IT And Telecom Cyber Security Market Size, Share & Trends Analysis growing at a CAGR of 14.2% from 2025 to 2030

This rising threat landscape fuels demand for cybersecurity technologies and services.

The rapid shift to cloud-based services within IT and telecom industries has created new security challenges. As organizations migrate their data, applications, and infrastructure to the cloud, they expose themselves to potential breaches and unauthorized access. This has led to the increased adoption of cloud-specific security tools, such as cloud access security brokers (CASBs), encryption technologies, and identity and access management (IAM) systems, to ensure that cloud environments remain secure.

Hybrid and multi-cloud deployments have become more popular, requiring tailored security solutions that can protect data across multiple platforms. As more companies embrace cloud technologies to scale their operations and reduce costs, the demand for robust cloud security will continue to rise. This trend is further fueled by the need for organizations to comply with industry regulations regarding data protection and security in the cloud, which accelerates the market growth for cybersecurity solutions in the cloud domain.

The global deployment of 5G networks represents a major milestone for the telecommunications industry but also introduces new cybersecurity risks. 5G technology promises faster connectivity and lower latency, but its decentralized architecture and increased number of connected devices make it more susceptible to attacks. This has heightened the need for security solutions that can manage and mitigate these vulnerabilities, such as secure network slicing, advanced threat detection, and zero-trust architecture for 5G networks. As reported by 5G Americas, a trade association of wireless cellular network operators, global 5G connections reached nearly 2 billion in the first quarter of 2024, with 185 billion new connections added. It is expected to rise to 7.7 billion by 2028. In North America, 5G adoption accounts for 32% of all wireless cellular connections, double the global average. The region saw an 11% growth, adding 22 billion new 5G connections during this period.

Component Insights

Based on component, the software segment led the market with the largest revenue share of 61.11% in 2024. The integration of AI and machine learning (ML) into cybersecurity software is transforming how threats are detected and mitigated. AI-powered cybersecurity software can analyze vast amounts of data in real time, identifying patterns and anomalies that might signal potential attacks. This predictive capability enables companies to detect threats earlier and respond more effectively, minimizing damage. The adoption of AI-based security solutions is growing rapidly, as IT and telecom companies look to enhance their security posture in the face of increasingly complex threats

The services segment is expected to grow at the fastest CAGR of 14.2% over the forecast period. The increasing regulatory pressures faced by IT and telecom companies. Compliance with data protection regulations such as GDPR, CCPA, and sector-specific standards such as PCI-DSS (for telecoms handling payment data) requires continuous monitoring, auditing, and reporting. Cybersecurity service providers offer compliance management and auditing services to help companies meet these legal requirements and avoid fines. As governments and industry bodies tighten regulations around data privacy and security, the demand for cybersecurity services that ensure compliance is expected to grow significantly.