Cloud Identity Access Management (IAM) Market Overview:
Cloud Identity Access Management (IAM) Market is expected to garner $2.8 Billion By 2020, registering a CAGR of 26.2% during the forecast period 2015 - 2020. Identity access management (IAM) is a security framework which ensures secure access to end users across multiple applications. Cloud IAM service provides secure and identity-based access to various industry verticals such as BFSI, IT & telecom, healthcare, media & entertainment, retail, education, and others. Cloud IAM services help various industrial verticals to manage security by permitting employee access with a user provision, multi-factor authentication, access management, directory management and few other services, thereby preventing the misuse of financial and corporate data. Hence, cloud IAM services are being widely adopted by large organizations, SMBs, and government agencies. Other features of cloud IAM such as single sign-on, access management, and other services, are less effective without user provisioning. However, multi-factor authentication would grow rapidly in the years to come owing to increasing demand for strong authentication. Cloud identity access management (IAM) is an approach to revamp the traditional IT security environment by offering IAM solutions over the cloud. At present, integration of IAM with the cloud is gaining pace owing to its low cost and enhanced security. Cloud IAM offers various services such as user provisioning, access management, multi-factor authentication, directory services, single sign-on (SSO), governance & compliance management and password management. Several organizations have adopted cloud IAM to improve customer engagement, acquisition, and retention. A well-designed cloud IAM system helps to prevent data security breach and thereby reduces the possible financial loss due to the same.
The cost-effectiveness of the cloud IAM service compared to the traditional IAM services is one of the major factors driving the adoption of cloud IAM. Enterprises are adopting cloud applications at a large scale owing to the fast dropping rates of bandwidth and storage. It has been estimated that an organization can save more than 35% of the annual cost by adopting cloud IAM services. The accruing costs on organizations due to increasing complexities of cyber-attacks and the costs involved in detection and recovery of losses have expanded the cloud IAM market size across various organizations. In addition, the increasing popularity of Bring Your Own Device (BYOD) and various mobility trends in organizations have augmented the end user device authentication security. Some of the restraints associated with cloud IAM market are security in cloud-based environment, lack of trust in cloud IAM providers and inadequate awareness. Several cloud IAM vendors are aiming at developing more secure IAM solutions at reduced prices; customized according to the specifications of the end consumers.
Therefore, increasing number and complexity of cyber-attacks, BYOD policies adopted by various organizations, increasing adoption of cloud services, centralized security and management and government compliances, are the key factors driving the growth of cloud IAM market. The cloud IAM market is segmented based on deployment type, services, industry verticals, and geography. The services segment is categorized into user provisioning, access management, multi-factor authentication, single sign-on, directory services, password management, and governance & compliance management.
Renowned market players have adopted acquisition as their key strategy to strengthen their technical expertise and to enhance their market foothold. For instance, in 2015, EMC Corporation acquired Virtustream, a cloud computing management software provider, to manage its cloud service business and to enhance its hybrid cloud product portfolio. In 2014, IBM acquired two IAM firms, Lighthouse Security Group and CrossIdeas, to expand and enhance its identity access management (IAM) offerings.
The cloud IAM is segmented based on different industry verticals such as BFSI, IT and telecommunication, healthcare, media & entertainment, retail, education, and others. BFSI, IT & telecom, and retail witnessed highest adoption of cloud IAM services over the forecast period (2015 - 2020). Based on the deployment type, the cloud IAM market is further categorized into private cloud, public cloud, and hybrid cloud. Of the three, private cloud dominated the overall cloud IAM market size owing to the enhanced security risks compared to public cloud and hybrid cloud. The cloud IAM market has been analyzed on the basis of regions, which include North America, Europe, Asia-Pacific, and LAMEA.
Global Cloud Identity Access Management (IAM) Market Share by Service Type, 2014 & 2020
User provisioning is an important service of cloud IAM market owing to its ability to manage different identities across systems, applications, resources as compared to other types of services. However, access management and multi-function authentication markets are expected to grow significantly during the forecast period. The growth of these services is fueled by increasing threat of data theft and increasing cyber-attacks.
Global Cloud Identity Access Management (IAM) Scenario
Identity access management (IAM) is a security framework which ensures secure access to end users across multiple applications. Cloud identity access management (IAM) is an approach to revamp the traditional IT security environment by offering IAM solutions over the cloud. The notable factors affecting the cloud IAM market are government regulations, increasing cyber-attacks, increasing popularity of bring your own device (BYOD) and various mobility trends in organizations have augmented the end user device authentication security.
Top Investment pockets
The graph below represents the potential of various cloud IAM services that are used for protecting sensitive data and managing digital identities access across the enterprises. User provisioning is one of the most prominent cloud IAM services, followed by single sign-on, governance and compliance management.
Top Factors Impacting Global Cloud IAM Market
- Comprehensive analysis of current and future market trends in the global cloud IAM market is outlined in the report
- The report provides an in-depth analysis of cloud IAM market to identify lucrative investment pockets in the market
- The report identifies key drivers, opportunities and restraints that shape the market and provide an impact analysis of these factors over the forecast period
- Porter’s Five Forces analysis highlights the potency of buyers and suppliers participating in the cloud IAM market. This would offer a competitive advantage to stakeholders to make profit-oriented business decisions and help strengthen their supplier and buyer network
Cloud IAM Market Key Segmentation:
The cloud IAM market is segmented on the basis of service, industry vertical, deployment type, and geography.
- User Provisioning
- Access Management
- Multi-Factor Authentication
- Single Sign-on
- Directory Services
- Password Management
- Governance & Compliance Management
By Industry Vertical
- IT & Telecommunication
- Media & Entertainment
- Others (Energy, Oil and Gas, Public Sector and Utilities)
By Deployment Type
- Private Cloud
- Public Cloud
- Hybrid Cloud
- North America