Global Email Encryption Market Overview
The key driver impacting the email encryption market is the strict government reforms for data privacy. there are 46 of the 50 U.S. states, and many countries have laws against data breaches that identify steps that must be taken if sensitive content is exposed in an unauthorized manner. For instance, in 2015, the european parliament agreed to command data protection amongst European Union (EU) countries. also, growing cases of data breaches and mobility provided by handheld devices are estimated to boost market demand in the forecast period. data breaches occur daily, revealing email addresses, credit card numbers, passwords, social security numbers, and other susceptible data. for instance, as per the Identity Theft Resource Center’s (ITRC) End-of-Year data breach report for 2019, the number of U.S. data breaches hit 17% in 2019. data breaches cases in 2019 in the United States reached 1,473, from 1,257 of the previous year. moreover, the increasing demand for cloud-based security solutions for low-cost alternatives is estimated to be a significant factor that positively impacts market growth.
According to Value Market Research, the global email encryption market size was valued at around USD 3500 million in 2020 and is estimated to grow at a CAGR of about 22.5% during the forecast period of 2021 to 2027.
The growing trend in employees using personally-owned smartphones, laptops, tablets, and other personal computing tools to access various corporate applications such as email, databases, CRM systems, and other devices; and to create, manage and store data using these platforms is estimated to augment email encryption demand in the forecast period. however, the high price of email encryption solutions may hamper the global email encryption market in the long run. also, the requirement of key management and verification solutions for encrypting keys negatively impacts market growth. the current industry trends, such as the requirement to shift from conventional encryption tools for advanced data security and the high adoption of multi-cloud services, are expected to provide market players with several market opportunities.
The email encryption market is vast, with many local and global players. the key leaders follow different strategies to improve their market position, such as contracts, mergers, contracts, extending product portfolio, acquisitions, expansions, and product innovations to improve their market share globally. In 2017, Trend Micro extended its business in North America by opening an office in Texas, in the US, which allowed the company to expand its customer base by delivering its offerings in the region. The known players included in the report are Micro Focus, Symantec, Cisco, Trend Micro, Sophos, Proofpoint, BAE Systems, Zix, Entrust Datacard, Mimecast, Egress Software, Intermedia, Virtru, Echoworx, Lux Sci, and Cryptzone.
In this research report, the email encryption market is segmented by component, deployment mode, organization size, industry vertical, and region.
Analysis by Component:
By component, the report is categorized into solution, services, training and education, and support and maintenance. Solution type dominates the type segment with over 55% share in 2020. It is due to the growing adoption of email encryption solutions by the organization for making certain constant compliance as traditional email encryption solutions cannot secure crucial information against developing threats, such as malware, Business Email Compromise (BEC), spams, Trojan, and phishing. Moreover, the rising demand from enterprises to efficiently encrypt their internal and external email communications to protect critical business information and infrastructure contributing to the high demand for email encryption solutions in the forecast period.
Analysis by Deployment Mode:
By deployment model, the report is categorized on-premises and cloud. Cloud segment dominates the deployment mode segment with a maximum market share in 2020. It is because the cloud helps in minimizing overall costs, and they also provide highly scalable and flexible access to the email encryption solution via IT infrastructures hosted by cloud service providers. Moreover, the growing deployment of email encryption solution on the cloud to progress mobility and disperse data storage by enterprise drives the demand for a cloud-based solution in the forecast period.
Analysis by Organization Size:
By organization size, the report is categorized as SMEs and large enterprises. SMEs segment dominates the application segment with over 55% share in 2020. It is due to the quick modernizing of small and medium scale industries that increase the use of emails to carry crucial data. Moreover, the rising number of SMEs worldwide drives the market demand from SMEs in the forecast period.
Analysis by Industry Vertical:
By industry vertical, the report is categorized BFSI, government and defense, IT and telecom, energy and utilities, manufacturing, retail, healthcare, and others (Media & Entertainment, Education, and Travel and Transportation). BFSI segment dominates the application segment with over 15% share in 2020. BFSI sector is the most significant consumer email encrypted solution as it deals with large volumes of sensitive and private financial data on a daily basis. Also, the Banking and financial industry are the most regulated as it has to obey many security necessities, thus drives the demand from the BFSI segment in the forecast period.
Analysis by Region:
In the regional outlook of the global email encryption market, the North America region dominates with a 30% market share during the forecast period. The presence of several vendors that provide email encryption solutions and early adoption of email encryption technology is the critical factors driving regional growth. Moreover, the high implementation of email encryption solutions by businesses for enabling data security, preventing commercial espionage and cyber-attacks ensures privacy and security of data to make possible business stability, thus contribute to the development of the email encryption market in North America.
Market Segmentation covered in the Report:
By Deployment Mode
By Organization Size
By Industry Vertical
- Training and Education
- Support and Maintenance
- Government and Defense
- IT and Telecom
- Energy and Utilities
- Others (Media & Entertainment, Education, and Travel and Transportation)
- North America
- The Asia Pacific
- Latin America
- The Middle East and Africa
This market research report has been produced by gathering information on the basis of primary and secondary research. Secondary research has been done by using various sources which include (but not limited to) Company Websites, Paid Data Sources, Technical Journals, Financial Reports, SEC Filings, and other different industry publications.
If specific information is required which is not currently within the scope of the report, it can be provided as a part of customization.