Global Hardware OTP Token Authentication Market - Segmented by Type, End-user Industry, and Region - Growth, Trends, and Forecast (2018 - 2023)
The Hardware OTP Token Authentication Market is expected to register a CAGR of 9.3% over the forecast period (2018 - 2023).
The scope of this report is restricted to Hardware OTP Tokens. Hardware tokens are the small devices required to authenticate one’s identity. These devices are used as a first method in multifactor authentication methods. The Hardware OTP Token devices are developed by several firms such as Gemalto NV, Dell Symantec Corporation, RSA Security LLC, and VASCO Data Security International, Inc. North America is expected to be a major region in the Hardware OTP Token Authentication Market due to the shift towards digital applications such as cloud, IoT, and application software.
Growing Internet-based Transactions Driving the Market
Growing internet-based transactions are one of the major drivers for the global hardware OTP authentication market. The emergence of e-commerce and increasing reliance on online shopping make it necessary for secure and private methods of transaction. Hardware tokens make the transaction safer and provide an extra layer of authentication for improved security. The reason hardware tokens are so important is because of the threats from hacks and thefts.
Investments from Banking and Finance Industry
The banking and finance industry is one of the major industries where the need for security is the highest. Protecting data and currency from theft is of utmost importance. The hardware OTP verification service helps protecting the security of frequent banking operations. Large investments are made by the banking and finance industry in cyber security, with concerns of threats from ransomware and central bank policies regarding electronic banking authentication security. Huge investments towards the improvement of Hardware OTP Token market is a major driver for the growth of this market.
North America is the Major Region
North America is expected to be the major region for the growth of the Hardware OTP Token Authentication Market due to the growing trend of digital shift. Large and emerging organizations are adopting digital transformation, which is a major trend in North American region. The increasing need for a high-security authentication technique for security of organizational data from malware or theft also adds to the growing market demand for Hardware OTP Token.
Key Developments in the Market
March 2018 - Securemetric’s breakthrough reinvention- Securemetric has created an all-in-one platform that provides for multifactor authentication management. It has a controlled, well-defined interface, touchscreen front panel, protected software stacks, and high security optimization. This new product will encourage market growth and increase investments and research towards the improvement of this platform.
April 2018 - Yubico launches new hardware key for FIDO2, WebAuthn Standards. The new hardware keys allow users to directly log into web-based accounts through web browsers, such as Google, Mozilla, and Microsoft, among others and they support the new functionality. This will boost the number of players producing hardware authentication keys, thus helping the market to grow further. Major Players - GEMALTO NV, ONE IDENTITY LLC., DELL, SYMANTEC CORPORATION, RSA SECURITY LLC, VASCO DATA SECURITY INTERNATIONAL, INC., ENTRUST DATACARD CORPORATION, AND AVADA, amongst others.
Reasons to Purchase the Report