[Herald Interview] Autocrypt accelerates as car cyber threats drive global demand

Korea Herald

23-05-2025

S. Korean mobility security solutions provider secures over 20 global automakers as clients
LEIPZIG, Germany — A growing number of vehicles are incorporating advanced software systems and connectivity features, making them vulnerable to cybersecurity threats such as privacy breaches, and even increasing the risk of auto theft.
The global automotive industry has responded by beginning to mandate that such vehicles meet certain cybersecurity requirements. Autocrypt, a South Korean provider of mobility security solutions, is at the forefront of this initiative.
'In 2016, some hackers remotely hijacked a Cherokee SUV, so Jeep had to recall around 2 million cars. Similarly, China's Tencent showed how Tesla's Model S was susceptible to hacking. Data shows that these cyberattacks on cars are increasing significantly every year,' Lee Joo-hwa, senior vice president of Autocrypt Europe, told The Korea Herald on the sidelines of the International Transport Forum 2025 in Leipzig, Germany, on Thursday.
'In recent years, scandals such as the 'Kia Boyz Challenge' in the US underscore the importance of vehicles' need to strengthen their security firewalls,' added Lee.
In 2022, this viral TikTok challenge mostly featured teenagers demonstrating how they could steal several Hyundai Motor Company and Kia models by exploiting a security flaw.
Autopcrypt primarily offers technical consulting services for carmakers, guiding them on how to integrate cybersecurity technology into vehicle design and development, as well as solutions that block abnormal data intrusion and secure vital data like software certificates.
Lee stressed that the company's clients — over 20 car manufacturers across the world, including Hyundai Motor Group, General Motors, Stellantis, BMW, Porsche, Volkswagen and Volvo — prefer solution packages that integrate Autocrypt's security technology into hardware such as semiconductors.
According to Lee, the demand for these solutions is driven by a growing number of countries taking car hacking seriously.
The European Union mandated that all new vehicles sold in the region comply with cybersecurity certifications from July 2024. South Korea and India plan to adopt similar standards from August this year and 2027, respectively.
In contrast, the US lacks federal certification requirements to safeguard against external breaches, which likely contributed to the Hyundai and Kia theft incidents, Lee noted.
In addition to preventing car hijacking, Lee highlighted the significance of the company's cybersecurity solutions in protecting driver safety in autonomous vehicles and preventing the breach of personal data.
Autocrypt is also venturing into engineering services, offering security-related certification testing for governments. Last year, it became an official technical service provider for the Netherlands' vehicle authority, responsible for ensuring that vehicles comply with European cybersecurity standards.
The company will expand its business portfolio to other mobility equipped with telecommunications devices and therefore vulnerable to cyberattacks, ranging from agricultural and construction machinery to military vehicles.
According to Global Market Insights, a Delaware-based market tracker, the global automotive cybersecurity market is projected to grow to $17.7 billion by 2032 from $10.4 billion in 2023.
Autocrypt plans to go public on Korea's tech-heavy Kosdaq within this year, offering 1.4 million shares. The price range is set between 18,700 and 22,000 won ($14-$16) per share, with market capitalization projected to reach up to 210.5 billion won.
Founded in 2019 through a spin-off from Penta Security Systems, a Seoul-based encryption-based security company, Autocrypt is the country's first company specializing in mobility software security solutions.