Data Encryption is an approach to protecting data having critical & confidential information by converting the data into an encrypted format. It ensures that only the users with the encryption key can access the encrypted data. Nowadays, data security concerns are among the top trends among enterprises, which is why there's an increasing demand for data encryption services worldwide.
The Global Data Encryption Market is anticipated to grow at a CAGR of around 18.1% during the forecast period, i.e., 2022-27, says MarkNtel Advisors. The market growth attributes primarily to the mounting incidence of data breaches, cyberattacks, identity thefts, and revenue losses among several organizations globally.
For instance, in January 2019, the State Bank of India left one of its servers unprotected that exposed the data of its 422 million customers. The server, situated in Mumbai, contained the partial bank account numbers, phone numbers, & bank balances of individuals using the bank’s SBI Quick Service.
Moreover, the booming developments in data-centered technology and burgeoning adoption of electronics devices that store a large volume of data are other prominent factors driving the market. Further, the adoption of data encryption is rapidly surging among financial companies to protect their crucial data from getting exposed to any malware activities, thereby boosting the market, further states the research report, “Global Data Encryption Market Analysis, 2022.”
|Study Period||Historical Data: 2017-20|
|Base Year: 2021|
|Forecast Period: 2022-27|
|Regions Covered||North America: USA, Canada, Mexico|
|Europe: Germany, UK, France, Italy, Spain|
|Asia-Pacific: China, India, Japan|
|South America: Brazil, and Argentina|
|Middle East & Africa: UAE, Saudi Arabia, South Africa, Israel|
|Key Companies Profiled||HP, IBM Corporation, Microsoft Corporation, Symantec Corporation, Intel Security, Oracle, Gemalto, Netapp Inc., Trend Micro Inc., FireEye Inc., Dell Technologies, Inc., Thales e-Security, Inc., McAfee, Inc., Bitdefender, CipherCloud|
|Unit Denominations||USD Million/Billion|
Covid-19 Impact on the Global Data Encryption Market
During the COVID-19 pandemic, an unprecedented rise in online activity was witnessed, which, in turn, led to the consequent increase in cybersecurity challenges. The more data stored in the cloud & transferred online became vulnerable to exposure & hacking and underscored the need for robust data encryption services.
Moreover, most business operations during the lockdown were performed from remote locations to curb the spread of disease, which further resulted in the high risk of cyber-attacks. Hence, the need for proper IT infrastructure cyber security significantly surged the demand for data encryption among organizations amidst the Covid-19 pandemic and fueled the overall market growth.