Global Identity as a Service market was valued at USD 3.34 Billion in 2019. It is expected to grow at a compound annual rate (CAGR) 22.0% between 2020 and 2027. The increasing demand for cloud-based security solutions and services is expected to increase the adoption of Identity as a Service solutions. Companies must provide remote access for employees while maintaining security compliance. Organizations will need access and identity solutions. IDaaS solutions are in high demand due to strict regulatory mandates and data protection laws. Global regulations and compliance regarding identity theft such as the General Data Protection Regulation, Health Insurance Portability and Accountability Act, and HIPAA, are forcing organizations to take additional measures to protect user accounts of their contractors and employees. To ensure strong security against rising risks from cloud services adoption, the end-to-end identity would need to be established. Access management functionality will also need to be implemented.
Market growth will be supported by the rising popularity of the Bring your Own Device (BYOD), trend within most Telecom and IT companies. Businesses' IT departments are trying to prevent external devices from leaking into their network. Infiltration of multi-cloud computing system in modern organizations, particularly in IT and telecommunication companies, is increasing rapidly. These multi-cloud computing systems are becoming more popular, indicating the need for better identity management services to protect their public cloud infrastructures.
As-a-service in Identity as a Service means that some features are delivered to other organizations via a third party remote connection. This is in contrast to functions that are managed on-premises by in-house personnel. IDaaS's main purpose is to allow authorized personnel the appropriate access to files, software, and other resources at the right time. IDaaS can be executed much more easily if it is a cloud-based system that has been developed by identity specialists.
To reduce operating costs and improve transaction visibility, many governments and banks are actively encouraging digital payments. Thus, the incorporation of digitalized payment systems in banking and government services is expected to boost the demand for identity-as-a-service in the near future. The growth is also expected to be boosted by increased spending by corporate entities and government agencies on security solutions to prevent identity theft and ensure regulatory compliance.
The COVID 19 crisis is escalating at an alarming rate, which has shocked the world economy. The global pandemic has had a devastating impact on the health and well-being of the population. The increasing use of remote working is a result of the tightening security measures in place by governments. Enterprises would add a greater security layer to their identity and access management systems in order to protect the organization's most sensitive data and prevent identity thefts. Organizations that encourage remote work would implement Single Sign-On (SSO).
Provisioning was the largest segment in the IDaaS marketplace and held 30% of overall revenue share. Provisioning is the act of creating, deleting, validating, approving, and terminating identities for each user. This includes clients, partners and employees within an organization. It is a core enforcement initiative and ensures access rights compliance. The highest expected CAGR for multifactor authentication will be 25.6% during the forecast period.
The IDaaS service provides all the necessary tools for password management and authentication. Multifactor authentication will grow due to stringent policies and compliance in internet banking. These include (One-Time Password) OTP and self created password tokens. Multifactor authentication will be more effective if features like biometric, voice recognition and smart cards are integrated.
In 2019, the market was dominated by the public sector, accounting for more than 28%. Cyber-attacks are a constant threat to government agencies and institutions. These institutions are being targeted by cyber attackers to gain access confidential government data. The number of identity thefts to gain access to sensitive government data has increased significantly, which has prompted an increase in demand for IDaaS solutions within government agencies.
Over the forecast period, the BFSI segment will experience the greatest CAGR. Banks and financial sector hold sensitive data that requires high security. Companies in the BFSI industry are using IDaaS solutions for compliance, productivity and cost reduction. The shift to EMV credit and debit cards, and biometric authentication at ATM will increase the demand for such solutions within the BFSI sector.
North America is the largest regional market, accounting for 39% of global share in 2019. Due to increasing incidents of data breaches and security threats, North America is the largest consumer of cybersecurity solutions. Organizations in North America are increasingly adopting IDaaS solutions due to increasing cyberattacks on consumer data, cloud adoption, BYOD trends, and changing regulatory requirements. The favorable regulatory environment is also driving the growth of this market.
Asia Pacific is predicted to experience the fastest 25.5% CAGR between 2020 and 2027. Organizations in the region are experiencing a transition and are adopting new technologies, including mobile and cloud. To minimize data breaches, it is essential to protect applications, authenticate users, and keep control of business-critical information. Due to the development of IT infrastructure in the region, the Middle East and Africa regions are expected to gain momentum over the next years.
The market is competitive and focuses on the top five companies that account for the largest share of global revenue. The market's top companies are offering innovative solutions to give them an advantage over their competition. Market growth would be made possible by the development of a solution that allows for easy scaling, greater real-time assurance, identity proofing using live biometrics, and increased real-time security.
To strengthen their market position, most companies use acquisition, partnership, R&D investments as the main strategies. Akamai Technologies, for instance, announced in January 2019 the acquisition Janrain, an innovator in customer identity management solutions. Avaya announced a partnership in May 2018 with Post Quantum, adding Identity as a Service capability to its portfolio. Listed below are some of the most prominent players in Identity as a Service.
OneLogin, Inc.
CA Technologies
Auth0
Centrify Corp.
Ping Identity Corp.
Up Market Research published a new report titled “Identity As A Service Market research report which is segmented by End Use (Public Sector, BFSI), by Component Type (Single Sign-on, Multifactor Authentication), By Players/Companies CA Technologies, Ping Identity Corp, Centrify Corp, OneLogin Inc, Auth0”. As per the study the market is expected to grow at a CAGR of XX% in the forecast period.
Report Attributes | Report Details |
Report Title | Identity As A Service Market Research Report |
By End Use | Public Sector, BFSI |
By Component Type | Single Sign-on, Multifactor Authentication |
By Companies | CA Technologies, Ping Identity Corp, Centrify Corp, OneLogin Inc, Auth0 |
Regions Covered | North America, Europe, APAC, Latin America, MEA |
Base Year | 2020 |
Historical Year | 2018 to 2019 (Data from 2010 can be provided as per availability) |
Forecast Year | 2028 |
Number of Pages | 223 |
Number of Tables & Figures | 157 |
Customization Available | Yes, the report can be customized as per your need. |
The report covers comprehensive data on emerging trends, market drivers, growth opportunities, and restraints that can change the market dynamics of the industry. It provides an in-depth analysis of the market segments which include products, applications, and competitor analysis.
The market is segmented by End Use (Public Sector, BFSI), by Component Type (Single Sign-on, Multifactor Authentication).
Identity As A Service Market research report delivers a close watch on leading competitors with strategic analysis, micro and macro market trend and scenarios, pricing analysis and a holistic overview of the market situations in the forecast period. It is a professional and a detailed report focusing on primary and secondary drivers, market share, leading segments and geographical analysis. Further, key players, major collaborations, merger & acquisitions along with trending innovation and business policies are reviewed in the report.
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Based on region, the market is segmented into North America, Europe, Asia Pacific, Latin America and Middle East & Africa (MEA). North America region is further bifurcated into countries such as U.S., and Canada. The Europe region is further categorized into U.K., France, Germany, Italy, Spain, Russia, and Rest of Europe. Asia Pacific is further segmented into China, Japan, South Korea, India, Australia, South East Asia, and Rest of Asia Pacific. Latin America region is further segmented into Brazil, Mexico, and Rest of Latin America, and the MEA region is further divided into GCC, Turkey, South Africa, and Rest of MEA.
We have studied the Identity As A Service Market in 360 degrees via. both primary & secondary research methodologies. This helped us in building an understanding of the current market dynamics, supply-demand gap, pricing trends, product preferences, consumer patterns & so on. The findings were further validated through primary research with industry experts & opinion leaders across countries. The data is further compiled & validated through various market estimation & data validation methodologies. Further, we also have our in-house data forecasting model to predict market growth up to 2028.
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