Encryption Software Market

Global Encryption Software Market Size (2024 to 2029)

The global encryption software market is predicted to reach USD 13.07 billion in 2024 and USD 26.87 billion by 2029, growing at an annual expansion rate (CAGR) of 15.5% during the forecast period.

Encryption is a process in which the service provider converts information into codes to block unauthorized access. Data must be protected, and that can be present on any type of electronic device. Each person and commercial company has their personal information, including data, which can vary from emails to WhatsApp messages and bank details, and these must be kept securely between the parties involved in the transaction. This process is done by encryption, the information is sent via electronic length codes which are not readable by anyone who tries to access this information. Once the sender sends the information in the form of codes, this information can only be decrypted by the sender or the recipient so that it is readable.

Encryption software helps protect the confidentiality of information stored in folders and files and data in transit over networks or data in transit based on an organization's compliance and security requirements. Encrypts and decrypts data at rest and in transit using software. Therefore, by making the data unreadable even for the authorized person, the encryption software helps to improve the security of sensitive data. The adoption of encryption software is likely to expand with the augmenting incidence of cyber-attacks across the globe.

Current Scenario of the Global Encryption Software Market

Software publishers around the world have quickly adopted encryption software to increase business competition and improve data security. Software encryption is one of the fastest emerging solutions for endpoint data security. Growing concerns over data breaches and privacy compliance regulations are making companies more willing to adopt software-based encryption solutions for compliance, greater data security, and greater operational flexibility. In addition, the global encryption software market is also growing due to the increasing adoption of the latest technologies, such as cloud, virtualization, and mobility.

MARKET TRENDS

The application encryption software market offers disk encryption, file/folder encryption, database encryption, communication encryption, and cloud encryption. The cloud encryption segment is the fastest growing segment due to the growing need to secure confidential data worldwide. Organizations around the world have embraced the cloud at a rapid pace and are firmly embracing various cloud environments, ranging from private and hybrid to public, to store their vast data.

Most providers in the encryption software market offer cloud-based encryption software to maximize profits and effectively and securely guarantee data confidentiality. The adoption of cloud-based encryption software solutions is expected to grow due to its benefits, such as ease of data maintenance, cost-effectiveness, scalability, and efficient management.

MARKET DRIVERS AND RESTRAINTS

• Growing concern about the loss of critical data in a local environment.
• Exploiting big data analytics poses a risk to the cloud environment.
• Government regulations promoting the implementation of encryption solutions.
• Lack of budget to adopt the best encryption solutions in its category.
• Lack of knowledge of encryption and performance issues among companies.

REPORT COVERAGE

SEGMENTAL ANALYSIS

Global Encryption Software Market Analysis By Component

The components are divided into software and services.

Global Encryption Software Market Analysis By Deployment Mode

The market is segmented by deployment model into on-premises and cloud. Of these, the cloud deployment mode will grow at a faster rate during the outlook period.

Global Encryption Software Market Analysis By Organization Size

Depending on its size, an organization is divided into large companies and small and medium-sized enterprises (SMEs).

Global Encryption Software Market Analysis By Application

The market is classified by application into disk encryption, communication encryption, file/folder encryption, and cloud encryption. Of these, the cloud encryption segment will increase at a considerable CAGR over the conjecture period.

Global Encryption Software Market Analysis By Vertical

Depending on the industry vertical, it is divided into BFSI, IT and Telecom, Government & Public, Retail, Healthcare, Aerospace & Defense, Media & Entertainment, and more.

REGIONAL ANALYSIS

North America is supposed to hold the lion’s share in the global encryption software market, while Asia Pacific (APAC) is foreseen to develop at a substantial growth rate over the outlook period. In APAC, the highest growth rate on the market can be attributed to large investments made by the public and private sectors to protect sensitive data, resulting in increased demand for encryption software used to protect and secure the confidentiality of data. North America is foreseen to be ruling owing to the rising adoption and development of encryption software. The growing demand to adhere to strict regulatory standards, the presence of encryption software providers, and the growing support of the government are the main factors that will influence the growth of the market over the foreseen period.

KEY PLAYERS IN THE GLOBAL ENCRYPTION SOFTWARE MARKET

Some of the major players in the global encryption software market are Dell, Eset, Gemalto, McAfee, Microsoft, Pkware, Sophos, Symantec, Thales E-Security, Trend Micro, Cryptomathic, Stormshield, Bloombase, Cisco Systems, EMC Corporation, Proofpoint, Check Point Software Technologies, IBM Corporation, Intel Security and Bitdefender are among others.

RECENT HAPPENINGS IN THE GLOBAL ENCRYPTION SOFTWARE MARKET

• In April 2019, Thales Group (France), the parent company of Thales e-Security, finalized the acquisition of Gemalto (Netherlands), the digital identity and security leader. The acquisition would create a world-class leader with an unrivaled portfolio of technology-based digital identity and security solutions, such as biometrics, data protection, and, more broadly, cybersecurity.
• In December 2018, Symantec (USA) partnered with Fortinet (USA), a leading automated and integrated IT security solutions provider, to provide customers with the most complete and robust security solutions. The partnership would provide essential security controls in the cloud, network, and endpoint environments that are critical to the application of the Zero Trust security framework.
• In May 2018, IBM (USA) collaborated with Cisco (USA) to integrate their security suite into Cisco security products for faster and more accurate threat detection and response. This collaboration would improve product interaction, service integration, and threat intelligence.

DETAILED SEGMENTATION OF THE GLOBAL ENCRYPTION SOFTWARE MARKET INCLUDED IN THIS REPORT

The global encryption software market is divided based on component, deployment model, company size, function, vertical, and region.

By Component                              

• Software  
• Services    

By Application                

• Disk Encryption     
• File/Folder Encryption        
• Communication Encryption              
• Cloud Encryption  

By Deployment Mode                

• On-Premises          
• Cloud         

By Enterprise Size                        

• SMEs         
• large          

By Vertical                       

• IT and Telecom      
• BFSI            
• Government & Public         
• Retail         
• Healthcare              
• Aerospace & Defense        
• Media & Entertainment    

By Region

• North America
• Europe
• Asia-Pacific
• Latin America
• The Middle East and Africa