South Korea Cyber Security Market Size and Share Outlook - Forecast Trends and Growth Analysis Report (2024-2032)

South Korea Cyber Security Market Growth

In 2023, South Korea was hit by around 1.3 million cyberattacks from North Korea’s public institutions every day. The National Cybersecurity Strategy 2024 aims to adopt the “defend forward” strategy underlined in the USA’s Cyber Strategy of 2018 and adopt an offensive stance towards North Korea to prevent the risk of harm caused by state-sponsored cyberattacks. It aims to upscale its cybersecurity infrastructure to boost its cyber resilience and create a safe digital space for businesses and consumers.

In August 2023, the government of South Korea announced the allocation of KRW 25.5 billion to the Korea Internet and Security Agency (KISA) in next year’s budget for the development of next-generation cybersecurity technology. This fund is also expected to enhance South Korea’s capabilities of threat detection/prevention and facilitate the implementation of the Zero Trust model of security. This enhances network security by mandating device authentication before providing network access.

South Korea is amongst the world’s most technologically advanced countries with an extensive network of IoT devices. However, cybersecurity awareness among the South Koreans is significantly poor. Over the forecast period, government initiatives that facilitate people’s understanding of the harmful effects of cyberattacks are expected to gain traction and contribute to the demand for cybersecurity solutions.

Key Trends and Development

Surging State-Sponsored Cyberattacks; Rising Number of Mobile Devices; Growing Focus on Cloud-Security; and the Increasing Adoption of AI-Based Cyber Security Tools are Aiding the South Korea Cyber Security Market Expansion

August 2024

South Korea launched a new cybersecurity body to counter North Korean cyber threats. The National Cybersecurity Council will focus on monitoring the implementation of the government’s cybersecurity initiatives and develop a strategic roadmap to address emerging cybersecurity challenges.

April 2024

Toshiba Digital Solutions Corporation and KT Corporation (KT) demonstrated the capabilities of hybrid quantum secure communications technology for protecting against cyberattacks and securing communications at South Korea’s Shinhan Bank.

September 2023

South Korea announced its intention to invest 1.1 trillion won in the information security sector by 2027 to create at least one cybersecurity unicorn, expand the scale of domestic industry to 30 trillion won, and gain global competitiveness in the sector.

February 2021

South Korean Ministry of Science and ICT announced its decision to develop infrastructure that can swiftly respond to rising cyber security threats in the country. Through this, the country aims to reduce information security violation rates faced by local companies to less than 1.5%.

Increasing State-Sponsored Cyberattacks

The increasing incidences of state-sponsored cyberattacks targeting critical infrastructure and sensitive data in the country are prompting the South Korean government to employ robust cybersecurity measures such as multifactor authentication and real-time monitoring.

Surging Number of Mobile Devices

Surging smartphone penetration and the growing use of smartphones for activities such as communication and financial transactions are amplifying the risk of cyberattacks. This, coupled with the emergence of smart-specific malware and viruses, is boosting the implementation of robust cybersecurity solutions.

Growing Focus on Cloud Security

With businesses rapidly shifting to the cloud in the country, there is a rising need to improve cloud security to prevent phishing and malware attacks, comply with stringent regulatory standards, and ensure data integrity.

Rising Adoption of AI-Based Cybersecurity Tools

South Korean companies are increasingly adopting advanced AI-based cybersecurity tools to enhance threat detection and prevention, automate response mechanisms and routine tasks such as vulnerability assessments, log analysis, and patch management, improve scalability, and efficiently detect malware and ransomware.

South Korea Cyber Security Market Trends

Amid the growing number of state-sponsored cyberattacks in the country, the South Korean government is introducing various initiatives to counter cyber threats by developing a proactive defence mechanism and pursuing international cooperation to create a robust cybersecurity framework. The government also emphasises the use of AI tools for real-time threat detection and response and aims to establish an AI Safety Research Institute by the end of 2024 to evaluate cybersecurity issues related to artificial intelligence (AI) technology.

In January 2024, the South Korean government formed an alliance with the US government to promote international cybersecurity and make resilient and robust national cybersecurity a strategic policy. Through the alliance, the countries aim to build trust in cybersecurity technology, strategy, and policy, including intelligence sharing, to protect critical infrastructure against cyberattacks.

South Korea Cyber Security Industry Segmentation

South Korea Cyber Security Market Report and Forecast 2024-2032 offers a detailed analysis of the market based on the following segments:

Market Breakup by Offering

• Solutions
  • Identity and Access Management
  • Antivirus/Antimalware
  • Encryption and Tokenisation
  • Compliance and Policy Management
  • Firewall
  • Others
• Services

Market Breakup by Deployment Mode

• On-Premises
• Cloud

Market Breakup by Organisation Size

• Large Enterprises
• Small and Medium Enterprise (SMEs)

Market Breakup by Security

• Network Security
• Cloud Security
• End Point and IOT Security
• Application Security

Market Breakup by Industry Vertical

• BFSI
• Government
• Healthcare and Life Sciences
• Aerospace and Defence
• Manufacturing
• Others

South Korea Cyber Security Market Share

Based on industry vertical, the market is segmented into BFSI, government, healthcare and life sciences, aerospace and defence, and manufacturing, among others. Over the forecast period, the BFSI sector is estimated to grow at a CAGR of 16.8% as it rapidly digitalises its infrastructure to boost accessibility to financial services.

Leading Companies in the South Korea Cyber Security Market

TDIR (threat detection, investigation, and response) capabilities offer a unified platform for validating and prioritising detected cybersecurity threats. Most South Korean companies are expected to boost their reliance on exposure management data to effectively deal with cybersecurity issues over the forecast period.

• IBM Corp.
• Intel Corp.
• Fortinet Inc.
• Broadcom Inc.
• Cisco Systems Inc.
• Dell Inc.
• Palo Alto Networks Inc.
• Cyberark Software Ltd.
• Check Point Software Technologies Ltd.
• Gen Digital Inc. (AVG)
• Others

The comprehensive report looks into the macro and micro aspects of the market. The EMR report gives an in-depth insight into the market by providing a SWOT analysis as well as an analysis of Porter’s Five Forces model.