IAM Security Services Market Size

IAM Security Services Market Analysis

The IAM Security Services Market size is estimated at USD 17.05 billion in 2024, and is expected to reach USD 30.46 billion by 2029, growing at a CAGR of 12.31% during the forecast period (2024-2029).

• Identity and access management (IAM) enables the right people, software, and hardware, as appropriate to job roles and functionality, to have access to the tools required to perform assigned duties without also granting them access to those that are not needed and/or present a security risk to the enterprise. Organizations that utilize IAM can streamline operations by managing identities without requiring individuals to log into applications as administrators.
• Cloud technology is changing how businesses work, driven by cost efficiencies and economies of scale. However, the lack of effective security can undermine the benefits of cloud computing. This marks the fundamental need for security solutions, including security for identity-related crime, driving the IAM market.
• IT operating costs of any organization can be reduced through IAM services because, with IAM services, companies no longer require local IDs for external usage, simplifying application administration. Cloud-based IAM services can decrease the requirement to purchase and maintain on-premises infrastructure, further fuelling market adoption.
• IAM software enables businesses to have entire administration regarding identities and access to internal networks. Businesses can implement reliable password rules and two-step verification. These enable multi-factor authentication (MFA), which keeps enterprises' security up to date and allows the companies to carry out their security strategy, driving the market. In addition, according to the PlainID 2022 State of Access and Authorization report, authorization and authentication have been prioritized in IAM activities.
• The software-as-a-service (SaaS) model initially makes it simpler for customers to access their applications, but complexity quickly rises as more applications are added. Each application has its identity store, unique login URLs, and password requirements. As users struggle to remember, reset, and manage these frequently changing passwords and URLs across their applications, this proliferation of credentials reduces user productivity and increases user annoyance. This is a major market challenge in implementing IAM security services in various end-user industries.
• Due to COVID-19, several businesses offered remote work options and invested significantly more than usual in a virtual private network (VPN. Physical security procedures are common in an office setting, although they are less crucial when working remotely. This means organizations must work more on software-based safeguards, including IAM services. Thus, COVID-19 and the post-pandemic scenario of remote and hybrid working models have accelerated market growth worldwide.