Market Size of Cloud Encryption Software Industry
| Study Period | 2019 - 2029 |
| Market Size (2024) | USD 6.03 Billion |
| Market Size (2029) | USD 27.29 Billion |
| CAGR (2024 - 2029) | 35.23 % |
| Fastest Growing Market | Asia Pacific |
| Largest Market | North America |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Cloud Encryption Software Market Analysis
The Cloud Encryption Software Market size is estimated at USD 6.03 billion in 2024, and is expected to reach USD 27.29 billion by 2029, growing at a CAGR of 35.23% during the forecast period (2024-2029).
The rapid increase of cloud adoption and virtualization and the stringent regulations helping to increase the adoption of cloud encryption solutions are some factors boosting the global market growth.
- Traditionally, it was a lot easier to protect the data. There were security features available in the market for protecting and securing the data. The data came from IT-approved, enterprise-controlled devices and applications and was stored in the servers. It was protected by walling off the outsiders and trusting the insiders.
- But in today's times, there is a drastic change in how things happen. Now, more data than ever is collected from more applications, users, devices, and connected hardware. New business models demand easy access from the outside. Moreover, with the emergence of the cloud, a firm's data may not even be on the inside anymore. Also, the insiders now include third-party cloud providers who are not even part of your organization, which is the primary factor for the adoption of encryption solutions, thus driving the market.
- Cloud encryption is a service offered by cloud storage providers whereby data is transformed using different encryption algorithms and is then placed in a storage cloud. Encryption use has risen sharply in the past few years. It is deployed in a multitude of ways, from encrypting data in databases and file systems to data being transferred over public and internal networks.
- Due to COVID-19, adopting rapid digital transformation strategies has increased the volume of data stored in the cloud, which resulted in other challenges, such as performance, availability, and security, necessitating the use of encryption software solutions and services. Moreover, Organizations were increasingly concentrating on centrally managing different cloud resources during COVID-19. As a result, data security was becoming increasingly important. During the pandemic, the increasing usage of BYOD and regulatory compliances fueled the growth of the encryption software market.
