Risk-Based Authentication Market Size, Share, Opportunities, COVID-19 Impact, And Trends By Offering (Software, Services), By Enterprise Size (Small, Medium, Large), By Application (Cloud Application Security, IoT Security, Fraud Prevention, Others), By Deployment (On-premise, Cloud), By End-User Industry (Communication And Technology, Retail, BFSI, Government, Healthcare, Others), And By Geography - Forecasts From 2022 To 2027
- Published : Nov 2022
- Report Code : KSI061612179
- Pages : 145
The risk-based authentication market was valued at US$2.555 billion in 2020 and is expected to grow at a CAGR of 12.38% over the forecast period to reach a market size of US$5.784 billion by 2027.
Growing investments by end-users in improving the security of their systems are driving the adoption of advanced technologies by them. The rising incidence of security breaches is further fueling this need among end-users, thus driving the market for risk-based authentication solutions. The rapid growth of the communication and technology industry is a major factor driving the growth of this market, and it is expected to remain a major driving force for this market throughout the forecast period.
Increasing system security awareness is driving the demand
The major driver in the growth of the risk-based authentication market is increased awareness regarding system security. The risk-based-authentication systems provide real-time access to the threat data which enables the user to identify potential security hazards. The potential benefits of risk-based authentication include blocking suspicious users, protecting user data, reducing friction, improving password security, etc. Furthermore, the growing security concerns worldwide while using the internet are rising. The rising number of privacy breach cases and hacking instances are increasing awareness regarding secure surfing over the internet. According to the World Bank, the number of secure internet servers per 1 million people was 9,975 in 2019 which significantly grew to 11,499 in 2020. Additionally, the Thales Data Threat Report 2022 -Federal Edition stated that 49% of the federal government respondents had reported that they had experienced a security breach. Furthermore, 19% of them had complete knowledge of where their data was stored. Thales is a provider of data protection, access management, and authentication to the US federal, civilian, state, and local government agencies. Thus, these breaches mentioned in the Thales Data threat report 2022 indicated rising security threats in the US which aided the growth of the risk-based authentication market.
Increasing end users such as communication and technology, retail, BSFI, Government, healthcare, and others are expected to drive the market demand in the forecast period.
The rising end users in industries such as communication and technology, retail, BSFI, government healthcare, and many more are increasing the demand for risk-based authentication technologies owing to the rising security concerns. Furthermore, the rising need for connectivity for remote employees, partners, contractors, and other external users has increased due to easy access to technology. Hence, the volume of users needing access to important data and systems in the end-user industries is growing exponentially. Moreover, governments all across the world are concerned about cyber security and data privacy in their respective countries. For instance, in July 2022, Belgium’s Foreign affairs, Foreign Trade, and Development Cooperation reported malicious cyber activities that affected the sovereignty, security, and democracy of Belgium. The malicious activities targeted the FPS interior and the Belgian defense. Such incidents are raising concerns among the end-users regarding their cyber security. As a result, the risk-based authentication market is expecting growth in the forecast period.
North America is expected to hold a noteworthy share of the market
By geography, the market has been segmented into North America, South America, Europe, the Middle East, Africa, and the Asia Pacific. The North American risk-based authentication market is projected to grow owing to the presence of many market players in the region. For instance, companies like IBM incorporated in New York, United States recorded a 3.93% revenue increase in 2021, and the company recorded a revenue of US$ 57.35 billion in 2021. IBM further specifies that the Software revenues increased by 5.3% in 2021. Additionally, the risk-based solution offerings by IBM help in differentiating the true users' fraudsters with IBM Security Trusteer Pinpoint Detect. These services and solutions in the North American region are aiding the growth of the risk-based authentication market.
- In February 2022 Oracle launched Oracle Adaptive Risk Management to help organizations prevent fraud and mitigate the risks across multiple channels of operations. The Oracle Adaptive Risk management is a follow-up to the Oracle Advance authentication microservice which was launched in July 2021.
- In May 2022, Entersekt, a global pioneer in device identification and authentication solutions, revealed that Capitec Bank has deployed its breakthrough EMV 3-D Secure solution, which improves e-commerce payment security while decreasing cardholder friction. Capitec may now add significant e-commerce engagements in real-time by deploying Entersekt's EMV 3-D Secure technology, greatly increasing security without compromising the consumer experience.
- Ping Identity launched PingOne DaVinci, a new no-code identity orchestration service that helps enterprises to design a better user experience. The launch was announced in February 2022. The new identity service allows users to integrate and orchestrate identity services from a wide range of vendors.
- In April 2019, Okta a leading independent provider of identity for enterprises announced the launch of its new Risk-based authentication solution with machine learning capabilities, enhancing adaptive multi-factor authentication and adaptive single sign-on products. Through the newly launched risk-based authentication, enterprises can automate security, while simultaneously aiding a seamless login experience claims Okta.
Risk-Based Authentication Market Scope:
|Market Size Value in 2020||US$2.555 billion|
|Market Size Value in 2027||US$5.784 billion|
|Growth Rate||CAGR of 12.38% from 2020 to 2027|
|Forecast Unit (Value)||USD Billion|
|Segments Covered||Offering, Enterprise Size, Application, Deployment, End-User Industry, And Geography|
|Regions Covered||North America, South America, Europe, Middle East and Africa, Asia Pacific|
|Companies Covered||miniOrange Inc., IBM, CA Technologies, Micro Focus, Okta, Thales, RSA Security, LexisNexis Risk Solutions Group, Equifax, Inc., Ping Identity, Oracle, Broadcom, Mitek Systems, Inc|
|Customization Scope||Free report customization with purchase|
- By Offering
- By Enterprise Size
- By Application
- Cloud Application Security
- IoT Security
- Fraud Prevention
- By Deployment
- By End-User Industry
- Communication and Technology
- By Geography
- North America
- South America
- Middle East and Africa
- Saudi Arabia
- Asia Pacific
- South Korea
- North America
Frequently Asked Questions (FAQs)
1.1. Market Overview
1.2. COVID-19 Scenario
1.3. Market Definition
1.4. Market Segmentation
2. RESEARCH METHODOLOGY
2.1. Research Data
3. EXECUTIVE SUMMARY
3.1. Research Highlights
4. MARKET DYNAMICS
4.1. Market Drivers
4.2. Market Restraints
4.3. Porter’s Five Force Analysis
4.3.1. Bargaining Power of Suppliers
4.3.2. Bargaining Power of Buyers
4.3.3. Threat of New Entrants
4.3.4. Threat of Substitutes
4.3.5. Competitive Rivalry in the Industry
4.4. Industry Value Chain Analysis
5. RISK-BASED AUTHENTICATION MARKET, BY OFFERING
6. RISK-BASED AUTHENTICATION MARKET, BY ENTERPRISE SIZE
7. RISK-BASED AUTHENTICATION MARKET, BY APPLICATION
7.2. Cloud Application Security
7.3. IoT Security
7.4. Fraud Prevention
8. RISK-BASED AUTHENTICATION MARKET, BY DEPLOYMENT
9. RISK-BASED AUTHENTICATION MARKET, BY END-USER INDUSTRY
9.2. Communication and Technology
10. RISK-BASED AUTHENTICATION MARKET, BY GEOGRAPHY
10.2. North America
10.3. South America
10.5. Middle East and Africa
10.5.1. Saudi Arabia
10.6. Asia Pacific
10.6.4. South Korea
11. COMPETITIVE ENVIRONMENT AND ANALYSIS
11.1. Major Players and Strategy Analysis
11.2. Emerging Players and Market Lucrativeness
11.3. Mergers, Acquisitions, Agreements, and Collaborations
11.4. Vendor Competitiveness Matrix
12. COMPANY PROFILES
12.1. miniOrange Inc.
12.3. CA Technologies
12.4. Micro Focus
12.7. RSA Security
12.8. LexisNexis Risk Solutions Group
12.9. Equifax, Inc.
12.10. Ping Identity
12.13. Mitek Systems, Inc
LexisNexis Risk Solutions Group
Mitek Systems, Inc
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