The latest report by IMARC Group, titled “Multi-Factor Authentication Market: Global Industry Trends, Share, Size, Growth, Opportunity and Forecast 2022-2027,” finds that the global multi-factor authentication market size reached US$12.9 Billion in 2021. Multi-factor authentication (MFA) refers to a security system that uses an additional layer of security to authenticate the user's identity and offers secure transactions over the internet. It consists of an amalgamation of biometric, logical and physical procedures to surpass the security system. Multi-factor authentication requires a security token, one-time password (OTP), and user-specific biometric verification. This layered system provides improved security surveillance and data security. As a result, it finds application in various end use sectors such as banking, financial services, and insurance (BFSI), healthcare, government, defense, travel and transport, and logistics industries.
We are regularly tracking the direct effect of COVID-19 on the market, along with the indirect influence of associated industries. These observations will be integrated into the report.
Global Multi-Factor Authentication Market Trends:
The market is primarily driven by the increasing number of online frauds, security breaches, and cyber-attacks. This has resulted in the launch of data security standards across large, medium, and small industries. Besides this, the rising stringency in regulations to protect sensitive data is propelling the market growth. For instance, governments across various countries have implemented regulations, including General Data Protection Regulation (GDPR), Payment Services Directive 2 (PSD2), and Anti-Money Laundering Directive 5 (AMLD5), for safeguarding sensitive data against any form of security transgression. In addition to this, there have been increasing investments in the implementation of MFA to support services, training, SMS gateway, and hardware and software tokens. Along with this, investments in cloud technology and the adoption of bring-your-own-devices (BYOD) trend across enterprises are also escalating the demand for MFA solutions. Furthermore, the introduction of authentication-as-a-service solutions offering advanced security and authentication to organizations is fueling the market growth. Looking forward, the market is expected to grow at a CAGR of 17.8% during the forecast period (2022-2027).
- Based on the model, the market has been segmented into two-, three-, four-, and five-factor authentication.
- On the basis of the deployment type, the market has been classified into on-premises and on-cloud.
- The market has been categorized based on the application into smart cards, phone-based, and hardware OTP token authentication.
- On the basis of the vertical, the market has been segregated into banking and finance, government, travel and immigration, military and defense, IT and telecom, healthcare, retail and e-commerce, and others.
- Region-wise, the market has been divided into North America (the United States and Canada), Asia Pacific (China, Japan, India, South Korea, Australia, Indonesia, and others), Europe (Germany, France, the United Kingdom, Italy, Spain, Russia, and others), Latin America (Brazil, Mexico, Argentina, Colombia, Chile, Peru, and others), and Middle East and Africa (Turkey, Saudi Arabia, Iran, the United Arab Emirates, and others).
- The competitive landscape of the market has been examined, with some of the key players being CA Technologies, Crossmatch, Deepnet Security Limited, Entrust Datacard Corporation, Fujitsu Limited, Gemalto N.V., Microsoft Corporation, NEC Corporation of America, Okta Inc., Ping Identity, RSA Security LLC, SecureAuth Corporation, SecurEnvoy Limited (Shearwater Group plc Company), Suprema Inc., and Symantec Corporation.
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