Advanced Authentication Market Size
| Study Period | 2019 - 2029 |
| Market Size (2024) | USD 16.03 Billion |
| Market Size (2029) | USD 29.81 Billion |
| CAGR (2024 - 2029) | 13.20 % |
| Fastest Growing Market | Asia Pacific |
| Largest Market | North America |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Advanced Authentication Market Analysis
The Advanced Authentication Market size is estimated at USD 16.03 billion in 2024, and is expected to reach USD 29.81 billion by 2029, growing at a CAGR of 13.20% during the forecast period (2024-2029).
Factors driving the Advanced Authentication Market include increased adoption of mobility, and enterprises are feeling pressure to enable employees, partners, and other stakeholders to access more sensitive information. Security threats have been increasing continuously. Hackers are finding new ways to steal data, while new viruses are being developed to steal sensitive information from enterprises and individual users. With most users now preferring to perform transactions online, it becomes imperative for the organization to deploy authentication solutions that help ensure convenient and secure access.
- Every organization needs a reliable security system to confirm the truth of something or a person's identity. Too often, the basic or traditional password method is broken, copied, or shared, putting data at risk of being stolen or hacked.
- The increased adoption of mobility is the other factor contributing to the growth of the market for advanced authentication solutions. Enterprises are feeling pressure to enable employees, partners, and other stakeholders to access more sensitive information from anywhere and on any device. This makes advanced authentication systems a critical aspect of an enterprise's organizational strategy.
- Vendors of advanced authentication solutions are developing and improving their existing authentication methods. Some of the most commonly used authentication methods are biometrics, smartcards, tokens, and several others for mitigating security risks.
- Further, companies are auto-enabling two-step verification for users for enhanced security. For instance, in February 2022, Google enabled two-step verification for more than 150 million users after announcing the effort last year and noting in a press release that the action had caused the number of accounts hijacked by password theft to decrease by 50%. The initiative has also involved requiring two million YouTube users to enable it.
- Cybercriminals have boosted their attacks at a rapid pace amid COVID-19, thereby exploiting the uncertainty and fear caused by the unstable social and economic situation. Interpol looked at how COVID-19 affected cybercrime and found that the main targets had changed from individuals and small businesses to large corporations, critical infrastructure, and governments.
Also, according to a POLITICO analysis, nearly 50 million people in the United States had their sensitive health data breached last year, a threefold increase in the last three years. Last year, these kinds of problems were reported by healthcare providers and insurers in every state except South Dakota. This increased the need for advanced authentication over the next few years.
Advanced Authentication Market Trends
This section covers the major market trends shaping the Advanced Authentication Market according to our research experts:
Biometrics to Hold Significant Market Share During the Forecast Period
- Biometrics analyzes and authenticates individuals based on human physical characteristics, such as fingerprint, retina, iris, palm, speech, and voice, among others. This authentication method has been widely adopted, owing to its key advantages, namely its non-repudiation, non-transferable, and non-identifiable nature, thus providing a high level of protection against fraud.
- The technology has found successful implementation across various end-users, such as forensics, governments, banking and financial institutions, and enterprise identity management, among others. Moreover, the widespread availability of fingerprint sensors in affordable mobile devices and the government's national ID programs have increased awareness and adoption of this technology.
- In September 2022, The Ministry of Road Transport and Highways (MoRTH) issued a notification allowing citizens to access several transport-related services online with their Aadhaar digital ID. Providing such services in a contactless and faceless manner will go a long way in saving time for citizens while easing their compliance burden.
- Also, in May 2022, Mastercard launched a program to set biometric authentication standards, allowing consumers to pay with a smile. The company's Biometric Checkout Program is a framework to set technology security and privacy standards for banks, merchants, and technology providers developing biometric payment authentication services.
- Furthermore, in June 2022, National Database and Registration Authority (Nadra) and Capital Development Authority (CDA) signed an agreement to develop a comprehensive biometric verification system for safer property transfers in Islamabad. The system will help reduce forgery and eliminate deceptive attempts by illegitimate means or persons regarding the transfer of properties in Islamabad. Approximately 20,000 transactions of sale, purchase, and transfer of properties take place annually in CDA.
North America to Hold a Significant Market Share
- Organizations across the United States are increasingly dependent on computer networks and electronic data to conduct their daily operations, and growing pools of personal and financial information are also transferred and stored online. People are more likely to use online services for day-to-day transactions. This has made it more important for the country to have advanced authentication services.
- Moreover, the sophistication level of professional identity thieves involved in organized crime in the country continues to grow, creating a need for countermeasures to be used by companies in the country. Also, the BYOD trend is getting bigger and bigger, which makes it easier for advanced authentication methods like smart cards, physical tokens, and key performance indicators (KPIs) to be used to access sensitive information or log in to client servers.
- To make authentication more secure, many end-user industries across the region, such as banking, retail, and healthcare, have added two-way authentication systems to their online or cloud services, as well as credit and debit cards with microchips.
- In October 2022, Mitek Systems, an ID verification software maker, launched a passwordless authentication platform with multimodal biometrics. The platform enables users to access digital accounts by taking a selfie and speaking a phrase with their phone. Such developments are boosting the North American market under consideration.
Furthermore, BIO-Key International Inc announced that its BIO-Key MobileAuth will be upgraded in May 2022, eliminating the need for multiple authentication solutions. New biometric and push token authentication options to support a wider range of use cases and address the insufficiencies of traditional authentication.
Advanced Authentication Industry Overview
The advanced authentication market is highly competitive and consists of several major players. In terms of market share, few players currently dominate the market. These major players with prominent shares in the market are focusing on expanding their customer base across foreign countries. These companies leverage strategic collaborative initiatives to increase their market share and profitability.
In October 2022, NEC Malaysia was selected as a technology partner for the implementation of its border Control Solution and Automated Biometric Identification System for Malaysia's National Integrated Immigration System (NIISe), IRIS Information Technology Systems Sdn Bhd (IITS), a subsidiary of IRIS Corporation Berhad (IRIS).
In October 2022, Experian and Prove Identity Inc announced a global partnership to further financial inclusion through advanced identity verification technology. The partnership will give more access to companies for advanced identity technology, such as cryptographic authentication, that they can use to verify more consumers in a quick and secure manner.
Advanced Authentication Market Leaders
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Fujitsu Ltd
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Thales Group (Gemalto NV)
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NEC Corp.
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Broadcom Inc. (CA Technologies)
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Dell Technologies Inc.
*Disclaimer: Major Players sorted in no particular order
Advanced Authentication Market News
- May 2022: LexisNexis Risk Solutions announced the acquisition of BehavioSec, a behavioral biometric technology provider. By integrating offerings from BehavioSec, customers will benefit from continuous authentication, advanced machine learning capabilities, and additional behavioral data for enhanced authentication processes.
- February 2022: Thales Group strengthened its collaboration with Singapore's Economic Development Board (EDB) by deploying more biometrics, fintech, and cloud aviation technologies in the country.
Advanced Authentication Market Report - Table of Contents
1. INTRODUCTION
- 1.1 Study Assumptions
- 1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET INSIGHTS
- 4.1 Market Overview
- 4.2 Industry Value Chain Analysis
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4.3 Industry Attractiveness - Porter's Five Force Analysis
- 4.3.1 Threat of New Entrants
- 4.3.2 Bargaining Power of Buyers/Consumers
- 4.3.3 Bargaining Power of Suppliers
- 4.3.4 Threat of Substitute Products
- 4.3.5 Intensity of Competitive Rivalry
- 4.4 Government Policies and Industry Regulations
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4.5 TECHNOLOGY SNAPSHOT
- 4.5.1 Technology Overview
- 4.5.2 Deployment Methods
- 4.5.3 Different Authentication Methods
- 4.5.4 Advanced Authentication Applications
5. MARKET DYNAMICS
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5.1 Market Drivers
- 5.1.1 Increased Number of Cloud Users and Data Centers
- 5.1.2 Increasing Number of Security Breaches and Related Costs
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5.2 Market Restraints
- 5.2.1 High Upgrade and Replacement Costs
6. MARKET SEGMENTATION
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6.1 Authentication Methods
- 6.1.1 Smart Cards
- 6.1.2 Biometrics
- 6.1.3 Mobile Smart Credentials
- 6.1.4 Tokens
- 6.1.5 User-based Public Key Infrastructure
- 6.1.6 Other Authentication Methods
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6.2 End-user Industry
- 6.2.1 BFSI
- 6.2.2 Healthcare
- 6.2.3 Government
- 6.2.4 Defense
- 6.2.5 IT and Telecom
- 6.2.6 Other End-user Industries
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6.3 Geography
- 6.3.1 North America
- 6.3.1.1 United States
- 6.3.1.2 Canada
- 6.3.2 Europe
- 6.3.2.1 United Kingdom
- 6.3.2.2 Germany
- 6.3.2.3 France
- 6.3.2.4 Italy
- 6.3.2.5 Rest of Europe
- 6.3.3 Asia-Pacific
- 6.3.3.1 China
- 6.3.3.2 India
- 6.3.3.3 Japan
- 6.3.3.4 Australia
- 6.3.3.5 Rest of Asia-Pacific
- 6.3.4 Latin America
- 6.3.4.1 Mexico
- 6.3.4.2 Brazil
- 6.3.4.3 Argentina
- 6.3.4.4 Rest of Latin America
- 6.3.5 Middle East & Africa
- 6.3.5.1 United Arab Emirates
- 6.3.5.2 Saudi Arabia
- 6.3.5.3 South Africa
- 6.3.5.4 Rest of Middle East & Africa
7. COMPETITIVE LANDSCAPE
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7.1 Company Profiles
- 7.1.1 Fujitsu Ltd.
- 7.1.2 Thales Group (Gemalto NV)
- 7.1.3 NEC Corp.
- 7.1.4 Broadcom Inc. (CA Technologies)
- 7.1.5 Dell Technologies Inc.
- 7.1.6 Safran Identity and Security SAS
- 7.1.7 Lumidigm Inc.
- 7.1.8 Validsoft
- 7.1.9 Pistolstar
- 7.1.10 Securenvoy
- *List Not Exhaustive
8. INVESTMENT ANALYSIS
9. MARKET OPPORTUNITIES AND FUTURE TRENDS
** Subject To AvailablityAdvanced Authentication Industry Segmentation
Advanced authentication is an authentication strategy that uses real-world identity signals adaptively to provide significantly stronger identity verification for information and system security. Advanced authentication/two-factor/multifactor authentication requires an additional separate factor or credential to complete the login or transaction process.
The scope of the market includes the segmentation of advanced authentication based on Authentication Methods (Smart Cards, Biometrics, Mobile Smart Credentials, Tokens, User-based Public Key Infrastructure), End-user Industry (BFSI, Healthcare, Government, Defense, IT and Telecom), and Geography. The market sizes and forecasts are provided in terms of value (USD million) for all the segments of the report. Further, the study of the report covers the vendors operating in the market and the strategies adopted by them. The study also covers a Geographical analysis of the market and the assessment of the impact of COVID-19 on the market.
| Authentication Methods | Smart Cards | |
| Biometrics | ||
| Mobile Smart Credentials | ||
| Tokens | ||
| User-based Public Key Infrastructure | ||
| Other Authentication Methods | ||
| End-user Industry | BFSI | |
| Healthcare | ||
| Government | ||
| Defense | ||
| IT and Telecom | ||
| Other End-user Industries | ||
| Geography | North America | United States |
| Canada | ||
| Geography | Europe | United Kingdom |
| Germany | ||
| France | ||
| Italy | ||
| Rest of Europe | ||
| Geography | Asia-Pacific | China |
| India | ||
| Japan | ||
| Australia | ||
| Rest of Asia-Pacific | ||
| Geography | Latin America | Mexico |
| Brazil | ||
| Argentina | ||
| Rest of Latin America | ||
| Geography | Middle East & Africa | United Arab Emirates |
| Saudi Arabia | ||
| South Africa | ||
| Rest of Middle East & Africa |
Advanced Authentication Market Research FAQs
How big is the Advanced Authentication Market?
The Advanced Authentication Market size is expected to reach USD 16.03 billion in 2024 and grow at a CAGR of 13.20% to reach USD 29.81 billion by 2029.
What is the current Advanced Authentication Market size?
In 2024, the Advanced Authentication Market size is expected to reach USD 16.03 billion.
Who are the key players in Advanced Authentication Market?
Fujitsu Ltd, Thales Group (Gemalto NV), NEC Corp., Broadcom Inc. (CA Technologies) and Dell Technologies Inc. are the major companies operating in the Advanced Authentication Market.
Which is the fastest growing region in Advanced Authentication Market?
Asia Pacific is estimated to grow at the highest CAGR over the forecast period (2024-2029).
Which region has the biggest share in Advanced Authentication Market?
In 2024, the North America accounts for the largest market share in Advanced Authentication Market.
What years does this Advanced Authentication Market cover, and what was the market size in 2023?
In 2023, the Advanced Authentication Market size was estimated at USD 14.16 billion. The report covers the Advanced Authentication Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Advanced Authentication Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Advanced Authentication Industry Report
Statistics for the 2024 Advanced Authentication market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Advanced Authentication analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
