Research: Smart Grid Cybersecurity Market To Reach $3.7 Billion By 2015

  • Jun 23, 2010

As governments and utilities invest in smart grid deployments, the need for robust security measures has become increasingly apparent.

Reports that would-be saboteurs have attempted to disrupt the security of the electrical power supply in the United States have added to the urgency for cyber security for the emerging smart grid.

Among other motivators, one key condition for smart grid funding awarded last year under the federal stimulus program was that the awardees incorporate strong security into their smart grid initiatives.

Those requirements will drive major investments in smart grid cybersecurity over the next several years, according to a recent report from Pike Research.

The cleantech market intelligence firm estimates that cybersecurity spending will represent approximately 15 percent of total smart grid capital investment between now and 2015.

Cumulative investment in the security sector will reach $21 billion between 2010 and 2015, with annual revenue reaching $3.7 billion by 2015. While North America will account for the largest share of the market in that year, with revenue of $1.5 billion, other regions will experience rapid growth also, including Asia Pacific ($1.2 billion) and Europe ($784 million).

“The electrical grid is being modernized and transformed into a smart grid,” said Senior Analyst Bob Gohn, “but industry players have recognized that you can’t have a smart grid without smart security. That’s why total investment in these critical technology upgrades will grow at a rapid pace within the next few years.”

Smart grid deployments result in control networks and IT networks that are more integrated, leading to increased vulnerability to cyberattacks. One of the key elements for the adoption of stronger security for smart grids is interoperable smart grid standards; thus, the U.S. government has appointed the National Institute of Standards and Technology (NIST) to develop such standards for interoperability between disparate systems and industry participants.

Featured

  • It's Show Time

    I am one of those people that likes to see things get bigger and better. As advertised, ISC West is going to be bigger (more exhibitors) and better (more attendees). It’s show time in Las Vegas. Read Now

    • Industry Events
    • ISC West

  • SIA Releases New Report on Operational Security Technology

    The Security Industry Association (SIA) has released an impactful new resource – Operational Security Technology: Principles, Challenges and Achieving Mission-Critical Outcomes Leveraging OST. Read Now

  • Cyber Overconfidence Is Leaving Your Organization Vulnerable

    The increased sophistication of cyber threats pumped by the relentless use of AI and machine learning brings forth record-breaking statistics. Cyberattacks grew 44% YoY in 2024, with a weekly average of 1,673 cyberattacks per organization. While organizations up their security game to help thwart these attacks, a critical question remains: Can employees identify a threat when they come across one? A Confidence Gap survey reveals that 86% of employees feel confident in their ability to identify phishing attempts. But things are not as rosy as they appear; the more significant part of the report finds this confidence misplaced. Read Now

  • Mission 500 Debuts Refreshed Identity Ahead of Security 5K/2K at ISC West

    Mission 500, the security industry’s nonprofit charity dedicated to supporting children in need across the US, Canada, and Puerto Rico, has unveiled a refreshed brand identity ahead of ISC West. The charity’s new look includes a modernized logo with refined messaging to reinforce Mission 500’s nearly decade-long commitment to serving the needs of children and families in crisis. Read Now

    • Industry Events
Most   Popular

New Products

  • Connect ONE’s powerful cloud-hosted management platform provides the means to tailor lockdowns and emergency mass notifications throughout a facility – while simultaneously alerting occupants to hazards or next steps, like evacuation.

    Connect ONE®

    Connect ONE’s powerful cloud-hosted management platform provides the means to tailor lockdowns and emergency mass notifications throughout a facility – while simultaneously alerting occupants to hazards or next steps, like evacuation.

  • PE80 Series

    PE80 Series by SARGENT / ED4000/PED5000 Series by Corbin Russwin

    ASSA ABLOY, a global leader in access solutions, has announced the launch of two next generation exit devices from long-standing leaders in the premium exit device market: the PE80 Series by SARGENT and the PED4000/PED5000 Series by Corbin Russwin. These new exit devices boast industry-first features that are specifically designed to provide enhanced safety, security and convenience, setting new standards for exit solutions. The SARGENT PE80 and Corbin Russwin PED4000/PED5000 Series exit devices are engineered to meet the ever-evolving needs of modern buildings. Featuring the high strength, security and durability that ASSA ABLOY is known for, the new exit devices deliver several innovative, industry-first features in addition to elegant design finishes for every opening.

  • ComNet CNGE6FX2TX4PoE

    The ComNet cost-efficient CNGE6FX2TX4PoE is a six-port switch that offers four Gbps TX ports that support the IEEE802.3at standard and provide up to 30 watts of PoE to PDs. It also has a dedicated FX/TX combination port as well as a single FX SFP to act as an additional port or an uplink port, giving the user additional options in managing network traffic. The CNGE6FX2TX4PoE is designed for use in unconditioned environments and typically used in perimeter surveillance.