Strict compliance regulations governing the generation and changing of passwords are expected to augment the demand for password management systems, thereby increasing competition among enterprises. According to the Password Management Best Practice Report 2016 by Hitachi Id System Inc., users should change their passwords every 60 or 90 days.
Growing adoption of cloud-based services and increasing phishing attacks are expected to positively influence market growth during the forecast period. In April 2016, about 93 million voter registration records were stolen from National Electoral Institute of Mexico. The main reason for this breach was a poorly managed database server illegally hosted on the Amazon cloud server.
The global password management system market can be segmented by type, organization size, and end-user.
Based on type, the market can be segmented into self-service password management and privileged user password management. Based on organization size, the market can be bifurcated into small and medium enterprises and large enterprises. Account unlock management and forgotten passwords are primary issues that every sector faces, especially the IT sector. These issues have resulted in IT companies mandatorily contributing to setting passwords and unlocking accounts, which could be easily be accomplished with pass management systems. Additionally, beneficial features such as self-reset passwords, password synchronizer, password policy enforcer, and password expiration notification are also contributing to the surging demand for password management systems.
Based on end-user, the market can be segmented into energy and utilities, retail, financial services, government and defense, healthcare and retail. Rising data breach issues in the banking sector are driving the adoption of efficient security measures, which in turn drives applications in financial sectors.
Geographically, the global password management systems market has been analyzed across North America, Europe, Asia Pacific, and Latin America, and the Middle East and Africa (LAMEA).
North America has a strong technological base on account of the presence of major IT companies such as Apple, Facebook, Google, and others and thus, the region is pegged to be a lucrative market for password management systems. With an upsurge in online transactions, there is a considerable need for password management so as to combat security threats, financial losses, and maintain transaction confidentiality in certain cases.
Europe has been experiencing an increasing number of cyber-attacks. According to the cyber-crime report for Europe 2018, digital transactions in Europe were hit by over 30% cyber-attacks in the first three months of 2018. Therefore, spending on password management systems has boosted in the region.
Asia Pacific has technologically-developing countries such as India and China alongside strong government support towards promoting digitalization. This certainly poses a risk of threats via the internet, which in turn widens the scope of the password management system market. For instance, in 2017, the government of India launched the ‘Cyber Swachhta Kendra’ (Botnet Cleaning and Malware Analysis Centre), a part of the Digital India initiative, for desktop and mobile security solutions in India, which is operated under Computer Emergency Response Team (CERT-in).
The LAMEA region is facing several technological challenges that are cumbering market growth. Thus, the region is pegged to be an untapped market with opportunities for password management systems.
Some of the key players operating in the market include Avatier, Ca Technologies, Courion Corporation, Dell Sonicwall, Fastpass Corp, Hitachi ID Systems, IBM, Netiq, Microsoft, and Sailpoint Technologies.