This identity and access management market analysis is made possible by existing research reports and assessments made by Identity Management Institute based on publicly available information which indicate a fast growth in the Identity and Access Management (IAM) segment of information security.
According to a recent study, IAM market is estimated to grow from about USD $10 Billion in 2019 to over $22 Billion by 2024. The identity and access management segments of the study included access provisioning, single sign-on, advanced authentication, audit, compliance, governance, directory services, and password management. The audit, compliance, and governance segment is expected to grow at the highest rate. The adoption of identity & access management solutions in the Asia-Pacific region is expected to grow at the fastest rate due to the significant growth in the industrial sector as well as rising demand for cloud-based solutions from manufacturing and other verticals.
Major growth drivers of the IAM market include compliance, process inefficiency and errors, increase in hacking incidents and data breach cases which concern global organizations, and, changes in technology, societal, and operating trends.
Below is a list of drivers that fuel the identity and access management growth:
- The identity and access management market growth is primarily driven by the increased demand in security governance, enforcement concerns, distributed systems and workforce, as well as lower quality of security services within organizations. Security policy enforcement challenges arise when systems, people, and access management practices are distributed requiring single sign-on and federated identity management as well as older systems lacking the proper settings to be configured in accordance with the stated security policies and standards.
- Stolen employee access credentials is by far the leading cause of system hacking cases and data breach incidents which will cost businesses about $5 trillion by 2024. In fact, stolen employee password and human error are responsible for around 90% of data breaches according to leading industry and government reports.
- Changes in technology and way of life are forcing organizations to seek identity and access management solutions. Consider the following:
- The Internet of Things (IoT) will make almost every object connected to the Internet and each other including drones, cars, and household devices to name a few.
- Bring Your Own Device (BYOD) policies by many organizations which slowly but increasingly allow users to use their personal devices for work purposes making security and privacy a real challenge. For example, device identification and authentication process must be effective and software installed by companies onto their employees’ personal phones or devices which can track non-business related data such as employee location, texts, photos, and almost everything else must follow policies that are well defined, communicated, and enforced.
- Mobility and remote workforce make authentication and access management a real challenge.
- Rise of cloud computing and storage due to lowered cost of maintaining a dedicated data center and improved system management present a new set of security risks which include reliance on third parties to maintain controls.
- Online file sharing and collaboration for increased efficiency and productivity also present new security and privacy risks.
- Challenges related to on-boarding and off-boarding such as manual and slow processes for access provisioning and inappropriate approvals in decentralized environments in which system owners decide who can access which resources is also driving identity and access management market growth higher. Delayed access to resources results in lost productivity and potentially revenues, and, delayed removal of departed users from systems creates security risks.
- Approving and adjusting user access in accordance with their new job duties as they move across the enterprise is a real challenge to manage in larger organizations. This is another main area where IAM technology can support organizations to manage their security risks. “In the future, more important than technical skills, security professionals must have analytical and critical thinking skills to analyze data reported by security systems” says Henry Bagdasarian. “As the automated IAM systems generate reports and information about system access such as excess user access and privileged accounts, dormant or inactive accounts, system attacks, and active accounts belonging to departed users, security analysts must be able to quickly digest the data, analyze trends, and take swift actions to minimize the risks” he continues.
- The acknowledgement that a single-factor authentication is no longer acceptable in the expanding digital world and stronger authentication mechanisms are needed to improve security such as a multi-factor authentication or biometric authentication is another IAM growth driver.
- Regulatory compliance is another driver of the IAM market growth as many organizations must comply with a variety of regulations which are sometimes overlapping and can make compliance inefficient. Identity and access management solutions help compliance, measurement, and reporting more efficient as IAM solutions can eliminate redundancy and automate assessments, communication, and reporting.
- Fast changing, hostile, and competitive environments often force management to make quick decisions. The deployment of identity and access management solutions allow organizations to quickly identify issues and make decisions for mitigating risks.
Shortage in Cybersecurity Experts
This identity and access management market analysis also considers the global cybersecurity expert shortages and unfilled jobs to be a major risk. Read the full article.
Identity and access management certifications are gaining popularity due to the growing IAM market and risks. Visit the certification page to learn about the IAM technology, governance, operations, and risk management certifications.