IT in Public Safety, HLS and Intelligence Agencies Market Trends

  • Report ID: 3525
  • Published Date: Jun 19, 2025
  • Report Format: PDF, PPT

IT in Public Safety, HLS and Intelligence Agencies Market - Growth Drivers and Challenges

Growth Drivers

  • Growing government investments in national security and public safety: Governments worldwide are notably increasing investments in advanced IT infrastructure to enhance national security, emergency response, and intelligence capabilities. Funding for modernizing communication networks, using AI-driven surveillance systems, and enhancing data analytics platforms directly boosts market expansion. For instance, in 2024, the U.S. Department of Homeland Security allocated $1.2 billion for increasing Next Generation 911 systems, modernizing emergency communications, and building interoperable networks across the country. This funding represents a comprehensive government initiative to strengthen IT capabilities in public safety and homeland security operations.

  • Escalating cybersecurity risks and demand for secure IT infrastructure: As cyber threats become increasingly sophisticated, securing communication and IT systems has become important for public safety and intelligence agencies. The demand for strong cybersecurity solutions, secure cloud platforms, and encrypted communications is escalating rapidly. In March 2024, Honeywell released an enhanced version of its Forge cybersecurity suite tailored for critical infrastructure protection in the public safety sector. This update notably improved threat detection accuracy by 30%, addressing increasing cyberattacks on government networks globally. This driver brings in investments in next-generation security technologies and encourages stricter regulatory compliance, fostering a growing market focused on protecting sensitive information and infrastructure.

Challenges

  • Data security and interoperability: A primary challenge facing the IT in public safety, HLS, and intelligence agencies market is providing data security and system interoperability across siloed systems. These agencies handle highly sensitive data across multiple fields, often depending on legacy systems that lack unified security protocols. According to the U.S. Government Accountability Office (GAO), over 70% of federal IT spending in 2023 was committed to operations and maintenance of existing, outdated systems, which increases the chances of cyber threats and limits compatibility with modern solutions.

  • Moreover, the lack of standardized data-sharing frameworks among agencies and across borders hampers real-time collaboration during emergencies and intelligence operations. Without consistent protocols and secure data exchange mechanisms, the risk of data breaches and system failures rises significantly. To address this, governments are advocating for zero-trust architectures and data governance models, but widespread implementation remains complicated and resource-intensive. The challenge is not only technical but organizational, requiring coordinated policy reforms, budget alignment, and cross-border cooperation.


Base Year

2024

Forecast Year

2025-2037

CAGR

8%

Base Year Market Size (2024)

USD 129 billion

Forecast Year Market Size (2037)

USD 342.5 billion

Regional Scope

  • North America (U.S. and Canada)
  • Asia Pacific (Japan, China, India, Indonesia, Malaysia, Australia, South Korea, Rest of Asia-Pacific)
  • Europe (UK, Germany, France, Italy, Spain, Russia, NORDIC, Rest of Europe)
  • Latin America (Mexico, Argentina, Brazil, Rest of Latin America)
  • Middle East and Africa (Israel, GCC North Africa, South Africa, Rest of the Middle East and Africa)

Browse key industry insights with market data tables & charts from the report:

Frequently Asked Questions (FAQ)

In 2025, the industry size of IT in public safety, HLS and intelligence agencies is estimated at USD 139.5 billion.

IT in Public Safety, HLS and Intelligence Agencies Market size was valued at USD 129 billion in 2024 and is projected to reach USD 342.5 billion by the end of 2037, rising at a CAGR of 8% during the forecast period, i.e., 2025-2037.

The IT in public safety, HLS and intelligence agencies market in North America is predicted to hold a dominant 39% share during the forecast period due to substantial government funding aimed at modernizing critical infrastructure and enhancing emergency response capabilities.

Microsoft Corporation, NVIDIA Corporation, Google LLC, Sony Interactive Entertainment, Tencent Holdings Limited, Amazon Web Services (AWS), Samsung Electronics, Ubisoft Entertainment, Bandai Namco Entertainment, Capcom Co. Ltd., NCSoft Corporation, Reliance Jio Infocomm Limited, Telstra Corporation Ltd., Square Enix Holdings Co. Ltd., Malaysia Digital Economy Corporation (MDEC).
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