Market Overview:
Out-of-Band Authentication is a security measure that provides additional protection against unauthorized access to confidential information. This market offers various advantages such as enhanced security, reduced risk of data breaches, and improved user experience. The need for products associated with this market arises due to the increasing instances of cyber-attacks and the growing demand for secure authentication solutions in various industry verticals.
Market Key Trends:
Out-of-Band Authentication market is witnessing a key trend of the adoption of biometric technologies for secure authentication. Biometric technologies, such as fingerprint, iris, and voice recognition, offer a high level of security as they are unique and difficult to replicate. The advancement in biometric authentication technologies has made them more accessible and cost-effective, leading to their increasing adoption in the Out-of-Band Authentication market.
Biometric authentication provides an additional layer of security by verifying the unique biological characteristics of an individual, ensuring that only authorized users can access sensitive information. This key trend is driven by the need for strong and reliable authentication solutions in highly regulated industries such as banking, healthcare, and government. The adoption of biometric technologies not only enhances security but also enhances the user experience by eliminating the need for remembering complex passwords or carrying physical authentication tokens.
The global Out-Of-Band Authentication Market Demand is estimated to be valued at US$ 443.81 Million in 2023 and is expected to exhibit a CAGR of 11.37% over the forecast period of 2023-2030, as highlighted in a new report published by Coherent Market Insights.
Segment Analysis:
The Out-of-Band (OOB) authentication market can be segmented based on deployment mode, end-user, and region. In terms of deployment mode, the market can be divided into cloud-based and on-premises solutions. Among these, the cloud-based segment is expected to dominate the market during the forecast period. This is primarily due to the growing adoption of cloud computing technologies across various industries. Cloud-based OOB authentication solutions offer scalability, flexibility, and cost-effectiveness, which are driving their demand in the market.
Based on end-users, the market can be categorized into BFSI, healthcare, IT and telecommunications, retail, government, and others. The BFSI segment is likely to be the dominant end-user during the forecast period. This can be attributed to the increasing incidences of data breaches and cyber-attacks in the banking and financial sectors. OOB authentication solutions provide an added layer of security to protect sensitive financial data and prevent unauthorized access.
Key Takeaways:
This growth can be attributed to the increasing need for strong authentication methods to combat the rising number of cyber threats and security breaches. The market is driven by factors such as the growing adoption of cloud computing technologies, increasing incidences of data breaches, and the need for regulatory compliance.
From a regional perspective, North America is anticipated to be the fastest-growing and dominating region in the Out-of-Band authentication market. This can be attributed to the presence of major key players in the region, advanced technological infrastructure, and high awareness about the importance of cybersecurity. The Asia Pacific region is also expected to witness significant growth during the forecast period due to the rapid digitalization in emerging economies like China and India.
Key players operating in the Out-of-Band authentication market include Broadcom, Entrust Datacard Corporation, Deepnet Security, Early Warning Services, LLC, Gemalto NV, SecurEnvoy Ltd, StrikeForce Technologies, Inc., TeleSign, Symantec Corporation, OneSpan Inc., DynaPass Inc., and Duo among others. These key players are focusing on partnerships, collaborations, and product innovations to gain a competitive edge in the market. They are also investing in research and development activities to develop advanced out-of-band authentication solutions to cater to the evolving needs of end-users.
