In 2022, the identity as a service (IDaaS) market was valued at over 5.77 billion U.S. dollars. By 2030, the market size is expected to exceed 25 billion U.S. dollars.

From 2025 to 2035, the Identity-as-a-Service (IDaaS) market is likely to show impressive growth due to cloud-based identity security needs, strict regulatory compliance, and zero-trust architectures gaining favor. It is forecast to grow from USD 16.15 billion in 2025 to USD 229.56 billion by 2035, an annual compound growth rate (AAGR) of 30.4%.

Metrics	Value
Industry Size (2025E)	USD 16.15 billion
Industry Value (2035F)	USD 229.56 billion
CAGR (2025 to 2035)	30.4%

Contract & Deals Analysis – Identity as a Service (IDaaS) Market

Company	Contract Value (USD Mn)
Okta, Inc.	Approximately 110 - 120
Microsoft Azure Active Directory (Entra ID)	Approximately 100 - 110
Ping Identity	Approximately 90 - 100
IBM Security Verify	Approximately 80 - 9

Country-wise Outlook

Country	CAGR (2025 to 2035)
United States	10.8%

Country	CAGR (2025 to 2035)
China	11.2%

Country	CAGR (2025-2035)
Germany	9.9%

Country	CAGR (2025-2035)
Japan	10.2%

Country	CAGR (2025-2035)
India	11.5%

Country	CAGR (2025-2035)
Australia	10.1%

Competitive Outlook

Company Name	Estimated Market Share (%)
Microsoft Azure AD	20-25%
Okta Inc.	15-20%
IBM Security Verify	10-15%
Google Cloud Identity	8-12%
Ping Identity	5-10%
ForgeRock	4-8%
Other Companies (combined)	30-38%

Identity As A Service Market size was valued at USD 3.01 Billion in 2024 and is projected to reach USD 6.94 Billion by 2031, growing at a CAGR of 20.13% during the forecast period 2024-2031.

Global Identity As A Service Market Drivers

Increased Cyber Threats: The rising frequency and sophistication of cyberattacks have increased the need for robust identity management solutions to protect sensitive data.
Regulatory Compliance: Organizations must comply with various data privacy regulations, such as GDPR and CCPA, which require strong identity and access management controls.
Remote Work and Cloud Adoption: The growing trend of remote work and cloud computing has increased the need for secure and scalable identity management solutions.

Global Identity As A Service Market Restraints

Security Concerns: Ensuring data security and preventing unauthorized access is a critical concern for organizations using IDaaS solutions.
Integration Challenges: Integrating IDaaS solutions with existing IT infrastructure and systems can be complex and time-consuming.
Vendor Lock-in: Relying on a single IDaaS provider can create vendor lock-in, limiting flexibility and increasing costs.

The market size of the Identity As A Service IDaaS Market is categorized based on Type (Public Cloud, Private Cloud, Hybird Cloud) and Application (BFSI, IT and Telecom, Public Service, Manufacturing, Healthcare, Education, Others) and geographical regions (North America, Europe, Asia-Pacific, South America, and Middle-East and Africa).

This report provides insights into the market size and forecasts the value of the market, expressed in USD million, across these defined segments.

Get detailed insights into the current valuation of Identity as a Service market size, including growth analysis, current market status and future market projections.

The Report Covers Global Identity as a Service Market Analysis & Companies and it is Segmented by Component (Provisioning, Single Sign-on, and Advanced Authentication), Deployment (Public Cloud, Private Cloud, and Hybrid Cloud), Organization Size (Small to Mid-Size Enterprise, Large Enterprise), End-user Vertical (Telecom & IT, BFSI, Public Sector, Healthcare, Energy & Utilities, and Others), and Geography.

Identity and Access Management-as-a-service(IDaaS) Market size was valued at USD 8.7 Billion in 2023 and is projected to reach USD 27.6 Billion by 2030, growing at a CAGR of 25 % during the forecast period 2024-2030.

Global Identity and Access Management-as-a-service(IDaaS) Market Drivers

The market drivers for the Identity and Access Management-as-a-service(IDaaS) Market can be influenced by various factors. These may include:

Growing Need for Cloud Services: The need for IDaaS solutions is being driven by the growing industry use of cloud-based solutions.

Increasing Cybersecurity Concerns: Businesses are being pushed to invest in strong identity and access management systems due to heightened awareness of cybersecurity dangers and data breaches.
Regulatory Compliance Requirements: In order to maintain compliance, IDaaS solutions are being used in response to strict data protection laws including GDPR, HIPAA, and CCPA.
Trend in Remote Workforce: The move to mobile and remote workforce models increases the need for IDaaS by requiring secure and seamless access management.

Identity as a Service Market is expected to grow at a high CAGR during the forecast period 2024-2031 | DataM Intelligence

The size and share of the market is categorized based on Type (Cloud Based, On Promise) and Application (BFSI, IT & Telecom, Public, Manufacturing, Healthcare, Education, Others) and geographical regions (North America, Europe, Asia-Pacific, South America, and Middle-East and Africa).

Explore the Identity As A Service Global Market Report 2025 Market trends! Covers key players, growth rate 24.6% CAGR, market size $20.46 Billion, and forecasts to 2033. Get insights now!

The size and share of the market is categorized based on Type (Type I, Type II) and Application (BFSI, Healthcare, Telecom) and geographical regions (North America, Europe, Asia-Pacific, South America, and Middle-East and Africa).

The global demand for IDaaS Market is presumed to reach the market size of nearly USD 2,500.41 BN by 2030 from USD 5,951.58 BN in 2022 with a CAGR of 9.18% under the study period 2023 - 2030.

IDaaS stands for Identity-as-a-Service. It refers to a cloud-based service that provides identity and access management (IAM) solutions to organizations. IDaaS solutions allow organizations to manage, secur

The Identity as a Service Market size was valued at USD 3.70 billion in 2023 and is projected to reach USD 14.88 billion by 2032, exhibiting a CAGR of 22.0 % during the forecasts period. Identity as a Service (IDaaS) is a cloud-based solution that provides identity management services to organizations. It enables secure authentication, authorization, and user management, streamlining access to applications and systems. By outsourcing identity management, businesses can reduce the complexity of maintaining on-premises infrastructure, enhance security through advanced features like multi-factor authentication, and improve the user experience with single sign-on (SSO). IDaaS solutions also support regulatory compliance by ensuring data privacy and protection. This model is particularly beneficial for organizations embracing digital transformation, as it offers scalability, flexibility, and integration with various cloud services and applications, enhancing overall operational efficiency.

Market Size and Growth: The global Identity-as-a-Service (IDaaS) market was valued at USD 6364.8 million in 2025 and is projected to reach USD 21,245.3 million by 2033, exhibiting a CAGR of 19.2% during the forecast period. The market's growth is driven by increasing cyber threats, stringent data protection regulations, and the adoption of cloud services and mobile devices. Market Segments and Trends: The IDaaS market is segmented based on type (cloud-based, on-premise) and application (BFSI, IT & Telecom, Public, Manufacturing, Healthcare, etc.). Cloud-based IDaaS solutions hold a dominant market share due to their scalability, cost-effectiveness, and ease of deployment. Key market trends include the adoption of multi-factor authentication, integration with artificial intelligence (AI) and machine learning (ML) for fraud detection, and the emergence of decentralized identity management solutions.

The Europe Identity-as-a-Service (IDaaS) market size reached around USD 891.40 Million in 2024. The market is projected to grow at a CAGR of 17.60% between 2025 and 2034 to reach nearly USD 4509.68 Million by 2034. The market growth can be attributed to the rising threats posed by cyberattacks and the emergence of multi-factor authentication systems ensuring 360-degree protection for organisations.

The Identity as a Service (IDaaS) market is poised for significant growth in the coming years, driven by increasing awareness of cybersecurity threats and the need for secure and efficient identity management solutions. The global IDaaS market size was valued at $6071 million in 2025 and is projected to reach $19,260 million by 2033, exhibiting a CAGR of 19.2% during the forecast period. This growth is attributed to the rising adoption of cloud computing, the proliferation of mobile devices, and the increasing popularity of remote work. Key market trends include the increasing demand for multi-factor authentication (MFA), the growing adoption of biometrics, and the emergence of passwordless authentication. The market is also witnessing the consolidation of vendors, with larger players acquiring smaller companies to expand their product portfolios. The competitive landscape is expected to remain intense, with major players such as Okta, Microsoft, Ping Identity, ForgeRock, OneLogin, and IBM vying for market share. Regional analysis shows that North America and Europe are the dominant markets, followed by Asia Pacific. However, emerging economies in Asia Pacific and Latin America are expected to offer significant growth opportunities in the coming years.

Die Marktgröße des Marktes für Idaas identityaSaService wird basierend auf Typ (Cloud basiert auf Versprechen) und Anwendung (BFSI, IT & Telecom, Öffentlichkeit, Fertigung, Gesundheitswesen, Bildung, andere Regionen) und geografische Regionen (Nordamerika, Europa, Asien-Pazifik, Südamerika und Middle Easts und Afrika). Millionen, über diese definierten Segmente.

The market size of the Identity Management And Authentication Software Market is categorized based on Application (Enterprises, Government Agencies, Financial Institutions, Healthcare Organizations) and Product (Single Sign-On (SSO), Identity Governance and Administration (IGA), Privileged Access Management (PAM), Identity as a Service (IDaaS)) and geographical regions (North America, Europe, Asia-Pacific, South America, and Middle-East and Afrika).

Dieser Bericht enthält Einblicke in die Marktgröße und prognostiziert den Wert des Marktes, der in Mio. USD in diesen definierten Segmenten ausgedrückt wird.

Identity as a Service market will be growing at a CAGR of 24.7% during 2025 to 2033.

The global Identity and Access Management-as-a-Service (IDaaS) market is experiencing robust growth, driven by the increasing adoption of cloud computing, the rise of remote work, and the escalating need for enhanced cybersecurity. The market's expansion is fueled by organizations' desire to simplify identity and access management (IAM) processes, improve operational efficiency, and strengthen their security posture against increasingly sophisticated cyber threats. This shift towards cloud-based IAM solutions offers scalability, cost-effectiveness, and improved accessibility compared to traditional on-premise systems. Key players like CA Technologies, IBM, Microsoft, Ping Identity, and Salesforce.com are actively shaping the market landscape through continuous innovation and strategic acquisitions. The market is segmented by type (e.g., single sign-on, multi-factor authentication, privileged access management) and application (e.g., enterprise, government, healthcare), reflecting the diverse needs of various industry verticals. Growth is particularly strong in regions with advanced digital infrastructure and a high concentration of technology-driven businesses, such as North America and Europe. However, challenges remain, including concerns around data privacy, integration complexities, and the potential for vendor lock-in. Despite these hurdles, the long-term outlook for the IDaaS market remains highly positive, with a projected sustained Compound Annual Growth Rate (CAGR) indicating substantial market expansion over the coming years. The market's evolution is expected to be characterized by increasing sophistication in authentication methods, a stronger emphasis on zero trust security models, and greater integration with other security and productivity tools. The forecast period (2025-2033) suggests continued market expansion, driven by factors such as the increasing adoption of cloud-native applications, the expanding attack surface resulting from the rise of IoT devices, and the growing regulatory pressure to comply with data protection standards. Further segmentation analysis across regions like North America (United States, Canada, Mexico), Europe (United Kingdom, Germany, France, and others), Asia-Pacific (China, India, Japan, and others), and the Middle East and Africa will reveal nuanced growth patterns reflecting regional adoption rates and technological maturity. The competitive landscape will remain dynamic, with established players and innovative startups vying for market share. Strategic partnerships, mergers and acquisitions, and technological advancements will continue to influence the trajectory of the IDaaS market, solidifying its role as a critical component of modern cybersecurity infrastructure.