Global Secure Multiparty Computation Market Grows at a Staggering CAGR of 11.83%

Introduction

The global secure multiparty computation (SMPC) market is propelled by increasing data privacy concerns, severe regulations such as GDPR and HIPAA, and the growing demand for secure collaborative data analysis in healthcare, finance, and government.  SMPC facilitates the computation of functions by multiple parties using private inputs while safeguarding data and tackling cybersecurity issues in light of rising data breaches.  Prominent trends encompass the incorporation of AI, machine learning, and blockchain to improve the scalability and efficiency of SMPC, in addition to implementing cloud-based solutions for economical, remote access.  North America dominates because of its strong digital infrastructure, whereas Asia-Pacific is the most rapidly expanding region, driven by swift digitisation in China and India.  Nevertheless, elevated computational expenses and a deficiency of qualified personnel present obstacles.  The market's trend indicates a significant demand for privacy-preserving technology in a data-centric, linked environment, especially for safe data sharing and analysis.

Market Dynamics

Rigorous data privacy regulations drive market growth

Stringent data privacy rules, including GDPR, CCPA, and HIPAA, are a primary catalyst for the worldwide SMPC market, necessitating organisations to implement privacy-preserving solutions.  In 2024, 71% of enterprises established formal cryptography programs to adhere to these laws, increasing the SMPC market.  The market is propelled by the necessity for secure collaborative data processing.  Regulations require secure data management, especially in healthcare, where SMPC guarantees adherence to HIPAA for patient data dissemination.

• For instance, in June 2024, Thales revealed a global SOC platform integration with Google Cloud, incorporating AI-driven cryptography to assist enterprises in fulfilling GDPR and other compliance requirements.

The GDPR in Europe imposes fines of up to 4% of yearly turnover for non-compliance, which has expedited the adoption of SMPC, resulting in a substantial market share for the region.  IBM's 2024 SMPC solutions for financial services facilitate secure fraud detection for banks while adhering to GDPR rules, highlighting SMPC's essential function in guaranteeing compliance and fostering market expansion within regulated sectors.

Growth in healthcare and open-source advancements creates tremendous opportunities

The healthcare industry and open-source advancements provide substantial prospects for the worldwide SMPC market.  The healthcare sector necessitates using SMPC to analyse patient data while ensuring secure compliance with HIPAA regulations.  Open-source SMPC frameworks improve accessibility, allowing organisations to tailor privacy-preserving solutions.

• In May 2024, the Worldcoin Foundation introduced an open-source SMPC system on GitHub, establishing a new benchmark for biometric data privacy and enhancing trust in digital identity systems.  This program bolsters the healthcare and financial sectors, where safe data cooperation is essential.
• In June 2024, Pyte, a startup, secured USD 5 million to commercialise their SMPC technology for healthcare, facilitating encrypted data processing without decryption and improving secure analytics.

The advancements and increasing acceptance of cloud computing generate scalable, cost-efficient opportunities, especially in North America and Asia-Pacific, where digital transformation drives the demand for secure, collaborative data solutions.

Regional Analysis

North America dominated the global SMPC market, capturing a 38.7% revenue share, propelled by sophisticated cybersecurity frameworks, early integration of AI and blockchain technologies, and robust regulatory adherence.  The United States prevails, bolstered by technology behemoths such as Microsoft, IBM, and Google, which diligently invest in secure data solutions.  Moreover, 71% of U.S. companies implemented formal cryptography programs.  The BFSI and healthcare sectors are primary adopters, requiring strong privacy tools for AI-driven data analytics.  Recurring prominent cyberattacks underscore the pressing necessity for improved security measures.  The region's cloud-first strategy and dominance in edge computing facilitate extensive SMPC implementation.  Recent innovations introduced by IBM for GDPR-compliant fraud detection and Microsoft's AI-driven SMPC healthcare solutions bolster North America's preeminent market status.

Key Highlights

• The global secure multiparty computation (SMPC) market size was valued at USD 878.58 million in 2024 and is projected to grow from USD 980.67 million in 2025 to USD 2362.99 million by 2033, exhibiting a CAGR of 11.62% during the forecast period (2025–2033).
• By Offering, the market is segmented into solutionsand The solutions segment dominated the global SMPC market with a 56.4% revenue share in 2024, fueled by rising demand for secure and scalable data processing frameworks.
• By Deployment Mode, the market is segmented into cloudand on-premises. The on-premises segment held a 62.4% share of the global SMPC market in 2024.
• By Vertical, the market is segmented into Banking, Financial Services, and Insurance (BFSI), healthcare, government, information technology (IT) & IT-enabled Services (ITES), retail & e-commerce, and other Verticals.The healthcare sector led the SMPC market in 2024 with a 24.6% revenue share, driven by the urgent need to secure patient data while enabling collaborative medical research and diagnostics.
• Based on region, the global market is segmented into North America, Europe, Asia-Pacific, Latin America, and the Middle East and Africa. North America dominates the global market.

Competitive Players

1. Microsoft Corporation
2.  IBM Corporation
3.  Google LLC
4.  Fireblocks
5.  Blockdaemon Inc.
6.  Qredo Ltd.
7.  Penta Security Inc.
8.  Zengo
9.  Worldcoin Foundation
10.  CYBAVO Pte. Ltd.
11.  Liminal Custody
12.  Sharemind
13.  Partisia Blockchain
14.  Pyte
15.  others.

Recent Developments

• In June 2024, Pyte raised USD 5 million to commercialise its SMPC technology, focusing on healthcare applications. The funding supports the development of encrypted data computation platforms that allow secure analytics without decryption, addressing HIPAA compliance needs. Pyte’s solution enhances secure clinical research, attracting interest from U.S. healthcare providers and positioning the startup as an emerging leader in the SMPC market.
• In May 2024, the Worldcoin Foundation launched an open-source SMPC system on GitHub, designed to set a new standard for biometric data protection. This framework enables organisations to securely process sensitive data, such as iris scans, without exposure, fostering trust in digital identity systems. The initiative targets healthcare and BFSI, driving SMPC adoption by offering cost-effective, customisable solutions and reinforcing Worldcoin’s role in privacy-preserving technologies.

Segmentation

1. By Offering
   1. Solutions
   2. Services
2. By Deployment Mode
   1. Cloud
   2. On-Premises
3. By Vertical
   1. Banking, Financial Services, and Insurance (BFSI)
   2. Healthcare
   3. Government
   4. Information Technology (IT) & IT-enabled Services (ITES)
   5. Retail & E-commerce
   6. Other Verticals
4. By Region
   1. North America
   2. Europe
   3. Asia-Pacific
   4. Latin America
   5. The Middle East and Africa