The global homeland security market garnered a market value of USD 189 Billion in 2022 and is expected to accumulate a market value of USD 300 Billion by registering a CAGR of 4.7% in the forecast period 2022 to 2032.
Increased demand for safety equipment and solutions across a variety of industries, including aviation, maritime, cyber, and border security, is expected to fuel market expansion throughout the projected period. Manufacturers invest considerably in Research and Development (R&D) activities to deliver novel goods in a highly competitive business. Harris Corporation, for example, invests its R&D funds in providing new mission-critical communications at a faster and lower cost.
border conflict and terrorist concerns are projected to fuel demand. Furthermore, rising human trafficking, drug smuggling, and illegal immigration are compelling governments throughout the world to spend heavily on homeland security measures. The fastest-growing market area is expected to be cybersecurity. This expansion may be attributable to areas such as North America and Europe, which are spending heavily on cyber defenses and, as a result, propelling the homeland security industry.
In the corporate context, advanced technologies such as cloud, social, and next-generation mobile computing are profoundly changing how firms use information technology for exchanging information and performing online commerce. Currently, more than 80% of total business transactions are conducted online, requiring high levels of security and transparency. Unmanned systems are widely employed in national safety tasks across the world. For example, as of October 2014, the United States Army and Air Force (USAF) have flown nearly three million hours of unmanned aerial systems (UAS). Recently, the United States Navy has boosted its testing of a variety of unmanned marine systems (UMS). Unmanned systems are becoming more economical, capable, and simple to operate, which is likely to propel industry expansion even further.
| Data Points | Key Statistics |
|---|---|
| Expected Market Value (2022) | USD 189 Billion |
| Anticipated Forecast Value (2032) | USD 300 Billion |
| Projected Growth Rate (2022 to 2032) | 4.7% CAGR |
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The global demand for Homeland Security is projected to increase at a CAGR of 4.7% during the forecast period between 2022 and 2032, reaching a total of USD 300 Billion in 2032, according to a report from Future Market Insights (FMI). From 2017 to 2021, sales witnessed significant growth, registering a CAGR of 3%.
The word homeland security refers to a country's defense against any threat to society. Governments have attempted to provide security and resilience in the face of all probable natural and man-made disasters. Terrorism, illegal weapons, cybercrime, drug trafficking, hurricanes, floods, earthquakes, tornadoes, and other natural disasters are all part of a country's homeland security. It safeguards the public by incorporating law enforcement, border security, transit security, and aviation security.
The market for homeland security is expected to grow rapidly as a result of reasons such as a rise in terrorist attacks, border disputes, illegal immigration, smuggling, human trafficking, and regular natural disasters, among others. Several companies are spending heavily on innovative goods and services to address and defend negative circumstances in nations throughout the world.
Initiatives to de-escalate Cross-Border Conflicts and Civil Wars to Accelerate Market Growth
Civil conflicts and border disputes are growing increasingly common across the world. Border conflicts between states develop for a variety of reasons, including terrorism, expansionism, control over natural resources, and so on. Civil wars are common in a country and are mostly triggered by conflicts arising from political dissatisfaction, territorial disputes between governments, and other circumstances.
Governments throughout the world are taking considerable steps to control these circumstances, and as a result, they are investing more in their country's homeland security to manage the growing number of conflicts. In 2021, the United States, for example, will spend USD 49.8 billion on homeland security. This demonstrates the country's responsibility to defend its citizens both within its borders and online.
Increased Smuggling and Trafficking to Propel Market Growth
Global, transnational criminal activity is fuelled by smuggling and trafficking. Smuggling and trafficking, which includes drug trafficking, human trafficking, and illegal immigration, is the world's fastest-growing anti-social threat. Numerous global factors, including the Asian economic crisis, ongoing conflicts in Iraq, Afghanistan, and Pakistan, and prolonged poverty in many countries, including Paraguay, Namibia, Botswana, Mozambique, and Uruguay, have all contributed to the alarming increase in immigration from these countries.
Because of the dramatic increase in occurrences of human trafficking, the market for global homeland security is expected to grow, as the goods and services on sale in the marketplace aid in detecting and fighting this danger. Airport security patrols, naval security, transit security, and the identification of smuggled nuclear material are just a few of the efforts used to handle smuggling and trafficking issues that undermine a country's national security.
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The High Costs of Ensuring Homeland Security to Hinder Market Growth
Costly technology, commodities, and services provided by various homeland security agencies are expected to limit the market growth. Because of the high cost of products and services, as well as government expenditure, countries such as Asia-Pacific and the Middle East have slower adoption rates for homeland security services.
Furthermore, the installation expenses for these technologies are rather substantial. A large amount of money, people, and equipment must be set aside for homeland security resources, which adds to the cost of keeping the country safe. For example, the United States spends around USD 100 billion per year on homeland security. This involves the enforcement of federal, state, and municipal laws, as well as the provision of emergency services.
Due to the high cost of goods and services such as expensive x-ray and explosive detection equipment, high-end cybersecurity devices, high-end real-time video analytics systems, and others, the public and private sectors have lower implementation and investment in the market of high-cost security surveillance systems. This factor will restrain worldwide market growth over the forecast period.
Adoption of New Technologies in Different Security Areas to Widen Profit Margins
The Asia-Pacific region is the second-largest. Nations with large marine borders, such as India, Sri Lanka, Japan, and Bangladesh, seek improved naval security in the area. Government attempts to improve public and property safety, as well as the adoption of new technologies in different security areas such as cyber security, aviation security, and critical infrastructure security, are creating huge prospects for market expansion in the region.
As per Future Market Insights, the Asia Pacific is expected to grow at a CAGR of 4% market share for homeland security in the assessment period 2022 to 2032.
Various Military Modernization and Upgrade Initiatives to Drive Market Growth
Because of the various military modernization and upgrade initiatives happening in the area, North America is anticipated to see an increase in the use of homeland security goods and services. The increased investment by North American governments in upgrading national security against various threats is projected to promote the development of modern equipment across North America.
The presence of world-class defense equipment manufacturers in the area improves the region's contribution to the worldwide market. As per Future Market Insights, North America is expected to grow at a CAGR of 4.5% market share for homeland security in the assessment period 2022 to 2032.
Increased Government Spending fuelling sales of Homeland Security
The European homeland security market covers nations such as the United Kingdom, Germany, France, and the rest of Europe. The key factor fuelling the growth of the homeland security industry is increased government spending in the region.
The existence of large nations such as Germany, France, the United Kingdom, Russia, and others that effectively protect their internal security is likely to boost the growth of the homeland security industry. As per Future Market Insights, Europe is expected to grow at a CAGR of 3.7% market share for homeland security in the assessment period 2022 to 2032.
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Public Homeland Security to be of Vital Importance in Coming Years
The market's largest contributor is public security, which is expected to increase at a CAGR of 4.3% during the projected period. Several governments and defense agencies throughout the world have adopted homeland security goods and services. Government organizations such as the International Civil Aviation Organization (ICAO), a United Nations agency, Customs and Border Protection (CBP) in the United States, the Border Security Force (BSF) in India, the Maritime Civil and Criminal Authority, the Australian Maritime Safety Authority, and many others are heavily utilizing market products and services.
Homeland Cybersecurity to take Precedence, amid growing Threat of Data Breaches
Cyber Security has the largest share of the homeland security market and is expected to grow at a CAGR of 4.6% over the projected period. Cybersecurity is critical to ensuring the protection of data that, if compromised, may disrupt the operations of enterprises all over the world.
A strong cybersecurity infrastructure safeguards all types of data against theft. The increasing severity and frequency of cyber-attacks are expected to drive growth in this category during the projected period.
Key start-up players in homeland security are from offering new and innovative product lines to consolidating their market presence, these aforementioned start-ups have left no stone unturned. Some specific instances of key homeland security start-ups are as follows:
Key players in the Homeland Security market are Raytheon Technologies, IBM, L-3 Harris Technologies, Lockheed Martin Corporation, and Northrop Grumman.
Recent Developments
| Report Attribute | Details |
|---|---|
| Market Value in 2022 | USD 189 Billion |
| Market Value in 2032 | USD 300 Billion |
| Growth Rate | CAGR of 4.7% from 2022 to 2032 |
| Base Year for Estimation | 2021 |
| Historical Data | 2017 to 2021 |
| Forecast Period | 2022 to 2032 |
| Quantitative Units | Revenue in USD Billion and CAGR from 2022 to 2032 |
| Report Coverage | Revenue Forecast, Company Ranking, Competitive Landscape, Growth Factors, Trends, and Pricing Analysis |
| Segments Covered | End User, Security Type, Region |
| Regions Covered | North America; Latin America; Europe; South Asia; East Asia; Oceania; Middle East & Africa |
| Key Countries Profiled | The USA, Canada, Brazil, Mexico, Germany, The United Kingdom, France, Spain, Italy, China, Japan, South Korea, India, Malaysia, Singapore, Australia, New Zealand, GCC Countries, South Africa, Israel |
| Key Companies Profiled | Elbit Systems Ltd.; FLIR Systems Inc.; General Dynamics Corporation; Harris Corporation; L-3 Communications Holding Inc.; Megal Security Systems Ltd.; Raytheon Company; Safran SA; Thales SA; Unisys Corporation |
| Customization | Available Upon Request |
FMI projects the global homeland security market to expand at a 4.7% value CAGR by 2032
The global homeland security market is estimated at a market value of USD 189 Billion by 2022
The global homeland security market is expected to garner a market value of USD 300 Billion by 2032.
As per Future Market Insights, the Asia Pacific is expected to grow at a CAGR of 6% market share for homeland security in the assessment period 2022 to 2032.
Raytheon Technologies, IBM, L-3 Harris Technologies, Lockheed Martin Corporation and Northrop Grumman are some prominent homeland security manufacturers
As per Future Market Insights, the Asia Pacific is expected to grow at a CAGR of 4% market share for homeland security in the assessment period 2022 to 2032.
As per Future Market Insights, Europe is expected to grow at a CAGR of 3.7% market share for homeland security in the assessment period 2022 to 2032.
Public security is expected to grow at a CAGR of 4.3% in the forecast period 2022 to 2032.
1. Executive Summary 2. Market Overview 3. Market Background 4. Global Market Analysis 2017 to 2021 and Forecast, 2022 to 2032 5. Global Market Analysis 2017 to 2021 and Forecast 2022 to 2032, By End-User 5.1. Public Sector 5.2. Private Sector 6. Global Market Analysis 2017 to 2021 and Forecast 2022 to 2032, By Security Type 6.1. Border security 6.2. Mass transit security 6.3. Cyber security 6.4. Critical infrastructure security 6.5. Aviation security 6.6. Maritime security 6.7. Others 7. Global Market Analysis 2017 to 2021 and Forecast 2022 to 2032, By Region 7.1. North America 7.2. Latin America 7.3. Europe 7.4. South Asia 7.5. East Asia 7.6. Oceania 7.7. Middle East and Africa (MEA) 8. North America Market Analysis 2017 to 2021 and Forecast 2022 to 2032, By Country 9. Latin America Market Analysis 2017 to 2021 and Forecast 2022 to 2032, By Country 10. Europe Market Analysis 2017 to 2021 and Forecast 2022 to 2032, By Country 11. South Asia Market Analysis 2017 to 2021 and Forecast 2022 to 2032, By Country 12. East Asia Market Analysis 2017 to 2021 and Forecast 2022 to 2032, By Country 13. Oceania Market Analysis 2017 to 2021 and Forecast 2022 to 2032, By Country 14. MEA Market Analysis 2017 to 2021 and Forecast 2022 to 2032, By Country 15. Key Countries Market Analysis 16. Market Structure Analysis 17. Competition Analysis 17.1. Elbit Systems Ltd. 17.2. FLIR Systems Inc. 17.3. General Dynamics Corporation 17.4. Harris Corporation 17.5. L-3 Communications Holding Inc. 17.6. Megal Security Systems Ltd. 17.7. Raytheon Company 17.8. Safran SA 17.9. Thales SA 17.10. Unisys Corporation 18. Assumptions & Acronyms Used 19. Research Methodology
Technology
May 2022
REP-GB-14733
342 pages
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Homeland Security Market
