IAM Security Services Market Size
| Study Period | 2019 - 2029 |
| Market Size (2024) | USD 17.05 Billion |
| Market Size (2029) | USD 30.46 Billion |
| CAGR (2024 - 2029) | 12.31 % |
| Fastest Growing Market | Asia Pacific |
| Largest Market | North America |
Major Players
*Disclaimer: Major Players sorted in no particular order |
IAM Security Services Market Analysis
The IAM Security Services Market size is estimated at USD 17.05 billion in 2024, and is expected to reach USD 30.46 billion by 2029, growing at a CAGR of 12.31% during the forecast period (2024-2029).
- Identity and access management (IAM) enables the right people, software, and hardware, as appropriate to job roles and functionality, to have access to the tools required to perform assigned duties without also granting them access to those that are not needed and/or present a security risk to the enterprise. Organizations that utilize IAM can streamline operations by managing identities without requiring individuals to log into applications as administrators.
- Cloud technology is changing how businesses work, driven by cost efficiencies and economies of scale. However, the lack of effective security can undermine the benefits of cloud computing. This marks the fundamental need for security solutions, including security for identity-related crime, driving the IAM market.
- IT operating costs of any organization can be reduced through IAM services because, with IAM services, companies no longer require local IDs for external usage, simplifying application administration. Cloud-based IAM services can decrease the requirement to purchase and maintain on-premises infrastructure, further fuelling market adoption.
- IAM software enables businesses to have entire administration regarding identities and access to internal networks. Businesses can implement reliable password rules and two-step verification. These enable multi-factor authentication (MFA), which keeps enterprises' security up to date and allows the companies to carry out their security strategy, driving the market. In addition, according to the PlainID 2022 State of Access and Authorization report, authorization and authentication have been prioritized in IAM activities.
- The software-as-a-service (SaaS) model initially makes it simpler for customers to access their applications, but complexity quickly rises as more applications are added. Each application has its identity store, unique login URLs, and password requirements. As users struggle to remember, reset, and manage these frequently changing passwords and URLs across their applications, this proliferation of credentials reduces user productivity and increases user annoyance. This is a major market challenge in implementing IAM security services in various end-user industries.
- Due to COVID-19, several businesses offered remote work options and invested significantly more than usual in a virtual private network (VPN. Physical security procedures are common in an office setting, although they are less crucial when working remotely. This means organizations must work more on software-based safeguards, including IAM services. Thus, COVID-19 and the post-pandemic scenario of remote and hybrid working models have accelerated market growth worldwide.
IAM Security Services Market Trends
The IT & Telecom Segment is Expected to Register a Strong Growth
- The diverse ecosystem of IT and telecommunication is more prone to data breaches and theft as they are highly dependent on their infrastructure, network, and databases to carry out any operation. Furthermore, the growing number of IT outsourced projects supporting applications in healthcare and BFSI has been driving the market growth. Moreover, modern IT administrators are attracted to the concept of a unified, outsourced solution because the alternative is a mess of partial add-on solutions with outdated on-premise IT infrastructure.
- The IT industry's penetration of cloud services is rising daily as databases and servers are now being shifted to the cloud. Also, growth in cloud spending is expected to drive the cloud-based IAM solution market. The growth in the number of employees in the IT industry has led to the database of personal details being usually maintained over cloud-based storage. This move is in anticipation of the shifting IAM in the cloud.
- Telecom businesses mostly work with a vast user base across national boundaries. The users consider that the telecom system can be relied upon for various transactions that could be financial or sensitive. Within the telecom industry, digital identities and access governance algorithms are very complex, thus driving the demand for IAM solutions.
- In addition to this, growth in security spending in IT organizations is expected to drive cloud-based IAM adoption. Prominent telecom organizations have also begun to transform themselves into technology providers by creating mobile applications for the use of voice over internet protocol (VoIP) calls and storing data on cloud platforms. In addition, growth in security spending in IT organizations, along with the combined mobility and cloud computing, is expected to create new frontiers of risks for operators, thereby driving the adoption of a highly secure and robust cloud discovery platform.
- For instance, in December 2022, Wallix, a prominent IAM provider, joined forces with hyper-trust cloud 3DS Outscale to strengthen its cybersecurity offering. Wallix's identity management, authentication, and digital access security solutions are now available on the Outscale marketplace. Wallix and 3DS Outscale will help build a trusted digital space that preserves digital freedom. Personal and industrial data stored in the Outscale marketplace is now protected by design, meaning users can decide whether to share their data. As a result, public and private organizations that face the challenge of storing sensitive data on the cloud can regain control of digital access by utilizing a solution that meets the highest performance, security, and data protection requirements, while reducing internal and external cyber risk.
North America Leads the Market with the Largest Market Share
- The North American region has two developed economies, including the United States and Canada, with well-established IT service sectors. These businesses have prioritized many IAM systems to protect login credentials and apply for least-privilege access across applications, networks, and infrastructure for themselves and their clients in a single scalable, multi-tenant solution. Examples include multi-factor authentication, single sign-on, privileged access management, technician elevated access, secrets management, and unified directory services.
- For instance, in June 2022, Evo Security, an American IAM platform provider, launched the Evo Partner Identity Cloud. This identity cloud is the first all-in-one IAM solution designed exclusively with the needs of managed service providers (MSPs) and their business customers in mind. The enterprise-grade cloud platform is a comprehensive identity and access management solution that gives MSPs an easy and highly secure way to protect small and medium-sized businesses and enterprises from the most common types of cybersecurity attacks that frequently exploit login and access vulnerabilities to penetrate network and cloud assets.
- Many financial institutions in the region have been witnessing security breaches due to a lack of access management systems. This is because the banking, financial services, and insurance (BFSI) sector holds valuable data, and their efforts to transition to the digital age are raising the possibility. For instance, in April 2022, unauthorized employees of the US mobile payment company, Block Inc., downloaded client information reports without permission. It is estimated that 8.2 million current and former consumers were included in the research.
- Small businesses are the backbone of the Canadian economy. As small businesses adapt to the digital economy and the lasting impacts of the COVID-19 pandemic, the Government of Canada is working to help them continue to grow, thrive, and create good jobs. The Canadian government intends to start a new digital infrastructure project to improve the country's supply chains which would be helpful country's manufacturing and Retail industries' vendors. In October 2022, the Minister of Transport declared to invest USD 136 million initiative in Advancing Industry-Driven Digitalization of Canada's Supply Chain. This digitalization trend among the small industries in the country would drive the requirement for IAM solutions because IAM solutions enable companies to have the desired security for their digital operations.
- Additionally, in March 2022, the prime minister of Canada announced the establishment of the Canada Digital Adoption Program (CDAP), which would help Canadian small and medium-sized businesses increase their online presence and update or implement digital technologies. This investment would provide USD 4 billion over four years to support up to 160,000 small businesses. The CDAP would enable small and medium-sized enterprises in Canada to assess their level of digital readiness and submit grant and loan applications online. They could utilize this cash to modernize or embrace digital technologies, digitize their business processes, and take advantage of e-commerce opportunities to stay competitive. Thus, the increasing rate of SMBs in the country and their adoption of digital technology would create an opportunity for the IAM service providers and fuel the market growth in the region.
IAM Security Services Industry Overview
The IAM security services market is fragmented. The vast majority of the players in the market are considering steps to raise their market footprint by focusing on product diversification and development, making them grab a larger market share.
In January 2023, SailPoint Technologies Inc, a company in business identity security, acquired SecZetta, a third-party identity risk solutions provider. With SecZetta, SailPoint will be able to expand its capabilities to help companies gain better visibility into all types of identities, across both employee and non-employee identities - from third-party contractors to temporary workers - all from a single, market-leading identity security platform. This acquisition will give enterprises the centralized approach needed, plus the proper identity proofing required to validate non-employee identities across their businesses fully.
Moreover, in November 2022, Positive Thinking Company, a global independent technology company, partnered with Okta to help companies enable secure access to their target systems. Okta stands out with its product capabilities covering all IAM use cases, products' ease of use, flexibility in integrating with a broad number of apps, and the high quality of documentation available. Combining those strengths with Positive Thinking Company's integration experience, they will nurture long-term relationships with their joint customers, providing them with a one-stop shop for all their identity needs.
IAM Security Services Market Leaders
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IBM Corporation
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Oracle Corporation
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Microsoft Corporation
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Amazon Web Services
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Broadcom Inc.
*Disclaimer: Major Players sorted in no particular order
IAM Security Services Market News
- January 2023: Saviynt, a provider of intelligent identification and access governance solutions, raised USD 205m in growth financing from AB Private Credit Investors' Tech Capital Solutions group.. Saviynt will use this funding to meet the market's growing demand for its converged identity platform and accelerate innovation.
- January 2023: Simeio, the leading provider of specialized identity and access management services in the market, announced the acquisition of Texas-based PathMaker Group, a pioneer in identity management services and solutions. Simeio's established portfolio of end-to-end services in advisory, building, and managing identity security solutions stands out in an industry filled with boutique system integrators. The acquisition of PMG is a key strategic move that complements Simeio's successful organic strategy of expanding into new industries and talent pools and adding new capabilities around identity orchestration and automation.
IAM Security Services Market Report - Table of Contents
1. INTRODUCTION
- 1.1 Study Deliverables
- 1.2 Study Assumptions
- 1.3 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
- 4.1 Market Overview
- 4.2 Introduction to Market Drivers and Restraints
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4.3 Market Drivers
- 4.3.1 Increasing Security Concerns
- 4.3.2 Increasing Number of Cyber Data Breaches
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4.4 Market Restraints
- 4.4.1 High Costs of Security Solution
- 4.4.2 Complexity in Integration with Existing Network
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4.5 Industry Attractiveness - Porter's Five Forces Analysis
- 4.5.1 Threat of New Entrants
- 4.5.2 Bargaining Power of Buyers/Consumers
- 4.5.3 Bargaining Power of Suppliers
- 4.5.4 Threat of Substitute Products
- 4.5.5 Intensity of Competitive Rivalry
5. MARKET SEGMENTATION
-
5.1 By Type of Solutions
- 5.1.1 Identity Cloud
- 5.1.2 Identity Governance
- 5.1.3 Access Management
- 5.1.4 Directory Services
- 5.1.5 Other Type of Solutions
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5.2 By Type of Deployment
- 5.2.1 On-premise
- 5.2.2 Hybrid
- 5.2.3 Cloud-based
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5.3 By Organization Size
- 5.3.1 Large Enterprises
- 5.3.2 Small & Medium Enterprises (SMEs)
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5.4 By End-user Vertical
- 5.4.1 BFSI
- 5.4.2 IT & Telecom
- 5.4.3 Education
- 5.4.4 Healthcare
- 5.4.5 Retail
- 5.4.6 Energy
- 5.4.7 Manufacturing
- 5.4.8 Other End-user Vertical
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5.5 Geography
- 5.5.1 North America
- 5.5.1.1 US
- 5.5.1.2 Canada
- 5.5.2 Europe
- 5.5.2.1 UK
- 5.5.2.2 Germany
- 5.5.2.3 France
- 5.5.2.4 Rest of Europe
- 5.5.3 Asia Pacific
- 5.5.3.1 China
- 5.5.3.2 Japan
- 5.5.3.3 India
- 5.5.3.4 Rest of Asia-Pacific
- 5.5.4 Latin America
- 5.5.4.1 Brazil
- 5.5.4.2 Mexico
- 5.5.4.3 Rest of Latin America
- 5.5.5 Middle East and Africa
- 5.5.5.1 Saudi Arabia
- 5.5.5.2 UAE
- 5.5.5.3 Rest of Middle East and Africa
6. COMPETITIVE LANDSCAPE
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6.1 Company Profiles
- 6.1.1 IBM Corporation
- 6.1.2 Oracle Corporation
- 6.1.3 Broadcom Inc.
- 6.1.4 Microsoft Corporation
- 6.1.5 Amazon Web Services
- 6.1.6 Centrify Corporation
- 6.1.7 Okta Inc.
- 6.1.8 Cyberark Software Ltd.
- 6.1.9 Sailpoint Technologies, Inc.
- 6.1.10 HID Global Corporation
- 6.1.11 NetIQ Corporation
- *List Not Exhaustive
7. INVESTMENT ANALYSIS
8. MARKET OPPORTUNITIES AND FUTURE TRENDS
** Subject To AvailablityIAM Security Services Industry Segmentation
IAM services make it possible to guarantee that the right people and job functions within an organization have access to the resources they need to carry out their jobs. A company can manage employee apps using identity management and access solutions without logging in as an administrator to each app. Due to IAM systems, organizations can manage a broad range of identities, including those of people, software, and hardware.
The IAM security services market is segmented by type of solutions (identity cloud, identity governance, access management, and directory services), type of deployment (on-premise, hybrid, and cloud-based), organization size (large enterprises and small & medium enterprises (SMEs)), end-user vertical (BFSI, IT & telecom, education, healthcare, retail, energy, and manufacturing), and geography(North America, Europe, Asia Pacific, Latin America, and Middle East and Africa).
The market sizes and forecasts are provided in value (USD million) for all the above segments.
| By Type of Solutions | Identity Cloud | |
| Identity Governance | ||
| Access Management | ||
| Directory Services | ||
| Other Type of Solutions | ||
| By Type of Deployment | On-premise | |
| Hybrid | ||
| Cloud-based | ||
| By Organization Size | Large Enterprises | |
| Small & Medium Enterprises (SMEs) | ||
| By End-user Vertical | BFSI | |
| IT & Telecom | ||
| Education | ||
| Healthcare | ||
| Retail | ||
| Energy | ||
| Manufacturing | ||
| Other End-user Vertical | ||
| Geography | North America | US |
| Canada | ||
| Geography | Europe | UK |
| Germany | ||
| France | ||
| Rest of Europe | ||
| Geography | Asia Pacific | China |
| Japan | ||
| India | ||
| Rest of Asia-Pacific | ||
| Geography | Latin America | Brazil |
| Mexico | ||
| Rest of Latin America | ||
| Geography | Middle East and Africa | Saudi Arabia |
| UAE | ||
| Rest of Middle East and Africa |
IAM Security Services Market Research FAQs
How big is the IAM Security Services Market?
The IAM Security Services Market size is expected to reach USD 17.05 billion in 2024 and grow at a CAGR of 12.31% to reach USD 30.46 billion by 2029.
What is the current IAM Security Services Market size?
In 2024, the IAM Security Services Market size is expected to reach USD 17.05 billion.
Who are the key players in IAM Security Services Market?
IBM Corporation, Oracle Corporation, Microsoft Corporation, Amazon Web Services and Broadcom Inc. are the major companies operating in the IAM Security Services Market.
Which is the fastest growing region in IAM Security Services Market?
Asia Pacific is estimated to grow at the highest CAGR over the forecast period (2024-2029).
Which region has the biggest share in IAM Security Services Market?
In 2024, the North America accounts for the largest market share in IAM Security Services Market.
What years does this IAM Security Services Market cover, and what was the market size in 2023?
In 2023, the IAM Security Services Market size was estimated at USD 15.18 billion. The report covers the IAM Security Services Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the IAM Security Services Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
IAM Security Services Industry Report
Statistics for the 2023 IAM Security Services market share, size and revenue growth rate, created by Mordor Intelligenceā¢ Industry Reports. IAM Security Services analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
