The global homeland security market is expected to grow at a CAGR of 5.6% during the forecast period from 2014 to 2020 to reach a market size of USD 364.44 billion by 2020. The market was valued at USD 245.72 billion in 2013. Increasing demand for equipments to tackle issues such as terrorist threats, cross border insurgency, illegal immigration, human and drug trafficking and cyber threats are fuelling the growth of this market.
On the basis of security type, the homeland security market can be categorized into eight segments including aviation security, maritime security, border security, critical infrastructure security, cyber security, CBRN security, mass transit security, and others (C3I, public safety, and counter terror intelligence). Cyber security segment was the largest segment and accounted for 39.31% of the global market in 2013 due to worldwide increase in demand for products and solutions to counter the cyber threats. The cyber security market is expected to grow at a CAGR of 5.8%.
The market for homeland security is primarily driven by several government initiatives undertaken to restrict increasing terrorist threats and cross border insurgency. In addition, rising cases of illegal immigration, drug smuggling and human trafficking is compelling the governments of various nations to invest heavily in procurement of homeland security products.. Adoption of unmanned aerial vehicles (UAVs) by various armies for border surveillance is also influencing the growth of this category.
North America is the leading regional market due to technological advancement and huge expenditure in defense segment. North America is followed closely by the Asia Pacific owing to its substantial investments in military technologies by countries such as China and India. European region is also a promising market and has shown a rapid growth for homeland security products for countering terrorist threats. In rest of the world, the growth of homeland security market is largely driven by countries such as Brazil, UAE and Turkey.
Critical infrastructure security was the second largest segment in 2013 and is expected to grow at a CAGR of 6.7%. This growth is attributed to increasing risk of terrorist attacks on strategic sites such as nuclear plants, power stations, water supply access points, oil and gas terminals, dams, and communication centers.
Rising Security Concerns across the Globe to Increase Growth Rate of Homeland Security Market between 2013 and 2020
The homeland security market is expected to gain promising growth across the assessment period of 2013-2020. The escalating number of cross-border insurgencies, terrorist threats, cyber threats, human and drug trafficking, and others are proving to be growth pillars for the homeland security market. The growing expenditure of the governments of various countries on ramping up the security of the overall region may further serve as prominent growth factors for the homeland security market.
- A large number of security-related initiatives by the governments of numerous countries may bring extensive growth opportunities for the homeland security market. The growing advancements in technology regarding security systems may also prove to be a vital growth generator for the homeland security market. Nanotechnology and the utilization of other tools are deemed important for the overall development of security systems. The overwhelming use of security systems may bring profitable growth for the homeland security market.
- Governments of numerous countries are ramping up the budget for defense. This is because of the rising terrorist threats and other types of security concerns. All these aspects may bring notable growth opportunities for the homeland security market during the tenure of 2013-2020. In addition, homeland security is always a priority for any country and great expenses are incurred on the same. This aspect may further strengthen the growth of the homeland security market.
- The COVID-19 outbreak has affected the homeland security market to a certain extent. The lockdown restrictions in place coupled with the border restrictions imposed by numerous countries to contain the spread of the novel coronavirus resulted in supply chain disruptions and logistics problems. In addition, many manufacturing facilities were also closed. All these aspects snowballed in a negative effect on the growth of the homeland security market.
- Nevertheless, the relaxations introduced by various countries in lockdown restrictions may prove to be a great opportunity for the players in the homeland security market.
Homeland security is an umbrella term for safeguarding the nation against any anti-social groups and threats by terrorist organizations. The market is chiefly driven by various government initiatives undertaken to prevent cross border insurgency and increasing terrorist threats around the world. The government initiatives are boosting the market for homeland security products. Some of the government initiatives include TECS Mod program undertaken by the U.S., Sisfron program undertaken by Brazil, and Project Cytoon undertaken by South Africa, among many others. Homeland security products consist of all equipment used for protecting threats, crime, or illegal activities worldwide.
The report analyzes the homeland security market on a regional, as well as a global level, providing estimates in terms of revenue (USD Billion) from 2014 to 2020. It also covers in-depth details of the growth drivers and restraining factors affecting the industry, and evaluates the impact of these factors over the forecast period.
For gaining a better approach on the homeland security market, the report is designed in the effort to give detailed analysis of the value chain segment, and identify significant opportunities for market growth in the near future. Moreover, with Porter’s five forces analysis and SWOT analysis it is easier to understand the degree of competition and recent developments in the market for homeland security. The study report also comprises market attractiveness analysis, where security equipment is benchmarked based on their growth rate, market scope, and general attractiveness.
The research report on homeland security segments the market on the basis of geography into Asia-Pacific (APAC), North America, Europe, and Rest of the World (RoW). All these regional markets are estimated in terms of revenue (USD Billion).
Overview of the Homeland Security Market
In 2013, the global homeland security market was valued at USD 245.72 billion, however is expected to grow at a CAGR of 5.6% during the forecast period, 2014 to 2020 to reach a market size of USD 364.44 billion by 2020.
Homeland security operations provide resilience in case of any threat or terrorist attack. Against this backdrop, the market witnesses an increasing demand for security equipment to avert sensitive national issues such as cross border insurgency, terrorist threats, human and drug trafficking, illegal immigration, and cyber threats, which in turn are fuelling the growth of this market.
Apart from the fact that the homeland security market is primarily driven by government initiatives to prevent threats and crimes, rising incidences of drug smuggling, illegal immigrations, and human trafficking are compelling governments of different nations to invest considerably in procurement of homeland security products.
On the basis of security type, the market can be categorized into eight major segments including maritime security, critical infrastructure security, aviation security, cyber security, border security, mass transit security, CBRN security, and others (C3I, public safety, and counter terror intelligence).
The rise and risk of terrorist attack has boosted the aviation security spending. Similarly, the need to provide access control to critical infrastructure and effective identification and security checking in public and private network places has gained wide acceptance of security products across different sectors in the world.
The cyber security segment amongst all other segments was the largest sector accounting for 39.31% of the global market in 2013. Owing to rising incidences for security solutions and products to counter cyber threats, the market is expected to grow at a CAGR of 5.8% in the forecast period.
North America and Asia Pacific are expected to maintain its leading position in the global market for homeland security. Asia-Pacific owing to its heavy investments in military technologies by emerging countries such as India and China are likely to remain as the top industry participants catering maximum growth to this sector. Europe and other countries in RoW such as, UAE, Brazil, and Turkey have shown a rapid inclining growth for homeland security products for averting terrorist threats.
Companies Mentioned in the report
Some of the key market players profiled in the research report are on the basis of financial overview, company overview, business strategies, and SWOT analysis in the field of homeland security. These major market participants include Magal Security Systems Ltd., Raytheon Company, Finmeccanica S.p.A, FLIR Systems, Inc., Elbit Systems Ltd., L-3 Communications Holdings, Inc., Safran S.A., General Dynamics Corporation, Harris Corporation, Thales Group, Unisys Corporation, and OSI Systems, Inc. among others.
Major geographies analyzed under this research report are:
- North America
- Rest of the World
This report gives you access to decisive data such as:
- Market growth drivers
- Factors limiting market growth
- Current market trends
- Market structure
- Market projections for the coming years
Key highlights of this report
- Overview of key market forces propelling and restraining market growth
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- Pin-point analyses of market competition dynamics to offer you a competitive edge
- An analysis of strategies of major competitors
- An array of graphics and SWOT analysis of major industry segments
- Detailed analyses of industry trends
- A well-defined technological growth map with an impact-analysis
- Offers a clear understanding of the competitive landscape and key product segments