Password Management Market Size

Password Manager Market Analysis

Password Management Market was valued at USD 1.74 billion in the previous year and is expected to register a CAGR of 28.52%, reaching USD 7.32 billion by the next five years. One of the main factors driving market growth is the growing usage of password management solutions by small and medium-sized businesses.

• Password management is the process of protecting and controlling passwords during their entire life cycle, from creation to termination, by following a set of ethical standards. This is accomplished with the aid of password managers, which use internal encrypted vaults to hold privileged credentials. Secure password management solutions are becoming more and more necessary as there are more and more digital devices and applications being used, especially by SMEs, MNCs, and government agencies.
• Password Management Solutions focuses on offering services for safely maintaining, retrieving, and saving digital passwords. These solutions use strong security standards and encryption approaches to reduce the danger of cyberattacks like hacking and data breaches. The demand for password management solutions has increased dramatically with the proliferation of digital devices and applications.
• The usage of password management is not just limited to businesses; individual users can also benefit from it as a security solution for their devices and accounts. Additionally, end users frequently utilize it to audit, safeguard, oversee, and manage the operations related to privileged accounts. As cyberattacks appear to become more common and damaging, individuals and companies must protect their data.
• The 2022 Hacker-Powered Security Report states that worldwide, cyberattacks increased by 38% in 2022 over 2021. Due to the rising adoption of cloud-based solutions and services to run corporate operations, cybercriminals have taken advantage of an enlarged attack surface, and ethical hackers discovered over 65,000 vulnerabilities in 2022, a 21% increase from 2021. The market is anticipated to benefit from the rising danger of data theft in crucial industries like healthcare, the public sector, and BFSI.
• Additionally, 82% of security breaches involve human aspects, such as social attacks, mistakes, and misuse, according to the Verizon 2022 Data Breach Investigation Report. To combat these assaults, businesses should concentrate on coming up with a sensible strategy for privileged password storage, protection, management, and monitoring.
• The adoption of such solutions and the market's growth are being hampered by the shortcomings in password management software. Due to the existence of many IDs and passwords handled by applications, which further increases the sensitivity of the data, a security breach from the standpoint of the password manager is anticipated to be catastrophic compared to a single entity leak. Moreover, Password management solution security flaws can harm the market's growth and the reputation of the sector.
• Since the COVID-19 outbreak, there have been a significant increase in cyberattacks that have had a negative impact on people, companies, and organizations. Due to remote working practices, a lack of knowledge about the outbreak's spread, and increased public anxiety, hackers used numerous cyberattack techniques in an effort to make money. Some impacted businesses are spending money to upgrade their outdated data and password management systems. It is anticipated that the threat of cyberattacks would continue longer than the COVID-19 epidemic.