The global indicator 'Estimated Cost of Cybercrime' in the cybersecurity market was forecast to continuously increase between 2024 and 2029 by in total *** trillion U.S. dollars (+***** percent). After the eleventh consecutive increasing year, the indicator is estimated to reach ***** trillion U.S. dollars and therefore a new peak in 2029. Notably, the indicator 'Estimated Cost of Cybercrime' of the cybersecurity market was continuously increasing over the past years. Ransomware and manufacturing industry Cyberattacks remain a significant challenge for organizations worldwide, sectors such as manufacturing, finance, and insurance were the most affected by these attacks. Among the various types of cyber threats, ransomware was the most frequently detected, accounting for around ** percent of all incidents. The manufacturing industry, in particular, faced the highest number of ransomware attacks, making it the most targeted sector globally. Cybersecurity awareness and investments Organizations worldwide became increasingly aware of the dangers posed by cyberattacks, approximately ** percent of internet users became familiar terms such as with "ransomware." In response to these threats, companies invested more in cybersecurity. In 2024, the average annual increase in IT security budgets was expected to reach *** percent. In fact, for companies worldwide, enhancing the cyber resilience of their cybersecurity teams was the top spending priority in 2023.

Cybercrime costs in the United States reached an estimated 452.3 billion U.S. dollars in 2024. Between 2017 and 2024, this figure has seen a significant increase. According to the latest estimates, this dynamic will continue in upcoming years, reaching approximately 1.82 trillion U.S. dollars in cybercrime costs by 2028.

Cybercrime costs in the United Kingdom (UK) reached an estimated 51.81 billion U.S. dollars in 2024. Between 2017 and 2024, this figure has seen a significant increase. According to the latest estimates, this dynamic will continue in upcoming years, reaching approximately 98 billion U.S. dollars in cybercrime costs by 2028.

As of 2024, the average cost of a data breach in the United States amounted to **** million U.S. dollars, down from **** million U.S. dollars in the previous year. The global average cost per data breach was **** million U.S. dollars in 2024. Cost of a data breach in different countries worldwide Data breaches impose a big threat for organizations globally. The monetary damage caused by data breaches has increased in many markets in the past decade. In 2023, Canada followed the U.S. by data breach costs, with an average of **** million U.S. dollars. Since 2019, the average monetary damage caused by loss of sensitive information in Canada has increased notably. In the United Kingdom, the average cost of a data breach in 2024 amounted to around **** million U.S. dollars, while in Germany it stood at **** million U.S. dollars. The cost of data breach by industry and segment Data breach costs vary depending on the industry and segment. For the fourth consecutive year, the global healthcare sector registered the highest costs of data breach, which in 2024 amounted to about **** million U.S. dollars. Financial institutions ranked second, with an average cost of *** million U.S. dollars for a data breach. Detection and escalation was the costliest segment in data breaches worldwide, with **** U.S. dollars on average. The cost for lost business ranked second, while response following a breach came across as the third-costliest segment.

Cybercrime costs in Canada reached an estimated 3.82 billion U.S. dollars as of 2023. Between 2017 and 2023, this figure gradually increased. According to the latest estimates, this dynamic will continue in upcoming years, reaching approximately 4.78 billion U.S. dollars in cybercrime costs by 2028.

Annual costs of cybercrime in France reached an estimated *** billion U.S. dollars in 2024. Between 2016 and 2023, this figure has seen a significant increase of over ** billion U.S. dollars. According to the latest estimates, this dynamic will continue in upcoming years, reaching *** billion U.S. dollars in cybercrime costs by 2028.

Cyber attacks on businesses are becoming more frequent, targeted, and complex. The effects of a cyber attack go well beyond the direct financial consequences. In 2022, United Kingdom had the highest average cost of cyberattacks, at 24.2 thousand U.S. dollars.

Manufacturing remains among the most targeted industries by cyberattacks. Among the most significant attacks in this sector, in terms of monetary losses, was the 2023 Clorox attack, where the company lost around 356 million U.S. dollars due to decline in sales, based on lower production volumes due to the attack. Another big hack involved a business partner of semiconductor giant Applied Materials, which cost the company 250 million U.S. dollars.

The annual costs of cybercrime in Italy reached an estimated ** billion U.S. dollars in 2023. Between 2016 and 2023, this figure has seen a significant increase of over ** billion U.S. dollars. According to the latest estimates, this trend will continue in upcoming years, reaching *** billion U.S. dollars in cybercrime costs by 2026 in the country.

According to a survey conducted in Israel in 2023, nearly 13 percent of people aged 35-44 reported being victimized by cybercrime. This age group had the highest share of cybercrime incidents victims among all age groups. On the other hand, cybercrime victimization among people aged 65 or older stood at a lower percentage of 5.2.

Cyber crime costs in Spain reached an estimated 49.42 billion U.S. dollars as of 2023. Between 2017 and 2023, this figure has seen a significant increase of over 40 billion U.S. dollars. According to the latest estimates, this dynamic will continue in upcoming years, reaching approximately 137.7 billion U.S. dollars in cyber crime costs by 2028.

Cybercrime and Security Market Outlook

The global cybercrime and security market size was valued at USD 152.71 billion in 2023 and is projected to reach USD 352.69 billion by 2032, growing at a compound annual growth rate (CAGR) of 9.5% during the forecast period. This impressive growth can be attributed to the increasing frequency and sophistication of cyber-attacks, compelling organizations to invest heavily in robust security measures.

The demand for advanced cybersecurity solutions is being driven by the exponential rise in cyber threats, such as ransomware, phishing, and denial-of-service (DoS) attacks. These threats pose significant risks to both enterprises and individuals, leading to substantial financial losses, operational disruptions, and reputational damage. Consequently, businesses across various sectors are prioritizing their cybersecurity strategies and allocating higher budgets to safeguard their digital assets.

Furthermore, the adoption of emerging technologies like the Internet of Things (IoT), artificial intelligence (AI), and cloud computing has expanded the attack surface for cybercriminals. While these technologies offer numerous benefits and efficiencies, they also introduce new vulnerabilities that need to be addressed. As a result, there is a growing need for sophisticated cybersecurity solutions that can preemptively detect and mitigate potential threats in real-time.

The regulatory landscape is also playing a pivotal role in shaping the cybersecurity market. Governments and regulatory bodies worldwide are implementing stringent data protection laws and compliance requirements, such as the General Data Protection Regulation (GDPR) in Europe and the California Consumer Privacy Act (CCPA) in the United States. Organizations must adhere to these regulations to avoid hefty penalties and maintain customer trust, thereby driving the demand for comprehensive cybersecurity solutions and services.

Cognitive Security is emerging as a crucial aspect of the cybersecurity landscape, leveraging artificial intelligence and machine learning to enhance threat detection and response capabilities. By simulating human thought processes in a computerized model, cognitive security systems can analyze large volumes of data to identify potential threats and anomalies. This approach allows for more proactive and adaptive security measures, enabling organizations to stay ahead of increasingly sophisticated cyber threats. As cybercriminals continue to evolve their tactics, cognitive security provides a dynamic defense mechanism that can learn and adapt over time, offering a significant advantage in protecting digital assets.

Regionally, North America dominates the cybercrime and security market due to the presence of leading cybersecurity vendors, a high adoption rate of advanced technologies, and significant investments in cybersecurity by both public and private sectors. Asia Pacific, however, is expected to witness the highest growth rate, driven by the rapid digital transformation in countries like China and India, increasing internet penetration, and a surge in cyber-attacks targeting these regions.

Component Analysis

The cybercrime and security market can be broadly segmented by components into solutions and services. Solutions encompass a range of software and hardware products designed to protect against and mitigate cyber threats. This includes antivirus software, firewalls, intrusion detection systems (IDS), and encryption tools. The solutions segment is expected to hold a significant share of the market due to the increasing need for advanced security tools that can offer comprehensive protection against a wide array of cyber threats.

Within the solutions segment, endpoint security and network security solutions are particularly crucial. Endpoint security focuses on securing individual devices, such as laptops, smartphones, and tablets, which are often the primary targets of cyber-attacks. Network security, on the other hand, aims to protect the integrity, confidentiality, and availability of data as it travels across or within networks. The growing trend of remote work and the proliferation of BYOD (Bring Your Own Device) policies have further underscored the importance of robust endpoint and network security solutions.

The services segment includes managed security services, consulting, and professional services. Managed security services enable organiza

According to Cognitive Market Research, the global Industrial cybersecurity market size will be USD 89241.8 million in 2025. It will expand at a compound annual growth rate (CAGR) of 10.50% from 2025 to 2033.

North America held the major market share for more than 40% of the global revenue with a market size of USD 33019.47 million in 2025 and will grow at a compound annual growth rate (CAGR) of 8.3% from 2025 to 2033.
Europe accounted for a market share of over 30% of the global revenue with a market size of USD 25880.12 million.
APAC held a market share of around 23% of the global revenue with a market size of USD 21418.03 million in 2025 and will grow at a compound annual growth rate (CAGR) of 12.5% from 2025 to 2033.
South America has a market share of more than 5% of the global revenue with a market size of USD 3391.19 million in 2025 and will grow at a compound annual growth rate (CAGR) of 9.5% from 2025 to 2033.
Middle East had a market share of around 2% of the global revenue and was estimated at a market size of USD 3569.67 million in 2025 and will grow at a compound annual growth rate (CAGR) of 9.8% from 2025 to 2033.
Africa had a market share of around 1% of the global revenue and was estimated at a market size of USD 1963.32 million in 2025 and will grow at a compound annual growth rate (CAGR) of 10.2% from 2025 to 2033.
The healthcare sector is expected to have the highest CAGR during the forecast period

Market Dynamics of Industrial Cybersecurity Market

Key Drivers for Industrial Cybersecurity Market

The surge in cybercrime cases propels the growth of the industrial cybersecurity market

The increase in the number of cybercrime cases is expected to drive future growth in the industrial cybersecurity market. Cybercrime refers to criminal activities that take place on computers, computer networks, or the internet and have serious consequences, such as financial losses, reputational damage, and legal penalties for criminals. Industrial cybersecurity is used to protect critical infrastructure and manufacturing operations from a variety of cybercrimes. It entails implementing strong security measures, threat detection systems, and incident response strategies to reduce the risks posed by cyber threats. According to the Australian Cybersecurity Centre, an Australian cybersecurity agency, cybercrime reports received in 2022 totaled 76,000, up 13% from the previous year. As a result, the rise in cybercrime cases propels the industrial cybersecurity market forward

https://www.exportfinance.gov.au/resources/world-risk-developments/2023/march/australia-small-businesses-vulnerable-to-rising-cybercrime/

Rising demand for industrial cybersecurity solutions drives market growth and job opportunities

The growing demand for industrial cybersecurity solutions and services is expected to propel the industrial cybersecurity market. Industrial cybersecurity solutions and services are a collection of technologies and services designed to secure every industrial layer while ensuring the operational consistency and continuity of industrial processes. The demand for industrial cybersecurity solutions across industries is increasing, as is the demand for advanced solutions such as firewalls, antivirus, and intrusion detection systems, which will propel the industrial cybersecurity market forward. For instance, the Bureau of Labor Statistics, a government agency based in the United States, predicts that demand for information security analysts will increase by 28% in 2022, creating 2.8k new jobs. Globally, industrial cybersecurity is expected to generate 3.5 million jobs by 2025. As a result, increasing demand for industrial cybersecurity solutions and services is propelling the market forward

Restraint Factor for the Industrial cybersecurity Market

Complexity of Securing Converged IT and OT Networks Limit Market Growth

One of the primary challenges in the Industrial Cybersecurity Market is the complexities of securing converged IT and OT networks. Traditionally, IT and OT systems operated independently, with separate security measures applied to each domain. However, as industries increasingly integrate IT and OT systems to improve operations, ensuring strong security across both environments becomes significantly more difficult. Traditional IT security solutions typically do not address OT systems' unique requirements, such as real-time performance and the need for l...

A survey conducted in the United Kingdom (UK) between September 2023 and January 2024 revealed that the average long-term cost of the most disruptive breaches for medium and large businesses amounted to 3,550 British pounds. The survey was conducted among UK businesses that identified their most disruptive breach or attack in the last 12 months. In the case of micro and small businesses, the average long-term cost of the most significant breach or attack was 90 British pounds.

In 2023, the largest median cost of all cyber attacks to European firms was for The United Kingdom who sufferd a cost of 24.2 thousands of dollars for being attacked.

According to Cognitive Market Research, The Global Managed Security Services market size was USD 31.52 billion in 2023 and is expected to grow at a compound annual growth rate (CAGR) of 12.80% from 2023 to 2030. Market Dynamics of Managed Security Services Market

Key Drivers of Managed Security Services Market

Intensification of Cybercrime Activities to Provide Viable Market Output

Globally, cybercrime has been on the rise. Businesses still rely on outdated data protection methods despite the rising sophistication of attacks and the intricate nature of the IT network. Bring-Your-Own-Device (BYOD), mobile phones, social networking sites, and cloud-based service usage, among other technological advances and practices, have considerably exacerbated the difficulty of maintaining data security. These days, more and more well-funded, capable, coordinated, and motivated organizations are driving organized cybercriminal operations.

Observation of Industry Standards and Security Laws to Propel Market Growth

Compliance with security laws and industry standards significantly influences the adoption of security management services. Businesses in all industries must comply with strict privacy and data protection laws, which force them to put in place reliable security measures and protect sensitive data. Managed security service providers (MSSPs) are essential in guiding organizations through complicated compliance environments and ensuring that legal obligations are followed.

Cloud Adoption: Hybrid and multi-cloud environments require advanced monitoring and compliance solutions, driving MSS adoption.

Regulatory Compliance: Stringent data protection regulations (GDPR, CCPA, HIPAA, PCI-DSS) are encouraging enterprises to invest in third-party security monitoring and governance solutions.

Cost Efficiency & Skills Gap: Outsourcing security functions to MSSPs helps organizations reduce operational costs while addressing the global shortage of skilled cybersecurity professionals.

Restraints of Managed Security Services Market

Organizational Unawareness of Managed Security Services to Hinder Market Growth

The lack of understanding about managed security services in small organizations might significantly impede the market's growth. Many businesses are unaware of the significance of cybersecurity and the possible risks that cyber threats represent to their operations. As a result, they may underestimate the benefit of outsourcing their safety requirements to a third-party supplier, limiting the market's growth possibilities.

Organizations may be unaware of the most recent technological advances and best practices and may lack the resources or skills to manage their security demands successfully. They can benefit from the experience of cybersecurity specialists and the newest security technologies by exporting their safety concerns to a managed security services provider. This can help them enhance their security posture and decrease the risk of cyber threats.

(Source:https://www.paloaltonetworks.com/cyberpedia/what-is-managed-detection-and-response)

Challenges in Managed Security Services Market

Integration Complexity: Businesses often face challenges integrating MSS solutions with legacy systems and existing security infrastructure.

Data Privacy Concerns: Sharing sensitive data with external MSSPs raises compliance and privacy risks.

Premium Pricing: High costs of advanced MSS packages, especially AI-powered services, can deter small and medium-sized enterprises (SMEs).

Despite these challenges, AI-driven security analytics, predictive threat modeling, and SOAR (Security Orchestration, Automation, and Response) platforms are enhancing the value proposition of MSS and enabling faster adoption across industries.

(Source:https://www.techtarget.com/searchsecurity/tip/Managed-security-service-providers-Weighing-the-pros-and-cons) Introduction of Managed Security Services Market

The global Managed Security Services (MSS) market is undergoing accelerated growth as enterprises and government organizations face a rising volume and sophistication of cyberattacks, including ransomware, phishing, and advanced persistent threats (APTs). MSS enables companies to outsource complex cybersecurity operations, ranging from 24/7 threat monitoring and vulnerability management to incident response and compliance audits, to specialized service providers with advanced secu...

According to Cognitive Market Research, the global Behavioral Biometrics marketsize is USD 2552.7 million in 2024and will expand at a compound annual growth rate (CAGR) of 24.0%from 2024 to 2031. Market Dynamics of Behavioral BiometricsMarket

Key Drivers for Behavioral BiometricsMarket

Rising digital fraud cases drives the growth of advanced behavioral biometric systems

Cybercrime activities rise every year, and therefore organizations are turning to behavioral biometrics to advance digital security. Behavioral biometrics provide a non-intrusive yet highly effective security layer through the analysis of user behavior, including typing patterns, mouse movement, and device usage. As per the FBI Internet Crime Report 2023, the FBI received 880,418 complaints for cyber-crimes from the public, reflecting a 10 percent rise from 2022. The possible overall loss escalated to USD 12.5 billion in 2023, compared to USD 10.3 billion in 2022, emphasizing the urgency to have strong solutions. https://www.ic3.gov/AnnualReport/Reports/2023_IC3Report.pdf These systems always monitor user activity, delivering real-time fraud detection and lowering the risk in banking and e-commerce, among others. The seamless user experience that these solutions present also inspires people to use it extensively, making them an essential part of future cybersecurity strategies.

Crucial Applications Banking Sectors-

With the rising concern for security breaches and fraud, banks are increasingly adopting behavioral biometrics as a reliable authentication method. Unlike traditional methods such as passwords or PINs, behavioral biometrics utilize unique human traits like typing patterns, mouse movements, and voice characteristics, providing enhanced security and user convenience. In the banking sector, this technology offers multifaceted benefits, including fraud prevention, seamless customer authentication, and improved user experience. Additionally, regulatory mandates for stricter authentication measures further fuel the market's expansion.

Key Restraints for Behavioral Biometrics Market

Increased misuse of behavioral data creates a fear among individuals to limit their adoption

Security enhancement using behavioral biometrics has brought significant concern regarding privacy. The collection and analysis of individual behavior data can lead to abuse or unauthorized access, thus undermining user trust. According to The Identity Theft Research Center (ITRC) Annual Data Breach Report, 2023 recorded a record number of data breaches in the U.S. within a single year. This is 72 percentage points more than the earlier record number of compromises set in 2021. At least 353 million individuals were affected. https://www.idtheftcenter.org/post/2023-annual-data-breach-report-reveals-record-number-of-compromises-72-percent-increase-over-previous-high/#:~:text=According%20to%20the%202023%20Annual%20Data%20Breach,the%20previous%20all%2Dtime%20high%20in%202021%20(1%2C860). Furthermore, compliance with data protection laws like GDPR in the European Union and CCPA in the United States is challenging for market participants. Such regulations call for robust data storage and processing standards, raising the level of operational complexity. Notwithstanding the advances in technology, tackling the issue of data encryption and ethics is critical towards universal acceptance. Informing users on the safety measures implemented and encouraging open data practices are central to surmounting this restriction.

Key Trends in Behavioral Biometrics Market

Enhancing Adoption of Continuous and Passive Authentication

Behavioral biometrics is becoming increasingly popular as a method for continuous, non-intrusive user authentication in digital settings. In contrast to conventional techniques that depend on static identifiers such as passwords or fingerprints, behavioral biometrics examines patterns including typing rhythm, mouse movements, touchscreen interactions, and navigation habits to authenticate identity in real-time. Financial institutions, e-commerce sites, and enterprise security systems are implementing this technology to identify anomalies and avert account takeovers or fraud—even post initial login. This movement is fueled by the demand for seamless security solutions that harmonize user experience with robust protection, especially in a time of rising digital transactions and remote work.

Integration with AI...

According to Cognitive Market Research, the global Managed Detection and Response (MDR) market size will be USD 4362.1 million in 2025. It will expand at a compound annual growth rate (CAGR) of 24.30% from 2025 to 2033.

North America held the major market share for more than 40% of the global revenue with a market size of USD 1613.98 million in 2025 and will grow at a compound annual growth rate (CAGR) of 22.1% from 2025 to 2033.
Europe accounted for a market share of over 30% of the global revenue with a market size of USD 1265.01 million.
APAC held a market share of around 23% of the global revenue with a market size of USD 1046.90 million in 2025 and will grow at a compound annual growth rate (CAGR) of 26.3% from 2025 to 2033.
South America has a market share of more than 5% of the global revenue with a market size of USD 165.76 million in 2025 and will grow at a compound annual growth rate (CAGR) of 23.3% from 2025 to 2033.
Middle East had a market share of around 2% of the global revenue and was estimated at a market size of USD 174.48 million in 2025 and will grow at a compound annual growth rate (CAGR) of 95.97 from 2025 to 2033.
Africa had a market share of around 1% of the global revenue and was estimated at a market size of USD 106.95 million in 2025 and will grow at a compound annual growth rate (CAGR) of 24.0% from 2025 to 2033.
IT & Telecom category is the fastest growing segment of the Managed Detection and Response (MDR) industry

Market Dynamics of Managed Detection and Response (MDR) Market

Key Drivers for Managed Detection and Response (MDR) Market

Rising Cybersecurity Concerns Propel Growth In The Managed Detection And Response Market

Growing concerns about cyber-attacks and threats to enterprises are expected to drive future growth in the managed detection and response market. A cyber-attack is an attempt to gain unauthorized access to a computer system or network in order to cause damage. Managed detection and response are cyber security systems that detect malicious network activity and malware invasions and allow for rapid incident response to eliminate those threats. For instance, in September 2023, AAG, a provider of IT support services, reported that 39% of UK businesses had experienced a cyber-attack in 2022. Furthermore, in the first half of 2022, cybercrime affected 53.35 million Americans. As a result, growing concerns about cyber-attacks and threats to enterprises are driving the growth of the managed detection and response market

https://aag-it.com/the-latest-cyber-crime-statistics/

Remote Work Surge Fuels Growth In The Managed Detection And Response Market

The increased use of remote work is expected to drive future growth in the managed detection and response market. Remote work, also known as telecommuting or telework, is a work arrangement in which employees or workers carry out their job duties and responsibilities from a location other than the traditional workplace, usually from their homes or other remote locations. The widespread adoption of remote work creates a dynamic and challenging cybersecurity environment, and managed detection and response services play an important role in addressing these changes by providing comprehensive and adaptive security solutions to protect organizations in this era of remote work. For instance, in September 2022, according to a report published by the United States Census Bureau, a US-based government agency, nearly half of the workforce in the District of Columbia, 495.97, worked remotely, the highest percentage of home-based workers among states and state equivalents in 2021. Furthermore, the states with the highest proportions of remote workers were Washington (24.2%), Maryland (24.0%), Colorado (23.7%), and Massachusetts. As a result, the managed detection and response market is expanding as more people work remotely

Restraint Factor for the Managed Detection and Response (MDR) Market

High implementation and operational costs Limit Market Growth

The high operational and implementation costs severely limit the Managed Detection and Response (MDR) market's growth potential. MDR services require significant initial investments in infrastructure, software, and integration with existing security systems. Personnel, training, and ongoing monitoring are all examples of repeated operational expenses, which can be costly for small businesses or those with limited budgets. Such high...

In 2024, the monetary damage caused by cybercrime reported to the United States' Internet Crime Complaint Center (IC3) saw a year-over-year increase, amounting to a historical peak of **** billion U.S. dollars. Overview of cybercrime in the U.S. Cybercrime continues to be one of the biggest challenges for governments around the world. In the United States, ****************** and ********* were among the most reported categories of cybercrime in 2024, with over ******* individuals falling victim to phishing attacks. Additionally, data breaches cost the U.S. organizations over ************ U.S. dollars on average as of February 2024. Fraud involving elderly Along with other reported internet crimes, online fraud is continuously growing. Targeting one of the most vulnerable groups, the elderly, cybercriminals show notorious skills in ************************************************************. Furthermore, individuals aged 60 and older, reported falling victims of extortion and personal data breach in 2024.

Asia Pacific Self Sovereign Identity market Analysis

Asia Pacific Self Sovereign Identity market size was $317.65 Million in 2024 and it is forecasted to reach $13,218.94 Million by 2030. Self Sovereign Identity Industry's Compound Annual Growth Rate was 85.27% from 2024 to 2031.

Asia Pacific accounts for a significant share of 25.41% in 2023, and growing at a CAGR of 85.27% during the forecast period due to growing awareness about the cybersecurity attacks in Asia Pacific. The awareness among the cybersecurity attacks has increased, as the fintech companies, and other public authorities recorded highest number of cyber-attacks in Asia Pacific region. According to the World Economic Forum, the cost of cybercrime has increased from USD 8.4 trillion in 2022 to USD 23 Trillion till 2027. The rising spending on cybercrime attacks, have disrupted the financial sector in Asia resulting in loss to financial institutions. Thus, the rising cyberattacks, boosts the demand for self-sovereign identity solutions in Asia Pacific. The manufacturer presence in this region, focuses on investment on SSI technologies to prevent the cyber-attacks and raise awareness among the customers. The expansion of SSI technologies and investment by the manufacturer, results in surge in awareness about the cyber-attacks. In December, 2021, the Avast acquired self-sovereign identity firms, and invested its resources to expand the decentralized digital identities. The rising investment by the manufacturer on SSI technologies and increasing cyber-attacks, boosts the awareness about usage of self-sovereign identity solutions, which boosts the market growth in Asia Pacific Market Dynamics of the Self-Sovereign Identity Market

Market Driver of the Self-Sovereign Identity Market

Growing need for secure and efficient identity verification process significantly drives the self-sovereign identity market growth

The rising number of services and transactions are being conducted online owing to digital transformation, which has completely changed the way organizations run. But this change has also made safe and effective identification verification procedures even more crucial. Conventional identity verification techniques, including using usernames and passwords, are frequently subject to fraud and security breaches, posing serious hazards to both people and businesses. For instance, As of January 2024, the Bharat Interface for Money (BHIM) Unified Payments Interface (UPI) emerged as the predominant mode of digital payments in India, accounting for approximately 81 billion transactions. Following closely behind was PPI with approximately four billion transactions. Throughout the financial year 2023, UPI dominated the majority of transactions across various sectors including online retail, food delivery, mobility, and e-health.

Through the use of decentralized technologies like blockchain, SSI solutions allow people to keep ownership and control over their identity data. With the help of SSI, people can safely keep their identification credentials on their own devices or in reliable repositories, negating the need for centralized authority to validate identity. Users can choose which identification qualities to reveal when dealing with online services or transactions, all while avoiding disclosing unnecessary personal information. For example, consider a scenario where an individual wants to open a bank account online. With traditional identity verification methods, the individual might be required to provide a plethora of personal information, including their full name, address, social security number, and more. This not only increases the risk of identity theft but also creates friction in the user experience. For instance, in February 2022, Microsoft has announced the successful migration of Dubai-based e-commerce business, noon payments, to Azure. The move aims to enhance performance and availability while accelerating DevOps practices and improving cost-efficiency for the organization.

However, with SSI, the person can safely authenticate themselves with their credentials for a digital identity. They can choose which details to give and only divulge the information that is required, such their age to confirm their eligibility for specific financial services. By sharing less information and streamlining the verification process, this optimized procedure improves security without sacrificing user experience...