Lawful Interception Market Overview:
Global Lawful Interception Market is expected to garner $3.3 billion by 2022, registering a CAGR of 23.3% during the forecast period 2016 - 2022. The Global Lawful Interception (LI) market is a security process in which a service provider or network operator collects and provides intercepted communications of individuals or organizations to law enforcement agencies. LI is used by law enforcement agencies (LEAs), regulatory or administrative agencies, and intelligence services to prevent crime, including fraud and terrorism.
Recent developments in data-based communications have unveiled new channels for lawful interception. The expansion in networks and increased telecommunication activities promote lawful interception activities. Moreover, security threats to various nations, cyber-crimes and increasing concerns of terrorism are the key factors leading to the growth of the lawful interception market size. Prominent market players have adopted product launch, acquisition, partnerships and collaborations as their major developmental strategies to help expand their global reach, strengthen product portfolio, and market foothold. For instance, in September 2014 FireEye launched a threat analytics platform for the Amazon Web Service (AWS) customers to secure the information of customers. Network technology such as Code Division Multiple Access (CDMA), Global System for Mobile Communications (GSM) and General Packet Radio Service (GPRS) are expected to open new avenues of growth for the sector.
Government in various countries have focused on amendments in the existing laws on lawful interception. The selective focus of Law Enforcement Agencies (LEAs) is expected to lead to an upsurge in lawful interception activities. In addition, emerging markets, such as China, India and some African countries, would foster the growth of lawful interception market, owing to rising volumes of data traffic and security threats in these countries.
The global lawful interception industry is segmented based on solutions, network technologies, components, communication technologies, end users and geography. According to the network technology used for lawful interception, mobile voice telephony is the highest revenue generating technology and is projected to lead the market by 2020. Geographically, the global lawful interception market is analysed across North America, Europe, Asia-Pacific and LAMEA. The Asia-Pacific region is projected to be the fastest growing market with an impressive CAGR of 26.0% during 20162022 owing to the evolving network technologies and growing security concerns in the region.
Lawful interception is activated as per valid requests from law enforcement agencies, government departments & organizations, and enterprise users. The operators are notified to perform interception on communication records, but due to limited technical capabilities, they purchase solutions from various stakeholders for the same. On the basis of solution, the market for devices currently generates the largest revenue and is expected to continue its lead. Several companies offering network components have added LI capabilities to their devices. Interception capabilities on devices assist concerned stakeholders. For example, Catalyst 6500 is a network switch used in lawful interception manufactured by Cisco Systems. The switch allows a speed of up to 400 million packets per second and has an effective transmission. Urment Sistemi offers INSIDER solution for telecommunication providers that need to enforce security and control the lawful interception process.
Majorly used components in LI process includes mediation devices, routers, intercept access points (IAP), gateways, switches, handover interface and management server. Mediation devices and handover interfaces are a commonly used point of interception. The mediation devices segment currently generates the largest revenue and would continue to lead the market throughout the analysis period. This segment is expected to grow at a notable CAGR of 19.2% during the forecast period.
The prominent strategies adopted by different companies in the lawful interception market are product launch, agreement and partnership. These strategies have facilitated organizations to expand their product offerings and enhance their market reach. Verint Systems Inc., NICE Systems, Fire Eye, Inc., Cisco, Aqsacom, Incognito Software, Net Optics, Inc., Netscout, Siemens AG, SS8, Utimaco Gmbh, ZTE Corporation, BAE Systems and others, are the key players in this industry and will spur the lawful interception market share across the globe.
Top factors impacting the lawful interception market
The significant factors impacting the lawful interception market include rising data traffic, privacy concerns and cross-boundary rules, among others. Furthermore, the market is driven by the rising number of criminal activities, stringent regulatory enforcements and growth in the number of social media platforms, among others, thereby increasing the lawful interception market size during the forecast period.
Aggrandized data traffic & security threats
Telecommunication networks are presently generating enormous amount of data. This trend is expected to continue in future due to efficient technologies and applications. When data packets travel across the networks, they are susceptible to being altered.
Adherence to cross-boundary rules
Operators providing services across multiple countries need to abide by the regulations framed by the respective government. The interception rules vary on the basis of geographic regions. Hence, adherence to standard guidelines is a key factor affecting the market growth. In future, a larger number of countries would devise rules pertaining to interception; thereby, impacting the market growth.
The privacy concern among communication services subscribers is a significant factor affecting the lawful interception market. Moreover, SLAs have appropriate clauses governing the privacy of users due to rising privacy concerns. These concerns would further aggravate during the forecast period.
- The study provides an in-depth lawful interception market analysis with current and future trends to elucidate the imminent investment pockets in the market
- Current and future trends are outlined to determine the overall attractiveness of the market and single out profitable trends to gain a stronger foothold in the market
- Quantitative analysis of the current market and forecast from 2016 to 2020 is provided to showcase the financial appetency of the market
- Drivers and opportunities are evaluated to highlight the top factors responsible for market growth. Various segments are carefully evaluated to gauge the potential of the market
- Porters Five Forces Model and SWOT analysis of the industry illustrate the potency of the buyers & suppliers participating in the market
Lawful Interception Market Key Segments:
The global lawful interception market is segmented on the basis of solutions, component, network technology, communication technology, end users and geography.
- Mediation Devices
- Intercept Access Point (IAP)
- Handover Interface
- Management Server
By Network Technology
- Voice-Over-Internet Protocol (VoIP)
- Long Term Evolution (LTE)
- Wireless Local Area Network (WLAN)
- Worldwide Interoperability for Microwave Access (WiMAX)
- Digital Subscriber Line (DSL)
- Public Switched Telephone Network (PSTN)
- Integrated Services for Digital Network (ISDN)
- Mobile Voice Telephony
- Mobile Data Communication
By Communication Technology
- Voice Communication
- Text Messaging
- Digital Pictures
- Data downloads
- File Transfer
By End User
- Government (Government Departments & Statutory Bodies, LEAs)
- North America