For the fiscal year 2024, the estimated cybersecurity spending of the Department of Homeland Security (DHS) was more than three billion U.S. dollars, making it the largest budget among the CFO act government agencies, excluding the Department of Defense. The cybersecurity spending of the Department of Defense (DoD) was not reported since the fiscal year 2022. Overall cybersecurity spending in the United States is projected to increase in 2023 with the total estimated agency cybersecurity funding for that year amounting to 10.46 billion U.S. dollars.
U.S. government and cyber security spending The White House released a National Cyber Strategy in September 2018. The overall increase in cyber security spending strongly correlates with the White House’s plan to increase military spending. However, the DoD is the only department with such a significant increase in cyber security spending in FY 2020; most civilian agencies are preparing for budget cuts. Overall, cyber security spending of the U.S. government on CFO Act and non-CFO Act agencies, excluding the Department of Defense, is projected to increase from 9.84 billion U.S. dollars in FY 2022 to 10.89 billion U.S. dollars in FY 2023.
Cybercrime in the U.S. Representing one of the largest digital populations worldwide, the United States reports a considerable number of cyber attacks each year. According to a 2021 survey, nearly 60 percent of online users in the country had experienced any cyber attack, ranking it the third country worldwide by share of cybercrime. In the most recent reported year, around 294 million internet users in the United States were impacted by incidents of data violation. Network intrusion was the most common type of cyber attack across the country.
Global spending on information security has been growing from 2017 to 2023, increasing from just under 100 billion U.S. dollars in 2017 to almost *** billion U.S. dollars in 2023. Most spending has concentrated in security services, infrastructure protection, and network security equipment. Spending on security services is expected to reach nearly ** billion U.S. dollars by 2024. Continued growth in global information security market The information security technology market is forecast to grow in the next few years. By 2030, the worldwide spending on information security is expected to be more than triple that of 2017. Information security refers to the practice of managing access to information, whether that is securing information from unauthorized access, or verifying the identity of those who claim to have authority to access information. The rise of new markets such as the Internet of Things (IoT) is shaping securing trends, creating a shift towards managed security services and other segments of IT security. Worldwide revenue from cloud management and security services is forecast to reach almost ** billion U.S. dollars in 2024, compared to just **** billion in 2015.
For the fiscal year 2025, the government of the United States proposed nearly 13 billion U.S. dollar budget for cybersecurity, representing an increase from the previous fiscal year. These federal resources for cybersecurity are set to support a broad-based cybersecurity strategy for securing the government and enhancing the security of critical infrastructure and essential technologies.
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The global IT security spending in the government market size was valued at USD 50.2 billion in 2023 and is projected to reach USD 125.1 billion by 2032, growing at a compound annual growth rate (CAGR) of 10.6% during the forecast period. The growth of this market is driven by the escalating frequency and sophistication of cyber-attacks targeting government infrastructures worldwide, necessitating substantial investment in advanced security measures.
One significant factor contributing to the growth of the IT security spending in the government market is the increasing adoption of digital transformation initiatives across various government levels. As governments strive to provide more efficient and accessible services to citizens, they are increasingly relying on digital platforms and technologies. However, this digital shift comes with a heightened risk of cyber threats, prompting substantial investment in robust IT security solutions to protect sensitive data and critical infrastructure. Furthermore, the COVID-19 pandemic has accelerated the adoption of remote work and online services within government agencies, further emphasizing the need for enhanced cybersecurity measures.
Another factor driving market growth is the stringent regulatory and compliance requirements imposed by governments globally. Governments are mandated to adhere to various data protection laws and regulations to safeguard citizen data and maintain public trust. These regulations necessitate the implementation of advanced security solutions, such as identity and access management, encryption, and data loss prevention, thereby driving the demand for IT security spending in the government sector. Additionally, increasing awareness of the potential consequences of cyber-attacks, including financial losses, reputational damage, and national security threats, is compelling governments to allocate significant budgets for IT security investments.
The rapid advancements in technology and the evolving threat landscape are also key drivers of market growth. Cyber adversaries are continuously developing sophisticated attack techniques, necessitating the development and deployment of innovative security solutions. Governments are investing in next-generation security technologies, such as artificial intelligence, machine learning, and blockchain, to stay ahead of cyber threats. These technologies enable proactive threat detection, real-time monitoring, and effective incident response, thereby strengthening the overall security posture of government agencies. The increasing focus on modernization and upgrading existing IT security infrastructure is further propelling market growth.
In recent years, IT Security Spending has become a focal point for government agencies worldwide. As cyber threats continue to evolve, governments are recognizing the critical need to allocate substantial budgets towards IT security initiatives. This spending is not just about acquiring the latest technologies but also about building a resilient cybersecurity infrastructure that can withstand sophisticated cyber-attacks. By investing in IT security, governments aim to protect national interests, secure sensitive data, and maintain public trust. The emphasis on IT security spending reflects a broader commitment to safeguarding digital assets and ensuring the continuity of government operations in an increasingly digital world.
Regionally, North America holds a dominant position in the IT security spending in the government market, owing to the presence of technologically advanced countries such as the United States and Canada. The region's strong focus on cybersecurity, coupled with substantial government investments in security infrastructure, drives market growth. Europe is also a significant market, driven by stringent data protection regulations such as the General Data Protection Regulation (GDPR) and increasing cyber threats. The Asia Pacific region is witnessing rapid growth, fueled by the digitalization initiatives of emerging economies like China and India. Latin America and the Middle East & Africa regions are also experiencing increasing IT security spending, driven by the growing awareness of cybersecurity risks and the need to protect critical government assets.
Identity and Access Management (IAM) is a crucial segment in the IT security spending in the government market. Governments are increasingly recognizing th
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The global market for IT security spending in government is experiencing robust growth, driven by increasing cyber threats, the expanding digital landscape within government agencies, and the rising adoption of cloud-based services and IoT devices. While precise market sizing data for 2025 is unavailable, we can reasonably estimate the market value based on typical industry growth rates. Assuming a conservative Compound Annual Growth Rate (CAGR) of 8% from a hypothetical 2019 market size of $50 billion, the market value could reach approximately $75 Billion by 2025, continuing its upward trajectory throughout the forecast period (2025-2033). Key drivers include the need for robust cybersecurity infrastructure to protect sensitive government data from sophisticated attacks (ransomware, phishing, etc.), compliance mandates enforcing stringent security protocols, and a growing reliance on digital services for citizen engagement and internal operations. Furthermore, the increasing adoption of advanced security solutions like AI-powered threat detection, Zero Trust security architectures, and extended detection and response (XDR) are fueling market expansion. The market is segmented by various factors including deployment models (cloud-based, on-premise), security solutions (network security, endpoint security, data security, cloud security), and geographical regions. Major players such as Check Point Software Technologies, Cisco Systems, Fortinet, and Palo Alto Networks dominate the landscape, continuously innovating and expanding their product offerings to meet the evolving needs of government agencies worldwide. While factors such as budget constraints and skill shortages could potentially restrain growth, the persistent threat of cyberattacks and the critical nature of secure government operations ensure the market's continued expansion throughout the forecast period. The adoption of proactive security measures is becoming essential, leading to substantial government spending in the coming years. Regional disparities in IT security spending will likely persist, with North America and Europe maintaining a significant share, followed by Asia-Pacific and other regions experiencing comparatively faster growth.
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The global IT security spending market size was valued at approximately $145 billion in 2023 and is projected to reach over $282 billion by 2032, growing at a robust CAGR of 7.5% during the forecast period. This surge in the market size can primarily be attributed to the increasing frequency and sophistication of cyber threats, which has necessitated heightened investments in IT security infrastructure across various industries. The escalating adoption of cloud-based services and the proliferation of Internet of Things (IoT) devices have further contributed to the expansion of this market, as organizations strive to protect sensitive data against breaches and unauthorized access. Additionally, regulatory requirements and compliance mandates continue to drive businesses towards more robust security solutions, adding further momentum to market growth.
One of the key growth factors propelling the IT security spending market is the rapid digital transformation across industries. As businesses increasingly shift towards digital platforms for operations, customer engagement, and data management, the risk of cyber threats escalates correspondingly. The transition to digital channels has opened new pathways for cyber criminals, necessitating advanced security measures. Another critical driver is the persistent evolution of cyber threats. Cybercriminals are becoming more sophisticated in their methods, leveraging advanced technologies such as artificial intelligence to carry out targeted attacks. This has compelled organizations to continuously upgrade their security frameworks, thereby escalating spending on IT security solutions and services. Furthermore, the rise in remote work environments due to the global pandemic has significantly increased the attack surface, prompting the need for enhanced security measures to protect remote endpoints and networks.
Moreover, regulatory and compliance requirements play a crucial role in driving IT security spending. Governments and industry bodies worldwide have implemented stringent data protection regulations, such as the General Data Protection Regulation (GDPR) and the California Consumer Privacy Act (CCPA). These regulations mandate organizations to implement robust security measures to safeguard sensitive customer data, leading to increased investments in security solutions. Additionally, insurance companies are increasingly demanding higher security standards from businesses to provide coverage for cyber risks. This has further spurred organizations to allocate more resources towards IT security to meet the compliance demands and mitigate potential financial liabilities arising from data breaches and cyber incidents.
Also, the growing awareness of the potential financial and reputational damage caused by cyber-attacks has compelled organizations to prioritize IT security spending. High-profile data breaches and ransomware attacks have underscored the significance of robust cybersecurity strategies. As a result, organizations are increasingly recognizing IT security as a strategic investment rather than a cost center. The need to protect intellectual property, customer trust, and business continuity has led to a heightened focus on strengthening security infrastructure. Furthermore, the integration of emerging technologies, such as artificial intelligence and machine learning, into security solutions is expected to drive market growth by enabling proactive threat detection and response capabilities.
In the IT security spending market, the component segment is broadly categorized into solutions and services. Solutions encompass a wide array of security products, such as firewalls, antivirus software, intrusion detection systems, and encryption tools, which form the backbone of an organization's security framework. The demand for comprehensive security solutions is driven by the need to protect increasingly complex IT infrastructures from sophisticated cyber threats. Organizations are investing heavily in solutions that offer real-time threat detection and prevention capabilities, thereby enabling them to respond swiftly to potential attacks. The increasing adoption of advanced security solutions, such as security information and event management (SIEM) systems and unified threat management (UTM) systems, is a testament to the growing emphasis on integrated security strategies.
Services, on the other hand, play a pivotal role in the IT security ecosystem by providing organizations with the expertise and resources needed to design, implement, and maintain effective security strategies. These services encompass
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Security Spending Market size is estimated to be valued at US$ 187.86 Bn in 2025 and is expected to expand at a CAGR of 8%, reaching US$ 321.96 Bn by 2032.
In 2025, small and mid-sized businesses (SMBs) were forecast to spend **** billion U.S. dollars on managed security services. Overall, SMBs were expected to spend ** billion U.S. dollars on cyber security in 2025, up from ** billion U.S. dollars in 2020. The regions with the highest anticipated spend are North America, the Asia Pacific region, and western Europe.
Percentage of enterprises that identified specific main reasons for spending time or money on cyber security measures or related skills training by the North American Industry Classification System (NAICS) and size of enterprise.
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The global IT security spending in the government sector is experiencing robust growth, driven by escalating cyber threats and the increasing reliance on digital infrastructure within governmental operations. The market, estimated at $XX billion in 2025, is projected to exhibit a Compound Annual Growth Rate (CAGR) of XX% from 2025 to 2033, reaching a significant market value. This expansion is fueled by several key factors. Firstly, governments worldwide are prioritizing cybersecurity investments to protect critical national infrastructure, sensitive data, and citizen information from sophisticated cyberattacks. Secondly, the increasing adoption of cloud computing and the Internet of Things (IoT) within government agencies expands the attack surface, necessitating enhanced security measures. Thirdly, stringent data privacy regulations and compliance mandates are driving the demand for advanced security solutions, such as data loss prevention (DLP) and encryption technologies. Furthermore, the ongoing geopolitical instability and rise in state-sponsored cyberattacks are compelling governments to bolster their cybersecurity defenses. The market segmentation reveals considerable opportunity across various technologies and applications. The "Type" segment likely includes solutions like network security, endpoint security, cloud security, and security information and event management (SIEM). The "Application" segment might cover areas such as defense, public safety, healthcare, and administrative services. While North America currently holds a significant market share due to advanced technology adoption and high cybersecurity awareness, regions like Asia-Pacific are witnessing rapid growth, driven by increasing government digitalization initiatives and economic expansion. Leading vendors like Check Point Software, Cisco, Fortinet, Juniper Networks, and Symantec are actively competing to capture market share by providing innovative security solutions tailored to government requirements. However, budgetary constraints, legacy systems, and a shortage of skilled cybersecurity professionals pose challenges to market expansion. Nevertheless, the long-term outlook remains positive, projecting continued substantial growth throughout the forecast period.
In 2023, spending in the cybersecurity industry reached around ** billion U.S. dollars, with forecasts suggesting that the market will eclipse ** billion U.S. dollars by 2024. Global spending on cybersecurity has been increasing since 2021. Cybersecurity remains a priority Since the outbreak of the COVID-19 pandemic, organizations worldwide have sent their employees into the home office for work. This decentralization of an organization’s IT landscape created new vulnerabilities of malicious actors to exploit which is concurred by IT professionals’ observation that there is an increase in cyber attacks following the COVID-19 pandemic. As a result, cybersecurity remains a priority among business leaders to ensure operability of the company and data security. Cybersecurity solutions Among solutions for cybersecurity are endpoint security, identity access management, data security, and network security. These technologies are leveraged to protect sensitive information and critical systems from attacks. More specifically, these measures are designed to protect threats originating both from inside and outside an organization. This underscores the need to think of cybersecurity as a comprehensive strategy made up of practices and technologies.
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Global IT Security Spending in Government market size 2025 was XX Million. IT Security Spending in Government Industry compound annual growth rate (CAGR) will be XX% from 2025 till 2033.
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Graph and download economic data for Government current expenditures: Income security: Welfare and social services from 1959 to 2023 about social assistance, expenditures, government, services, income, GDP, and USA.
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China Government Expenditure: Public Security data was reported at 59.192 RMB bn in Sep 2011. This records an increase from the previous number of 45.513 RMB bn for Aug 2011. China Government Expenditure: Public Security data is updated monthly, averaging 27.750 RMB bn from Jan 2007 (Median) to Sep 2011, with 21 observations. The data reached an all-time high of 282.576 RMB bn in Dec 2008 and a record low of 19.560 RMB bn in Jan 2007. China Government Expenditure: Public Security data remains active status in CEIC and is reported by Ministry of Finance. The data is categorized under China Premium Database’s Government and Public Finance – Table CN.FA: Government Revenue and Expenditure: Monthly.
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BASE YEAR | 2024 |
HISTORICAL DATA | 2019 - 2024 |
REPORT COVERAGE | Revenue Forecast, Competitive Landscape, Growth Factors, and Trends |
MARKET SIZE 2023 | 163.83(USD Billion) |
MARKET SIZE 2024 | 172.59(USD Billion) |
MARKET SIZE 2032 | 262.0(USD Billion) |
SEGMENTS COVERED | Solution Type, Deployment Type, Industry Vertical, Organization Size, Regional |
COUNTRIES COVERED | North America, Europe, APAC, South America, MEA |
KEY MARKET DYNAMICS | growing cyber threats, regulatory compliance requirements, increased remote work, adoption of advanced technologies, rising awareness of data breaches |
MARKET FORECAST UNITS | USD Billion |
KEY COMPANIES PROFILED | CyberArk, FireEye, Check Point Software Technologies, Fortinet, Splunk, Microsoft, IBM, Trend Micro, Qualys, Cisco, VMware, CrowdStrike, Symantec, Palo Alto Networks, McAfee |
MARKET FORECAST PERIOD | 2025 - 2032 |
KEY MARKET OPPORTUNITIES | Cloud security solutions expansion, Remote workforce security enhancement, IoT security services growth, Compliance-driven security investments, Cybersecurity training and awareness programs |
COMPOUND ANNUAL GROWTH RATE (CAGR) | 5.35% (2025 - 2032) |
End-user spending on information security is forecast to grow in the coming years. Network security, in particular, is expected to be the fastest-growing segment in the information security market, while the security software and the security services segments should grow at a relatively steady pace. Overall, the source expects the total information security spending to increase by around 15 percent in 2025 compared to 2024.
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Tibet: Govt Expenditure: Public Security data was reported at 15,422.000 RMB mn in 2023. This records an increase from the previous number of 14,151.970 RMB mn for 2022. Tibet: Govt Expenditure: Public Security data is updated yearly, averaging 9,566.000 RMB mn from Dec 2007 (Median) to 2023, with 17 observations. The data reached an all-time high of 15,422.000 RMB mn in 2023 and a record low of 1,775.860 RMB mn in 2007. Tibet: Govt Expenditure: Public Security data remains active status in CEIC and is reported by Ministry of Finance. The data is categorized under China Premium Database’s Government and Public Finance – Table CN.FB: Local Government: Tibet.
According to the source, cloud security was expected to grow by nearly 25 percent from 2023 to 2024, making it the fastest growing segment in the IT security market, largely due to the growing demand for cloud solutions as an increasing number of companies migrate to the cloud. Overall, the source expects the total IT security spending to increase 14.3 percent in 2024 compared to 2023.
Technavio’s research analyst predicts the global IT security spending in the government sector market to grow at a CAGR of over 9% during the forecast period. The frequent occurrence of high profile data breaches is a key driver for this market. The increased dependency on web applications has led to an unprecedented rise in cyber-attacks, including advanced persistent threats (APTs). The high dependency on web applications for online purchases has increased identity thefts. With the emergence of social networking sites, it has become easy for attackers to extract users' information.
Technavio’s analysts anticipate that the high implementation cost of IT security solutions would pose a challenge for the market during the forecast period. A complete IT security solution requires software licensing, system design and customization, implementation, training, and maintenance. This demands high implementation cost of IT security solutions for government organizations, which is a key challenge restricting the growth of IT security spending in the government sector.
The products segment dominated the market during 2015, with a market share of over 50%. However, the services segment is expected to have the highest growth rate of over 10% in the market during the forecast period. One of the major reasons for this is cost-effectiveness and easy deployment of IT security services.
During 2015, the Americas accounted for the largest market share of over 45%However, the market share of the Americas is expected to decline by the end of 2020 due to the early adoption of IT security solutions in the government sector. The increased instances of network attacks and security threats in this region have made several organizations deploy IT security solutions very early on.
The global IT security spending in the government sector market is highly fragmented because of the presence of numerous small and large vendors. The vendors in the market compete on the basis of price, quality, innovation, service, reputation, distribution, and promotion. The high vendor competition has led to an increased number of mergers and acquisitions.
The leading vendors in the market are -
Other prominent vendors in the market include Arbor Networks, Barracuda Networks, Dell SonicWall, F5 Networks, FireEye, Palo Alto Networks, Sophos, and Trend Micro.
In 2023, the network security equipment spending vas valued at 21.38 billion U.S. dollars worldwide, up from 18.9 billion U.S. dollars in 2022. By 2024, the market is forecast to increase to 24.36 billion U.S. dollars.
For the fiscal year 2024, the estimated cybersecurity spending of the Department of Homeland Security (DHS) was more than three billion U.S. dollars, making it the largest budget among the CFO act government agencies, excluding the Department of Defense. The cybersecurity spending of the Department of Defense (DoD) was not reported since the fiscal year 2022. Overall cybersecurity spending in the United States is projected to increase in 2023 with the total estimated agency cybersecurity funding for that year amounting to 10.46 billion U.S. dollars.
U.S. government and cyber security spending The White House released a National Cyber Strategy in September 2018. The overall increase in cyber security spending strongly correlates with the White House’s plan to increase military spending. However, the DoD is the only department with such a significant increase in cyber security spending in FY 2020; most civilian agencies are preparing for budget cuts. Overall, cyber security spending of the U.S. government on CFO Act and non-CFO Act agencies, excluding the Department of Defense, is projected to increase from 9.84 billion U.S. dollars in FY 2022 to 10.89 billion U.S. dollars in FY 2023.
Cybercrime in the U.S. Representing one of the largest digital populations worldwide, the United States reports a considerable number of cyber attacks each year. According to a 2021 survey, nearly 60 percent of online users in the country had experienced any cyber attack, ranking it the third country worldwide by share of cybercrime. In the most recent reported year, around 294 million internet users in the United States were impacted by incidents of data violation. Network intrusion was the most common type of cyber attack across the country.