The authentication basically includes a security token and a password in the form of mobile application, voice, text message, biometrics, or push notification among others.
In the past years, there has been a prominent increase in the number of data breaches or incidents of data theft, which has increased the demand for multi-factor authentication technology.
The rising need for protecting any individual’s information is the primary factor anticipated to propel the growth of the multi-factor authentication market in the coming years. Thus the multi-factor authentication helps the user to increase control and awareness of the environment.At this moment, cloud service providers are playing a significant part.
With the continuous advancements in technology and cloud security, more and more enterprises are going in for cloud services, be it cloud storage or SaaS (software-as-a-service).
For multi-factor authentication software and solution vendors, cloud service providers create new opportunities in terms of providing cost-effective solutions to users.
Cloud service providers can also assist multi-factor authentication solution vendors to expand their business in multiple geographies without expanding their physical distribution channel.
Impact of COVID-19 Pandemic Outbreak on Multi-Factor Authentication Market
Due to the pandemic COVID-19 most of the countries are following the state of lockdown, and all the organisations are either temporarily closed or the employees are working from their remote places.
In such situation, the multi-factor authentication of active directory can become a significant challenge for any business. In addition the employees can face problems of gaining access to tools, applications and documents. Thus the need arises to allow particular working groups in active directory to access files, and allow it’s sharing with co-workers in a secure environment to keep the data safe.
As most of the organisations rely on remote connectivity, it is essential for them to enforce authentication process for all remote users, which will drive the growth of the multi-factor authentication market in such pandemic outbreak.
Thus the market is anticipated to grow by nearly 4-5% in Q2 and Q3 of 2020.Also, in response to the COVID-19 pandemic, service providers are taking special measures to fulfill the user’s demand for cloud usage, due to sudden shift to a remote workforce.
Amid global lockdowns due to COVID-19 outbreak the increasing work-from-home scenario, would drive the market for SaaS-based authentication solution by 1.4X during Q2-Q4 2020.
Multi-Factor Authentication Market: Drivers and Restraints
Increasing Security Threats to Boost Growth of the Multi-Factor Authentication Market
The scale and frequency of data breaches are increasing all over the world. As a result, taking measures for breach prevention is becoming a high priority for IT department and security teams.
The multi-factor authentication solutions come with security features particularly for active directory identities, owing to which these solutions serve as good prospects for decreasing the risks of data breaches. Hence, the demand of multi-factor authentication solutions is anticipated to increase during the forecast period.
In addition, there have been strict privacy regulations that vary by region, industry, company, and even from person-to-person. Meeting organization’s privacy regulations has been a difficult task for companies.
Multi-factor authentication solutions have many capabilities such as providing the centralized data access governance policies that help ensure the compliance of regional data storage, data sharing consent, and other privacy mandates.
Configurable Password Strength Issue Hampering Growth of the Market
The applications today are built with a level of password security that matches the current needs and issues.
With the evolving nature of technology, the threats and exploits have also evolved, and applications are not able to keep up with the changes, the password strength, and schemes in multi-factor authentication market, as most of the applications are not flexible to security concerns that should configure password strengths to a level that works in the current scenario, and adjusts the security features for the coming concerns with least requirement of extra code.
Multi-Factor Authentication Market: Competition Landscape
Examples of some of the market participants in the global multi-factor authentication market identified across the value chain include
- Vasco Data Security International, Inc.
- Safran SA
- NEC Corporation
- RSA Security LLC
- Fujitsu Ltd.
- HID Global Corporation
- Gemalto (Thales Group)
Following are some key strategies and developments in the global multi-factor authentication market:
- For instance, in April 2019, Google launched a security solution 2SV with a two-step verification process. This solution provides the users an option to activate a phone’s built-in security key in the chrome browser of Android-powered smartphones.
Multi-Factor Authentication Market: Regional Outlook
Advancements in enterprise management systems have revolutionised several industry verticals in various developed and developing regions. To keep up with the growing demand from the South Asia, East Asia & Middle East & Africa regions, several technology providers have started investing heavily in these regions.
The report suggests that established and growing multi-factor authentication solutions providers should focus on expanding their businesses across the untapped market to increase share in the global market.
In addition, several technological changes are taking place in the manufacturing industries in these regions. Hence, Asia Pacific and Middle East & Africa are creating new business models for multi-factor authentication solutions providers.
The multi-factor authentication market report is a compilation of first-hand information, qualitative and quantitative assessment by industry analysts, and inputs from industry experts and industry participants across the value chain.
The report provides in-depth analysis of parent market trends, macro-economic indicators, and governing factors, along with market attractiveness as per segment. The market report also maps the qualitative impact of various market factors on market segments and geographies.
The report covers exhaustive analysis on:
- Multi-Factor Authentication Market Segments
- Multi-Factor Authentication Market Dynamics
- Multi-Factor Authentication Market Size
- Supply & Demand
- Current Trends/Issues/Challenges
- Competition & Companies Involved in the Market
- Technology Landscape
- Value Chain of the Market
- Market Drivers and Restraints
Regional analysis includes:
- North America (U.S., Canada)
- Latin America (Mexico, Brazil, Rest of Latin America)
- Europe (Germany, Italy, U.K, Spain, France, Nordic countries, BENELUX, Russia, Rest of Europe)
- East Asia (China, Japan, South Korea)
- South Asia and Pacific (India, Malaysia, Indonesia, Singapore, Australia & New Zealand, Rest of South Asia and Pacific)
- Middle East and Africa (GCC Countries, Turkey, Northern Africa, South Africa, Rest of MEA)
- Detailed overview of parent Multi-Factor Authentication market
- Changing Multi-Factor Authentication market dynamics in the industry
- In-depth market segmentation
- Historical, current, and projected market size in terms of value
- Recent industry trends and developments
- Competitive landscape of Multi-Factor AuthenticationMarket
- Strategies of key players and products offered
- Potential and niche segments, geographical regions exhibiting promising growth
- A neutral perspective on market performance
- Must-have information for market players to sustain and enhance their market footprint
Multi-Factor Authentication Market Segmentation
The multi-factor authentication market can be segmented on the basis of model, application and region.
- Two-factor authentication
- Three-factor authentication
- Four-factor authentication
- Five-factor authentication
- Government & Defense
- Energy and Utilities
- Telecom and IT
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