Rising Cyber Threats and IoT Vulnerabilities Driving the Network Forensics Market

 The global network forensics market size was estimated at USD 2.20 billion in 2023 and is projected to reach USD 6.23 billion by 2030, growing at a CAGR of 17.2% from 2024 to 2030. The rapid growth of IoT devices and connected infrastructures across various industries has introduced new security vulnerabilities, as these devices often lack robust security measures.

Network forensics solutions play a critical role in monitoring traffic within IoT ecosystems, helping organizations detect and analyze unusual or malicious activities. By capturing and analyzing network data from IoT devices, these tools can identify threats such as unauthorized access, data tampering, or malware. This proactive monitoring is essential for securing IoT networks, mitigating risks, and ensuring the integrity of connected systems, which are becoming increasingly vital to modern business operations.

The network forensics market refers to the solutions and services used to monitor, capture, store, and analyze network traffic to detect and investigate cybersecurity incidents, anomalies, and data breaches. Network forensics tools and technologies help organizations trace the origins of cyberattacks, mitigate risks, and meet regulatory compliance requirements. These solutions provide deep visibility into network traffic, aiding in detecting insider threats, external cyberattacks, and breaches in real-time.

The rising frequency and sophistication of cyberattacks, including ransomware, advanced persistent threats (APTs), and data breaches, have significantly increased the demand for network forensics tools. These attacks pose severe risks to organizations by compromising sensitive data and disrupting operations. Network forensics solutions enable security teams to monitor, capture, and analyze network traffic to trace the origin of attacks, identify vulnerabilities, and uncover malicious activities. By providing detailed insights into how breaches occur, these tools help organizations not only respond to incidents quickly but also implement proactive measures to prevent future security threats and ensure compliance with regulatory standards.

Key Market Trends & Insights

• The North America held the largest revenue share of over 36% in the market in 2023. North America, especially the U.S., experiences a high volume of sophisticated cyberattacks such as ransomware, advanced persistent threats (APTs), and data breaches.
• The U.S. is growing significantly at a CAGR of 16.5% from 2024 to 2030. U.S. is home to many leading network forensics vendors and solution providers, which fosters significant innovation and market growth.
• Based on component, solution segment accounted for the largest market share of over 63% in 2023.  Rising cybersecurity threats, including data breaches, ransomware attacks, and advanced persistent threats (APTs), are driving the demand for advanced network forensics solutions.
• Based on deployment, on-premises segment held a market share of over 64% in 2023 and is expected to dominate the market by 2030. On-premises solutions provide organizations with greater customization and control over their network security infrastructure, allowing them to tailor forensic tools to address specific security needs and respond to unique threats more effectively.
• Based on organization size, large enterprises segment held a market share of over 69% in 2023 and is expected to dominate the market by 2030. Large enterprises typically manage intricate and expansive network infrastructures, involving numerous systems, applications, and locations.

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Market Size & Forecast

• 2023 Market Size: USD 2.20 Billion
• 2030 Projected Market Size: USD 6.23 Billion
• CAGR (2024-2030): 17.2%
• North America: Largest market in 2023

Key Companies & Market Share Insights

The companies are focusing on various strategic initiatives, including new product development, partnerships & collaborations, and agreements to gain a competitive advantage over their rivals. The following are some instances of such initiatives.

• In May 2024, Palo Alto Networks and IBM partnered to deliver AI-powered cybersecurity solutions. IBM will integrate Palo Alto Networks’ security platforms into its consulting services and train over 1,000 security consultants. The collaboration focuses on AI-driven threat detection and security operations, with Palo Alto Networks incorporating IBM's watsonx large language models into its offerings. Additionally, Palo Alto Networks plans to acquire IBM’s QRadar SaaS assets to enhance their AI capabilities. Together, they aim to streamline security operations, support digital transformation, and drive innovation in AI-powered cybersecurity.
• In June 2024, Cisco introduced new capabilities in its Security Cloud to enhance enterprise defenses, powered by AI and industry partnerships. Key innovations include Cisco Hypershield for improved security in modern data centers, a next-generation firewall series for better performance, and AI-driven management through Security Cloud Control. These solutions aim to streamline security management across hybrid environments, improve threat detection, and foster collaboration with major partners like Google to strengthen zero trust security frameworks. The Security Cloud platform also integrates advanced telemetry for superior security operations.

Key Players

• Cisco Systems, Inc.
• IBM Corporation
• Symantec Corporation (Broadcom Inc.)
• Trellix
• RSA Security LLC
• Palo Alto Networks, Inc.
• LogRhythm, Inc.
• Viavi Solutions Inc.
• NIKSUN
• Fortinet, Inc.

Browse Horizon Databook on Global Network Forensics Market Size & Outlook

Conclusion

The global network forensics market is experiencing strong momentum, projected to reach USD 6.23 billion by 2030, growing at a notable CAGR of 17.2% from 2024. This growth is driven by the widespread adoption of IoT devices and connected infrastructures, which, while enhancing operational efficiency, have also introduced significant security vulnerabilities. Network forensics solutions are becoming indispensable for identifying and mitigating these risks by enabling real-time traffic monitoring and threat detection. As businesses increasingly rely on connected systems, the demand for advanced network forensics tools is set to rise, ensuring the security, integrity, and resilience of modern digital ecosystems.