Firmware security has emerged as a critical component of software supply chain security (SSCS), driven by increasing regulatory requirements and rising supply chain vulnerabilities, according to a new comprehensive market analysis from Omdia. The market is experiencing significant transformation as organizations across industries adopt firmware and SSCS solutions to manage these escalating pressures.

"The growing awareness of software security and increasingly stringent legislation requires device manufacturers to fully understand the firmware embedded within their products, ensuring robust security from design, throughout the entire lifecycle," notes Hollie Hennessy, Principal Analyst, Omdia. “Alongside this, asset owners face heightened concerns about supply chain security, which remains challenging to manage effectively. Firmware security and SSCS tooling offer essential visibility, insight and context, particularly to organizations managing critical infrastructure.”

Hennessy added: "Enhanced visibility into firmware and software, especially within highly regulated industries or critical infrastructure environments, provides tremendous value in managing both asset and supply chain risk."

Key Market Insights

The firmware security sector is witnessing a convergence between traditional firmware security and the broader SSCS market. Vendors are expanding their capabilities to deliver broader solutions to both device manufacturers and enterprise customers. A notable differentiator among providers is their approach to firmware analysis: while binary analysis remains fundamental, vendors are progressively incorporating source code analysis to provide more thorough security insights.

Beyond analysis alone, the next critical step for vendors is providing actionable guidance. Insight into vulnerabilities is valuable but practical guidance through effective prioritization and triage is crucial. More vendors leverage AI to provide recommendations, context and automation. These customized solutions are designed for specific user personas, such as product security teams within device manufacturers, as well as asset owners managing security risks across IT, OT and IoT.

"As the internet of things landscape continues to mushroom and regulatory scrutiny intensifies around device safety and security, both manufacturers and their customers, i.e., asset owners, require a thorough and transparent view of firmware embedded in their devices," said Rik Turner, Omdia’s Chief Analyst for Cybersecurity. “As such, firmware security is moving beyond its niche market status into a central role within the broader world of SSCS. We anticipate larger SSCS companies will soon integrate firmware security capability into their portfolios, either through internal innovation or strategic acquisitions.”

Emerging trends identified by Omdia include the advancement of basic Software Bill of Materials (SBOM) generation into sophisticated management capabilities, enhanced by AI-powered analytics. New standards are also emerging notably the Cryptographic Bill of Materials (CBOM) and AI Bill of Materials (AIBOM).

Looking ahead, Omdia predicts ongoing growth in the firmware and software supply chain security market, driven by factors such as tightening regulatory requirements, increased of supply chain vulnerabilities, rising adoption rates of IoT and connected devices, and deeper integration of AI capabilities. Overall, Omdia’s comprehensive analysis underscores a dynamic market adapting to evolving security challenges and regulatory demands, with vendors positioning themselves strategically to address the growing needs of diverse customers.

ABOUT OMDIA

Omdia, part of Informa TechTarget, Inc. (Nasdaq: TTGT), is a technology research and advisory group. Our deep knowledge of tech markets combined with our actionable insights empower organizations to make smart growth decisions.

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