Global Public Key Infrastructure (PKI) Market By Component (Solution, Hardware Security Modules (HSM), and Services), By Deployment Type (On-premise and Cloud), By Enterprise Size (Large Enterprises and Small & Medium Enterprises), By End User (BFSI, Retail, Government & Defense, Healthcare, Telecom & IT, Manufacturing, and Others), By Regional Outlook, Industry Analysis Report and Forecast, 2021 - 2027
The Global Public Key Infrastructure (PKI) Market size is expected to reach $10.5 billion by 2027, rising at a market growth of 18.4% CAGR during the forecast period. Public key infrastructure refers to a security technology structure of encryption and cybersecurity, which assists in securing the communication between the client and the server. This technology operates by utilizing two distinct cryptographic keys viz. a private key and a public key. A public key needs to be accompanied by a private key, which is owned by a trusted party, in order to communicate on a website. In addition, the technology safeguards the user’s data from any kind of breach or theft. There are many companies that are increasingly adopting the Secure Sockets Layer (SSL) certificate, which utilizes public key infrastructure for authentication and encryption. These trusted certificates are issued by certificate authorities and could be utilized to validate entities. The trust hierarchy while issuing digital certificates involves numerous entities like intermediate certificate authorities, root certificate authorities, and issuing certificate authorities.
The process of permitting data sharing or transaction between the receiver and sender by offering protection with public & private keys, which are sanctioned by central authorities by using digital certificates, is known as Public Key Infrastructure (PKI). The rising adoption of PKI services and solutions and the increasing concerns related to the loss of important data are among the key aspects bolstering the growth of the PKI market. In addition, the growing cases of malware and file-based attacks, the rising trust in online sellers & customers, and strict mandatory compliances and regulations are anticipated to fuel the growth of the PKI market. The adoption of various advanced technologies like IoT and cloud trends is increasing, which is creating lucrative growth opportunities for the key market players.
COVID-19 Impact Analysis
The outbreak of the COVID-19 pandemic has impacted various segments of society. During this crisis, the internet ecosystem has played a crucial role across the world, which is ongoing in the world. Several sectors including BFSI, manufacturing, healthcare & life sciences, automotive, transport & logistics, retail, among others, are increasingly utilizing the internet to deliver their crucial services to consumers. There are numerous companies that have witnessed declining demand for a PKI system.
During the COVID-19 pandemic, many governments & regulatory authorities have directed the public and private companies to carry out new practices of teleworking and fulfill the social distancing norm. At present, digital modes of operating business and utilization of emails with home servers have become the latest business continuity plan (BCP) for several companies. There is a significant inclination of the customers towards the usage of PKI due to the extensive usage of mobile devices and internet penetration around the world. Such kinds of trends and distributed IT surroundings have made companies more vulnerable to data breaches and cyber-attacks, which further accelerate the demand for PKI solutions.
Market Growth Factors:
The increasing concerns regarding loss of crucial data
There are several companies that are increasingly adopting various technological developments like virtualization, enterprise mobility, and cloud storage to increase business productivity. These advancements have enabled companies to function effectively and in real-time so that business information can be conveniently accessed on mobile gadgets from the cloud and virtual storage. Though, this access to important business data on mobile devices would increase the data loss and theft risk.
Growing adoption of IoT trend in numerous industrial verticals
There are many companies that are majorly focusing on the effects of the latest applications like IoT on PKI. The introduction of IoT has offered several opportunities for every industry vertical. Companies are getting more concerned about the instant release of new products in the market, regardless of the proper deployment of the security controls. Due to this, the security concerns and cyber risks on the security of IoT devices are increasing.
Market Restraining Factor:
Usage of self-signed certificates
There are numerous companies that establish private certification authorities or utilize self-signed certificates to validate and protect internal servers, applications, and IP addresses, which do not need a public trust, however, require the security offered by SSL encryption. These self-signed certificates can provide encryption just like a certificate signed by a trusted authority. Though, the certificate could not be canceled like a trusted certificate, and it would result in an attack on visitors’ connections.
Based on Component, the market is segmented into Solution, Hardware Security Modules (HSM), and Services. The Solution market dominated the Global Public Key Infrastructure (PKI) Market by Component 2020. There are many key vendors in the market that are aiming on providing dedicated services to assist companies with the simplified operations of the business procedures. Professional services include deployment & integration and training & consulting. In addition, managed services involve maintenance, support, and infrastructure management. The services segment for the PKI market is projected to witness high demand in the forecast period in order to support business goals. The growing requirement for designing, planning, and consulting PKI solutions would propel the demand for professional services in the market.
Deployment Type Outlook
Based on Deployment Type, the market is segmented into On-premise and Cloud. The On-premise market dominated the Global Public Key Infrastructure (PKI) Market by Deployment Type 2020. The Cloud market is expected to witness a CAGR of 22.7% during (2021 - 2027).
Enterprise Size Outlook
Based on Enterprise Size, the market is segmented into Large Enterprises and Small & Medium Enterprises. The Large Enterprises market dominated the Global Public Key Infrastructure (PKI) Market by Enterprise Size 2020, growing at a CAGR of 17.6 % during the forecast period. The Small & Medium Enterprises market is estimated to grow at the highest CAGR during the forecast period.
End User Outlook
Based on End User, the market is segmented into BFSI, Retail, Government & Defense, Healthcare, Telecom & IT, Manufacturing, and Others. PKI technology could be easily combined with the current banking system and assist these companies in streamlining complicated business procedures by providing higher security and enhanced turnaround time for onboarding a user. Further, PKI solutions provide the twin advantages of authentication along with encryption, thus, safeguarding the possibly sensitive documents of the companies from unauthorized access & identity thefts.
Based on Regions, the market is segmented into North America, Europe, Asia Pacific, and Latin America, Middle East & Africa. North America is anticipated to emerge as the leading region in the public key infrastructure market by obtaining the maximum share. This growth is attributed to the factors like prompt adoption of PKI solutions & services and the presence of many key market vendors that deliver advanced PKI solutions.
The major strategies followed by the market participants are Product Launches. Based on the Analysis presented in the Cardinal matrix; Google, Inc., and Microsoft Corporation are the forerunners in the Public Key Infrastructure (PKI) Market. Companies such as Amazon.com, Inc., Zoho Corporation Pvt. Ltd., Entrust Corporation, Futurex LP, HID Global Corporation are some of the key innovators in the market.
The market research report covers the analysis of key stake holders of the market. Key companies profiled in the report include Google, Inc., Amazon.com, Inc., Microsoft Corporation, Zoho Corporation Pvt. Ltd., Entrust Corporation (Thoma Bravo, LP), Futurex LP, HID Global Corporation, Venafi, Inc. (Thoma Bravo), Keyfactor (Certified Only, Inc.), and Nexus Group.
Recent Strategies Deployed in Public Key Infrastructure (PKI) Market
Partnerships, Collaborations, and Agreements:
Jul-2021: Keyfactor came into a partnership with Google Cloud Certificate Authority Service (CAS). This partnership aimed to integrate Keyfactor’s certificate lifecycle automation with Google’s cloud-native private CAS to fulfil the requirements of infrastructure, security, and application teams in the cloud.
Jun-2021: Microsoft collaborated with Expel, a SOC-as-a-service platform. This collaboration aimed to launch Expel for Microsoft, which automates security operations over the Microsoft tech stack that includes AD Identity Protection, Active Directory, Azure, MCAS, Office 365, and Microsoft Defender for Endpoint, and Sentinel.
Mar-2021: Microsoft teamed up with Thales, a French multinational company. This collaboration aimed to assist Microsoft users to protect sensitive data in the cloud and fulfill key data privacy regulations for companies by utilizing Microsoft 365 applications. The highly regulated industries like healthcare and BFSI can use Thales Luna Hardware Security Modules (HSMs) with Double Key Encryption for Microsoft 365 along with complying with regulations like the Health Insurance Portability and Accountability Act (HIPAA) and the EU General Data Protection Regulation (GDPR).
Aug-2020: Google Cloud came into a partnership with AppViewX, a modular software application. This partnership aimed to support the Google Cloud Certificate Authority Service (CAS) with AppViewX's Certificate Lifecycle Management and Automation product, CERT+. Together, the entities would focus on safeguarding the increasing number of digital identities with a strong and future-proof PKI system, enabling customers to interact with DevOps tools and CI/CD toolchains.
Jul-2020: Venafi entered into a partnership with Unbound Tech, a provider of distributed security module software solutions. The partnership aimed to offer companies with machine identity protection, which is not dependent on hardware, interoperable between data centers on-premise and cloud surroundings, quick to implement, and simple to manage. The companies' integrated solution supports business requirements by bringing better security and streamline the protection of machine identities.
Jun-2020: Microsoft extended its partnership with PrimeKey, a leading provider of public key infrastructure (PKI) and digital signature solutions. Under this expansion, PrimeKey launched its SignServer Enterprise Cloud Edition product in the Microsoft Azure Marketplace, which is available to Azure customers on a subscription pay-as-you-go basis. All SignServer Enterprise features code signing and time stamp authority, which are accessible instantly and would support Azure Key Vault, for safer storage of encryption keys.
Jun-2020: Keyfactor entered into a partnership with Primekey, a pioneer in open source security software. This partnership aimed to combine their solutions to streamline and automatize public key infrastructure (PKI) for large enterprise and internet of things (IoT) deployments.
May-2020: HID Global joined hands with Keyfactor, the leader in cloud-first PKI-as-a-Service and crypto-agility solutions. This collaboration aimed to enhance the way companies protect data and privacy. Through the addition of HID IdenTrust digital certificates to the Keyfactor platform, the portfolio would offer enterprise users a single convenient solution to fulfil the zero-trust security models and identity.
Mar-2020: Futurex came into partnership with R3, the enterprise blockchain software firm. This partnership aimed to provide a secure foundation for the Corda Enterprise platform, with integrated Futurex hardware security modules (HSMs). It helps R3’s banking users to carry out peer-to-peer, intra-bank, and cross-enterprise transactions safely, instantly, and cost-efficiently utilizing Futurex’s HSMs to manage transaction signing & cryptographic key lifecycle management.
Acquisitions and Mergers:
Jul-2021: Microsoft took over CloudKnox, developer of a multi-cloud permissions management platform. This acquisition aimed to expand Microsoft's security business along with keeping Windows and its other products secure.
Jul-2021: Keyfactor announced the merger with PrimeKey, a pioneer in open source security software. Together, the entities developed the industry’s first end-to-end machine identity management platform that has a flexible and highly scalable certificate issuance and automated implementation of machine identities across the complicated enterprise and increasing IoT and OT use cases.
Jan-2021: Entrust completed the acquisition of HyTrust, an innovative provider of virtualized and multi-cloud data encryption, key management, and cloud security posture management solutions. Through this acquisition, Entrust would add a crucial management layer for encryption, cloud security policy, and cryptographic keys to its digital security solutions, delivering the data protection and compliance requirements of companies boosting their digital transformations.
Product Launches and Product Expansions:
Aug-2021: ManageEngine introduced ADSelfService Plus, an integrated Active Directory self-service password management, and single sign-on solution. This solution delivers multi-factor authentication (MFA) for Exchange admin center (EAC) and Outlook on the Web (OWA) logins to do an addition of an extra layer of security to Exchange environments.
Aug-2021: Keyfactor launched Keyfactor Certificate Lifecycle Automation as-a-Service (CLAaaS). It is the latest cloud-native solution to support certificate management in complicated hybrid and multi-cloud surroundings with stringent regulatory and policy compliances.
Aug-2021: AWS introduces 18 new controls for its Foundational Security Best Practice standard including Amazon EC2, Amazon API Gateway, Amazon ECS, Amazon Redshift, Amazon Elasticsearch Service, Elastic Load Balancing, Amazon RDS, and Amazon SQS. The Security Hub helps support 159 security controls to automatically check the security position in AWS.
Jun-2021: Futurex unveiled Google Workspace Client-side encryption. This solution provides enterprise customers an unmatchable level of control over their sensitive data and makes it simple to maintain cryptographic keys.
Jan-2021: Futurex introduced the industry’s first web API for payment hardware security modules (HSMs). Through this launch, developers can easily combine their payment applications with Futurex’s enterprise encryption and key management technology that include Futurex’s VirtuCrypt cloud payment HSMs.
Dec-2020: Microsoft launched a new data governance solution in public preview on its cloud platform called Azure Purview. This latest service helps in automating the discovery of data and cataloging along with decreasing compliance risk and assists users map all their data, regardless of its location, to offer an end-to-end view of their data estate.
Oct-2020: Venafi unveiled Venafi Zero Touch PKI, a cloud-based, turnkey solution. This solution provides no-touch, fully automated modern PKI. Through this Venafi Zero Touch PKI, customers can cut down the effort, expense, and risk of conventional PKI, along with offering the speed and control enterprises require to be successful.
Aug-2021: Futurex expanded its geographical footprints by setting up data centers in strategic locations across the globe. Through these five data centers, Futurex's VirtuCrypt cloud HSM and key management services are extended to 13 data centers globally, including the U.S. Central, Canada East, Canada West, U.S. West, Japan, Brazil, UK, The Netherlands, Germany, India West, Singapore, India Central, and Australia.
Scope of the Study
Market Segments covered in the Report:
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