous vehicles in North America and Europe. The new solutions feature enhanced real-time threat detection, modular architecture, and compliance with ISO/SAE 21434 and UNECE WP.29, enabling OEMs to deliver robust cybersecurity across ADAS, infotainment, and telematics systems.
   
• In March 2025, Continental revealed a $400 million investment in its Frankfurt, Germany, facility to expand production of HSMs, secure microcontrollers, and cryptographic modules. The upgraded facility will implement advanced automation and digital manufacturing systems to meet rising OEM demand in Europe and Asia-Pacific, preparing for next-generation connected, hybrid, and electric vehicle platforms.
   
• In February 2025, BlackBerry QNX introduced a new secure software and hardware suite integrating intrusion detection units, secure boot systems, and cryptographic accelerators for connected cockpits in North America and Asia. The platform provides high reliability, low-latency operation, and enhanced protection against cyber threats, with deployment planned across multiple OEMs starting in 2026.
   
• In January 2025, GuardKnox and Upstream Security announced a joint initiative to co-develop domain-centralized cybersecurity hardware and cloud-connected threat intelligence systems for connected and electrified vehicle networks. The partnership will focus on modular, scalable, and low-latency solutions targeting the Japanese and European markets by 2027.
   
• In November 2024, NXP Semiconductors completed a strategic expansion of its automotive HSM and secure microcontroller product lines to strengthen its presence in North America and Latin America. The move consolidates OEM relationships for passenger vehicles, commercial fleets, and specialty applications, emphasizing energy-efficient, high-performance, and scalable cybersecurity solutions suitable for next-generation vehicle architectures.
   

The automotive cybersecurity hardware market research report includes in-depth coverage of the industry with estimates & forecasts in terms of revenue (USD Million) and Volume (Units) from 2021 to 2034, for the following segments:

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Market, By Hardware

• Hardware security module (HSM)
• Network security controllers
• Firewalls and intrusion detection units
• Secure microcontrollers
• Encryption/decryption chips

Market, By Vehicle Connectivity Level

• Connected vehicles
• Semi-autonomous
• Fully autonomous vehicles
• Non-connected vehicles

Market, By Vehicle

• Passenger Vehicles
  • SUV
  • Sedan
  • Hatchback
• Commercial Vehicles
  • Light commercial vehicles (LCV)
  • Medium commercial vehicles (MCV)
  • Heavy commercial vehicles (HCV)

Market, By Application

• Advanced driver assistance systems (ADAS)
• Infotainment & telematics
• Powertrain & chassis
• Body electronics & comfort systems
• Communication systems (V2X, OTA updates)
• Others

Market, By Sales Channel

• OEM
• Aftermarket

The above information is provided for the following regions and countries:

• North America
  • US
  • Canada
• Europe
  • UK
  • Germany
  • France
  • Italy
  • Spain
  • Belgium
  • Netherlands
  • Sweden
• Asia Pacific
  • China
  • India
  • Japan
  • Australia
  • Singapore
  • South Korea
  • Vietnam
  • Indonesia 
• Latin America
  • Brazil
  • Mexico
  • Argentina
• MEA
  • South Africa
  • Saudi Arabia
  • UAE