Europe Healthcare Cybersecurity Market

Europe Healthcare Cybersecurity Market Size (2024 to 2032)

The size of the Europe healthcare cybersecurity market was valued at USD 3.77 billion in 2023. This market is expected to grow at a CAGR of 17.2% from 2024 to 2032 and be worth USD 15.73 billion by 2032 from USD 4.42 billion in 2024. 

MARKET SCENARIO

The surge in the adoption of digital healthcare and the increase in cyberattacks are raising the demand for the European healthcare cybersecurity market. In April 2023, to deal with the rising cybersecurity threats, the European Union formally declared a 1.1 billion Euro plan. The trend towards adopting digital technologies for real-time health services is saving time and money. The accelerated digitization of healthcare during the COVID-19 pandemic unveiled two security vulnerabilities: cybercriminals could endanger patient safety by infiltrating devices and acquiring patient data for either sale or ransom. Also, investments by European governments to enhance its cybersecurity capabilities are further expanding the market share. Therefore, targeting hospitals and medical clinics across Europe is contributing to the growing market share for European healthcare cybersecurity.

Investing in cutting-edge technologies for detecting and preventing threats and incorporating AI, ML, and behavioral analytics play a crucial role in promptly identifying and mitigating sophisticated cyber threats. Also, governments have the potential to incentivize healthcare entities to invest in cybersecurity by extending favorable insurance terms, offering financial safeguards, and promoting proactive initiatives. This will contribute to boosting the market demand for the European healthcare cybersecurity market in the coming years.

European healthcare cybersecurity market has to overcome the problem of underinvestment, which is limiting the expansion of the market. EU nations encountered substantial reductions in public spending, amounting to over 3.5 percent of the annual budget, as a consequence of the COVID-19 emergency. Also, the existing budgetary flexibility of governments is being eroded by inflation and diminishing economies, which will cause a reduction in the market growth rate in the coming years.

The lack of a healthy workforce is one of the major challenges facing the European healthcare cybersecurity market. As an example, the European region, comprising 53 members of the World Health Organization, is presently facing a shortage of more than 1.7 million healthcare workers. This figure is anticipated to escalate to 4 million by the year 2030 if not adequately addressed.

COVID-19 Impact on the European Healthcare Cybersecurity Market: 

The European healthcare sector has been profoundly influenced by the COVID-19 pandemic, revealing its vulnerabilities and presenting challenges. The COVID-19 pandemic has heightened the focus of cybercriminals on the healthcare sector, employing ransomware, phishing tactics, and other deliberate attacks to capitalize on the industry's weaknesses. 

SEGMENTAL ANALYSIS

Europe Healthcare Cybersecurity Market Analysis By Type

• Ransomware
• Malware and spyware
• Distributed Denial of Services (DDoS)
• Phishing & spear-phishing

The ransomware segment is leading with the largest shares of the Europe healthcare cybersecurity market. The European Union Agency for Cybersecurity issued a caution, highlighting that, despite ransomware being the foremost threat to the European healthcare sector, there is an increasing frequency of distributed denial-of-service attacks associated with hacktivist organizations in the region. Hence, the distributed denial-of-service segment is expected to increase its market share in the coming years.

Europe Healthcare Cybersecurity Market Analysis By Security Type

• Application Security
• Cloud Security
• Content Security
• Endpoint Security
• Network Security
• Wireless Security
• Others

The endpoint segment is gaining traction over the market share, whereas the application segment is likely to have the fastest growth rate during the forecast period. To safeguard patient data and prevent vulnerabilities, healthcare applications like EHRs and telehealth services necessitate robust application security. The network security and cloud security segments are anticipated to embrace a steady growth rate.

Europe Healthcare Cybersecurity Market Analysis By End Users

• Pharmaceutical Industries
• Biotechnology Industries
• Hospitals
• Medical Devices Companies
• Health Insurance Companies
• Others

The hospital segment is ruling with the largest shares of the European healthcare cybersecurity market owing to the increasing cyberattacks on important patient databases. So, to ensure effective operations, hospitals demand elevated levels of security for endpoints, networks, and applications.

GEOGRAPHICAL ANALYSIS

• UK
• France
• Spain
• Germany
• Italy
• Russia
• Sweden
• Denmark
• Switzerland
• Netherlands
• Turkey
• Czech Republic
• Rest of Europe

The UK healthcare cybersecurity market holds a dominant share. In June 2023, Cynerio and Integra e-Quip established a strategic collaboration to provide the UK healthcare sector with a top-tier CMMS solution combined with state-of-the-art IoT security tools.

France's healthcare cybersecurity market is anticipated to have steady market growth during the forecast period. For example, in December 2022, the French government initiated an extensive training initiative designed to prepare hospital personnel to counter cyberattacks, with the goal of ensuring that all crucial health facilities receive training by May 2023.

Spain's European healthcare cybersecurity market is growing at a faster rate during the forecast period due to the growing frequency of cyberattacks in the healthcare sector. For instance, Fujitsu has entered into a General Action Protocol with the Regional Government of Andalusia, Spain, to designate Malaga as a central hub for expertise in healthcare cybersecurity, specifically focusing on the Internet of Medical Things (IoMT).

Germany's European healthcare cybersecurity market is likely to have significant growth opportunities during the forecast period. Since it is the next leading market after the UK, the Federal Office for Information Security is progressing with the evolution of electronic health insurance cards, emergency data management, medication plans, patient records, telematics infrastructure, and the IT security of medical devices.

Italy's European healthcare cybersecurity market is estimated to have exponential growth during the forecast period. Italy ranked as the fourth-largest market in Europe for medical equipment, features a mature market with more than 4,500 companies and a workforce exceeding 112k employees

KEY MARKET PLAYERS

Promising companies leading the European healthcare cybersecurity market profiled in this report are McAfee, LLC, FireEye, Atos SE, Palo Alto Networks, Inc., Cisco Systems, Inc., Fortified Health Security, Lockheed Martin Corporation, Palo Alto Networks, Inc., Booz Allen Hamilton, Inc. and IBM Corporation.