As per a market research institution, P&S Intelligence, hardware security modules market was USD 1,250 million in 2022, and it will grow at a rate of 14.7% in the years to come, to touch USD 3,732 million by 2030.
The IoT technology has thrived in this digital world. Sensors and smart devices are collecting huge data volumes and converting it into business insights more quickly, at a lower cost, and with advanced accurateness.
IoT has been converting numerous consumer, government, industrial, and defense applications, with use cases spanning the operations, quality control, supply chain, customer relationship management, inventory management, and HR business functions.
The increase in the necessity for personalization and self-service on services and products is the key factor for the growth in the use of mobile banking applications.
Furthermore, the tech progressions in mobile banking, for example the smart bots employed for personalized instantaneous customer service, and the rise in the use of smartphones power the growth in the count of individuals accessing banking services with the help of mobile applications.
Cloud deployment category will expand at the higher rate, of about 15%, in the years to come. With cloud-based HSMs, industries can produce encryption keys on the cloud rather easily, without the requirement for hosting and upholding on-premises servers.
The further benefits organization are accessible by cloud services are scalability, flexibility, and the suitability of updating systems so that corporations can invest time in their main business strategies.
The USB-based/portable category will grow the fastest, with a rate of around 14.8% in the years to come. These devices are small and portable, consequently can be installed for numerous functions, for example digital signatures, coding and signing, and safe important storage.
Portable HSMs are majorly employed for offline processes, with a physical safe put to use for stowing the module.
The BFSI category will grow the fastest, at a rate of over 15.1%, in the years to come, mainly because of the growing requirement for 3D secure payments, digital banking, and e-wallet payment solutions.
Extensively, hackers have strongly focused on the BFSI industry, with the use of modern methods to steal credit/debit details, bank accounts, tax records, credentials of the users, and data of the insurance, which drives the use of hardware security modules here.
North America hardware security modules market has a considerable share, as a result of the growing acceptance of these devices in telecom, retail, and government, in Canada and the U.S.
The last few years have a stable increase in the acceptance of cloud technologies by businesses. Furthermore, the quick digitalization of business processes and the high usage of internet have therefore increased the data breach risks and supplementary cybercrimes, forcing companies to implement robust cybersecurity solutions.
It is because of the increasing use of online banking and the overall digitization of verticals, the demand for hardware security modules will be on the rise.
