Confidentiality of data is a crucial aspect that various organizations need to maintain on priority. Disk encryption is a common technique used for protecting the business data and maintaining its confidentiality. Hardware encryption takes the data, which requires protection and encrypts it in hardware components. These components are separated from the user device. Revolution in information technology, increased use and storage of data on the devices and growing adoption rate are driving the global hardware encryption market since past few years. Hardware along with software encryption has become the key aspects of most business and leading organizations from different parts of the world.
Hardware Encryption Market Synopsis
In the process of hardware based techniques, encryption and decryption are done by dedicated processors. These processors are available on the hardware encrypted device. The global industry for this technology started witnessing major boom since last decade. This growth coincides with the growing size and applications of information technology services across different aspects of human lives. The separate processes for hardware and software encryption have made this process faster, simpler and safer. Another feature of this process is the storage of its cryptographic key, which is done in a separate and inaccessible portion of the storage/memory. It differentiates hardware from software encryption and makes it safer than the latter.
Basic segmentation in the global hardware encryption market is done depending on the types of total markets, child or sub markets, and related markets, types of products, business verticals, applications, consumer electronics and geographic devices. Following are the details of the same:
- Markets: Global production market, total addressable market, semiconductor market in encryption, software encryption market, etc.
- Applications: Consumer electronics, communication networking security, military and defense, aerospace, automotive and transportation, enterprise, healthcare and emerging applications
- Verticals: Residential, industrial, commercial and government institutional
- Products: Encrypted hard disk drives, USB flash drives, in-line encryptors, memory disks
- Geography: North America, Asia Pacific, Europe and rest of the World (RoW)
As far as revenue is concerned, the hardware encryption market is expected to grow from strength to strength. Based on the recent market research reports, the market is expected to grow at an anticipated CAGR of over 62% from 2013 to 2018. At this remarkable rate, the industry is poised to become worth $166.67 billion by 2018. In present day (2013), the market is expected to be worth $14.86 billion by end of this year. As far as the segments are concerned, this tremendous growth is expected to be heralded by booming consumer electronics sector.