South Korea Applied AI in Cybersecurity Market Research Report By Organization Size (SMEs, Large Enterprise) and By Security Type (Network Security, Endpoint Security, Application Security, Cloud Security, ICS Security, IoT Security, Identity and Access Management, Risk and Compliance Management, Data Loss Prevention, Unified Threat Management, Security and Vulnerability Management, Antivirus/Antimalware, Fraud Detection, Intrusion Detection/Prevention System, Threat Intelligence, Others)- Forecast to 2035

South Korea Applied AI in Cybersecurity Market Overview

As per MRFR analysis, the South Korea Applied AI in Cybersecurity Market Size was estimated at 55.21 (USD Million) in 2023.The South Korea Applied AI in Cybersecurity Market Industry is expected to grow from 68.75(USD Million) in 2024 to 206.25 (USD Million) by 2035. The South Korea Applied AI in Cybersecurity Market CAGR (growth rate) is expected to be around 10.503% during the forecast period (2025 - 2035).

Key South Korea Applied AI in Cybersecurity Market Trends Highlighted

The South Korea Applied AI in Cybersecurity Market is responding to the expanding concerns of cyber threats and the need for sophisticated security systems. This is an area where the South Korean government has invested considerable resources by launching multiple projects to improve the cybersecurity posture of this nation. This includes “Cybersecurity Strategy 2021” that seeks to utilize AI technology for better defense system automation and quicker responses to incidents. Furthermore, there seems to be an increasing number of private tech firms working together with government agencies on new AI cybersecurity technologies, demonstrating a move towards collaborative approaches geared at improving security.

There are opportunities for businesses developing cloud-centric remote work policies in which we predominantly focus on AI-powered cybersecurity solutions. There is an easily accessible digital infrastructure in South Korea which creates a greater need for proactive sophisticated threat detection and neutralization systems. Businesses in these sectors who provide tailored AI solutions particularly focus on healthcare and finance industries which expect more granular customization drive demand from these industries. Recently, South Korean companies have begun using many machine learning functions at their entities’ data security operations centers (DSOCs).

An increasing number of organizations understand the importance of analytics in identifying irregularities and addressing problems promptly. This trend is also observable among smaller businesses that are acquiring artificial intelligence based cybersecurity systems to protect their assets in the face of shifting danger paradigms. In a nutshell, the applied AI in cybersecurity market in South Korea is marked by government funding and partnership as well as rising recognition concerning the need for sophisticated cyber defense systems.

South Korea Applied AI in Cybersecurity Market Drivers

Rising Cybersecurity Threats

The South Korea Applied AI in Cybersecurity Market Industry is propelled by the escalating threats from cybercriminals, which have surged dramatically in recent years. In 2022 alone, South Korea experienced over 12 million reported cyber incidents, a 58% increase from the previous year according to the Ministry of Science and ICT. 

This alarming rise necessitates advanced cybersecurity measures, particularly those bolstered by Applied Artificial Intelligence (AI) technologies.Organizations like KT Corporation and Samsung SDS have been at the forefront of developing AI-driven cybersecurity solutions to combat such threats, thereby contributing significantly to the growth of this market segment. The government has also launched initiatives to enhance national cybersecurity infrastructure, further emphasizing the importance of integrating AI into cybersecurity measures to safeguard sensitive data and maintain public trust.

Government Initiatives and Support

The South Korean government has been proactive in promoting the integration of Artificial Intelligence in cybersecurity through various policies and funding initiatives. The 'Korea Cybersecurity Strategy', introduced in 2021, aims to allocate approximately 200 million USD annually to enhance cybersecurity capabilities, particularly through advanced technologies like AI. 

This strategic push not only addresses the immediate cybersecurity challenges faced by the nation but also fosters innovation in the South Korea Applied AI in Cybersecurity Market Industry.Collaboration with leading tech firms such as Naver and LG CNS exemplifies the government’s commitment to creating a robust cybersecurity ecosystem supported by cutting-edge AI solutions.

Increased Adoption of IoT Devices

As South Korea advances towards becoming a fully connected society, the proliferation of Internet of Things (IoT) devices has opened up new avenues for cyber threats. By 2025, it is projected that the number of IoT devices in South Korea will exceed 50 million, presenting significant challenges in securing these devices. 

Applied AI technologies, such as machine learning algorithms employed by companies like SK Telecom, are essential in monitoring and securing these diverse endpoints.The complexities involved in managing IoT security drive demand within the South Korea Applied AI in Cybersecurity Market Industry and highlight the necessity for organizations to adopt sophisticated AI-based solutions to safeguard their networks.

Growing Investment in Cybersecurity Startups

Investment in cybersecurity startups focusing on AI innovations is rapidly increasing in South Korea, reflecting a strong recognition of the potential for Applied AI in Cybersecurity Market solutions. In 2023, over 300 million USD were invested in cybersecurity startups, indicating an annual growth rate of 12% in investment activity. 

Major players like Kakao and Daum have been actively investing in technological startups, enhancing the AI-driven cybersecurity landscape.This influx of funding not only accelerates the development and deployment of new technologies but also ensures a continual evolution of cybersecurity practices to meet emerging threats in the South Korean market.

South Korea Applied AI in Cybersecurity Market Segment Insights

Applied AI in Cybersecurity Market Organization Size Insights

The Organization Size segment in the South Korea Applied AI in Cybersecurity Market showcases a diverse landscape, characterized by the varied needs and capabilities of Small and Medium-sized Enterprises (SMEs) and Large Enterprises. SMEs play a crucial role in the market, as they increasingly recognize the importance of cybersecurity amidst the rising tide of cyber threats. The adaptive nature of these organizations often leads them to seek cost-effective, scalable solutions that integrate applied artificial intelligence, ensuring they remain protected without stretching their limited resources.In contrast, Large Enterprises dominate the applied AI in cybersecurity sector, driven by their extensive data ecosystems and the consequential need for robust security measures. 

They tend to have more comprehensive cybersecurity frameworks that leverage advanced AI technologies for threat detection, incident response, and risk management. The continuous evolution of cyber threats necessitates that both SMEs and Large Enterprises stay vigilant and proactive in their cybersecurity efforts. As they invest in these state-of-the-art technologies, they enable a safer digital environment, thereby fostering greater consumer trust and operational assurance.The significance of this market segment is underscored by the rapid digital transformation in South Korea, where the government actively promotes the adoption of smart technologies and supports innovation within the cybersecurity domain. 

This push creates numerous opportunities for organizations of all sizes to enhance their cybersecurity measures, align with best practices, and mitigate the risks inherent to their respective operations. Thus, understanding the nuanced requirements of both SMEs and Large Enterprises is essential for stakeholders in the South Korea Applied AI in Cybersecurity Market as they develop tailored solutions to meet the distinct demands of each organizational category.

Applied AI in Cybersecurity Market Security Type Insights

The South Korea Applied AI in Cybersecurity Market, focusing on Security Type, reveals a diverse landscape comprising various pivotal domains essential for comprehensive protection against cyber threats. Network Security remains a cornerstone, safeguarding data integrity and privacy across connected networks, while Endpoint Security addresses vulnerabilities at user devices, which are increasingly targeted. Application Security is vital as it ensures the security of software applications, significantly preventing data breaches. Cloud Security, driven by the growing adoption of cloud services in South Korea, protects sensitive data stored in cloud environments.The rise of IoT devices emphasizes the importance of IoT Security, which guards interconnected devices from unauthorized access. 

Identity and Access Management plays a crucial role in authentication and authorization processes, enhancing user verification against malicious threats. Risk and Compliance Management aid organizations in adhering to regulations while minimizing vulnerabilities. Data Loss Prevention is a critical component to avert unauthorized data exfiltration. Unified Threat Management offers an integrated approach, addressing multiple security needs through a single platform.Security and Vulnerability Management continuously assesses potential risks to mitigate threats. Antivirus and Antimalware solutions work to detect and eliminate malicious software affecting systems. 

Additionally, Fraud Detection, Intrusion Detection/Prevention Systems, and Threat Intelligence contribute significantly by preemptively combating cyber attacks. These areas collectively underscore the necessity of advanced AI-driven solutions in securing South Korea's rapidly digitizing ecosystem, catering to sophisticated threats and regulatory demands.

South Korea Applied AI in Cybersecurity Market Key Players and Competitive Insights

The South Korea Applied AI in Cybersecurity Market is witnessing significant growth as organizations increasingly recognize the need for enhanced security measures against evolving cyber threats. This competitive landscape is characterized by the integration of artificial intelligence technologies designed to anticipate, detect, and respond to threats in real-time. As the frequency and sophistication of cyberattacks continue to rise, companies are racing to leverage AI to offer innovative solutions that not only protect critical infrastructure but also ensure compliance with regulations. The market sees a blend of established players and emerging startups striving to capture market share, drive innovation, and create a secure digital environment, catering to a diverse range of sectors including finance, healthcare, and government.

SK Infosec stands out as a formidable player in the South Korea Applied AI in Cybersecurity Market, showcasing a strong commitment to advancing cybersecurity through applied AI technologies. With a robust portfolio of security services and solutions, SK Infosec has established a notable presence focusing on threat intelligence and response capabilities that leverage AI algorithms for proactive measures. The company’s strengths lie in its extensive experience within the South Korean market, allowing it to develop tailored solutions that meet local regulatory requirements and unique cybersecurity needs. SK Infosec has also fostered strategic partnerships with various technology firms, enhancing its service offerings and ensuring scalability and adaptability in its solutions, thereby solidifying its standing as a trusted cybersecurity provider.

Darktrace has carved out a significant niche in the South Korea Applied AI in Cybersecurity Market through its intelligent self-learning AI technology designed to detect and respond to advanced threats autonomously. The company's key offerings include its Enterprise Immune System and Cyber AI Analyst, which empower organizations to react swiftly to potential breaches while minimizing human intervention. Darktrace enjoys a strong market presence in South Korea, with its innovative approach resonating well within various industry sectors, particularly in finance and critical infrastructure. 

The company's focus on continuous improvement through mergers and acquisitions, coupled with its adaptive technology framework, enables it to stay ahead of the competition by enhancing its product features and expanding its customer base within the region. Darktrace's strengths lie in its ability to leverage machine learning for proactive cybersecurity measures, making it a preferred choice for organizations looking to bolster their security postures against a backdrop of increasingly sophisticated cyber threats.

Key Companies in the South Korea Applied AI in Cybersecurity Market Include:

• SK Infosec


• Darktrace


• Samsung SDS


• Sookmyung Women's University


• AhnLab


• Crowdstrike


• Deepi


• Fortinet


• Hancom Secure


• Secui


• KISA


• NCSOFT


• Penta Security Systems


• TmaxSoft


• LG CNS

South Korea Applied AI in Cybersecurity Market Industry Developments

The South Korea Applied AI in Cybersecurity Market is witnessing significant developments, particularly through advancements from key players such as SK Infosec, Darktrace, and Samsung SDS. AhnLab has reported growth in market adoption, leveraging AI technologies to enhance threat detection capabilities. Relevant activities in the sector include a notable focus on machine learning and big data analytics to counteract increasing cyber threats in governmental and corporate environments.

In March 2023, Penta Security Systems announced a strategic partnership aimed at fortifying cybersecurity frameworks within enterprises. Recent financial reports, such as those from Fortinet and LG CNS, indicate an upward trend in market valuations as businesses integrate AI-centric security solutions to mitigate risks. Current affairs also highlight ongoing initiatives in cybersecurity policy enhancement spearheaded by Korea Internet and Security Agency (KISA) to support infrastructure resilience.

The last couple of years have seen growth spurts in the market, with notable regulations introduced in December 2021 aimed at fostering innovation and security compliance. Moreover, recent investments from firms like NCSOFT in developing AI-based defensive systems underscore an aggressive push towards safeguarding digital assets in the face of evolving cyber threats.

South Korea Applied AI in Cybersecurity Market Segmentation Insights

Applied AI in Cybersecurity Market Organization Size Outlook

• SMEs


• Large Enterprise

Applied AI in Cybersecurity Market Security Type Outlook

• Network Security


• Endpoint Security


• Application Security


• Cloud Security


• ICS Security


• IoT Security


• Identity and Access Management


• Risk and Compliance Management


• Data Loss Prevention


• Unified Threat Management


• Security and Vulnerability Management


• Antivirus/Antimalware


• Fraud Detection


• Intrusion Detection/Prevention System


• Threat Intelligence


• Others

 

Report Attribute/Metric Source:	Details
MARKET SIZE 2023	55.21(USD Million)
MARKET SIZE 2024	68.75(USD Million)
MARKET SIZE 2035	206.25(USD Million)
COMPOUND ANNUAL GROWTH RATE (CAGR)	10.503% (2025 - 2035)
REPORT COVERAGE	Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
BASE YEAR	2024
MARKET FORECAST PERIOD	2025 - 2035
HISTORICAL DATA	2019 - 2024
MARKET FORECAST UNITS	USD Million
KEY COMPANIES PROFILED	SK Infosec, Darktrace, Samsung SDS, Sookmyung Women's University, AhnLab, Crowdstrike, Deepi, Fortinet, Hancom Secure, Secui, KISA, NCSOFT, Penta Security Systems, TmaxSoft, LG CNS
SEGMENTS COVERED	Organization Size, Security Type
KEY MARKET OPPORTUNITIES	Increased investment in cybersecurity, Rising cyber threats and attacks, Adoption of remote work solutions, Growing demand for threat intelligence, Enhanced regulatory compliance requirements
KEY MARKET DYNAMICS	Increasing cyber threats, Government regulations, Demand for automation, Integration with existing systems, Skilled workforce shortage
COUNTRIES COVERED	South Korea