Hardware Encryption Market: Global Industry Analysis and Forecast (2023-2029)

Hardware Encryption Market was valued at US$ 265.42 Mn. in 2022. Hardware Encryption Market size is estimated to grow at a CAGR of 6.21%.
Hardware Encryption Market Overview:
Hardware-based encryption is an independent software, which utilizes a device to perform encryption and decryption. It is used to protect data and keep it secure by activating a form of encryption on computer. The main benefit of use of hardware encryption over software encryption is that hardware encryption feature is optimized with the rest of the drive. It allows encrypt data on tape drives, which have built-in encryption capabilities. It is more secure and safer over software encryption because of the encryption process is separate. Hardware encryption includes encoding of data or information into a form, which is accessible to only authorized users. It requires an encrypting algorithm, which help to generate cipher text.To know about the Research Methodology :- Request Free Sample Report
Hardware Encryption Market Dynamics:
An increase in adoption rate of portable storage devices to transfer information between computers and form backup are expected to drive the hardware encryption market growth.

The Hardware encryption devices deliver efficient confidentiality of personal data from unauthorized access. Hardware encryption devices include encrypted USB and external hard drives, self-encrypting SSDs, and mobile phones with built-in encryption capabilities.

The global hardware encryption market growth is driven by the imposition of regulatory compliances about the protection of private & sensitive data and the expansion of digital content. A significant benefit over software encryption Architecture and an increase in complexity & risk of data breaches & brute-force attacks are boosting market growth in the near future.

Self-Encrypting drive offers verified and certified data security, which deliver unbreakable pre-boot access protection for user data. It offers pre-boot data protection because of the encryption is a part of the drive’s controller. Another advantage of an encryption feature is it active at all times, which makes it possible for the drive to meet the compliance requirements of government standards for data in banking, finance, medical, and government applications. High incidence case of cyber-attacks are expected to led private organizations and governments to make a shift toward hardware encryption to deliver faster performance encryptions. The presence of high consumer base for consumer electronics and smartphone are some of the prominent factors behind the global market growth.

On the other hand, the high wealth investment necessary for the installation and maintenance of hardware-based encryption Architecture is limiting the hardware encryption market growth. With the widespread adoption of cloud computing, significant development, and expansion of IoT in several applications, and the introduction of compact and economical hardware encryption techniques are expected to offer key lucrative growth opportunities for the hardware encryption industry.
Hardware Encryption Market Segment Analysis:
Solid-state drives (SSD) segment is expected to grow more than 6.45% rate of CAGR during the forecast period. The rise in cases of data breaches and expansion of digital content are some of the factors, which are expected to drive the market growth. An increase in penetration of high-end cloud computing, adoption of SSDs in data centers, and advantages of SSDs over HDDs are expected to drive the demand for solid-state drives. The demand for Solid-state drives are rapidly increasing with the emerging number of cloud platforms from traditional corporate private and new public clouds to personal clouds in homes, which is expected to boost the hardware encryption demand.

The consumer electronics segment held the dominant position in 2022 and is projected to continue its dominance during the forecast period. Consumer electronics industry is evolving rapidly, the high adoption of product is driven by customer demand for new features to adapt to shifting realities. As the demand for data centers is growing, the hardware encryption technology improves. The smartphones, laptops, and computers have manufactured in the assembly with hardware-enabled devices. The supply function of hardware device has assisted in the growth of the hardware encryption. A regulation mandatory to implement encryption to store confidential data are expected to increase the demand for hardware encryption consumer electronics applications.
Hardware Encryption Market Regional Insights:
Geographically, the global hardware encryption market is segmented into North America, Europe, Asia Pacific, Latin America, and Middle East & Africa. The Asia Pacific region is projected to be leading region in the market. The presence of established hardware encryption manufacturing companies, number of automation ventures, smart cities ventures, high defense spending, innovative healthcare facilities, connected living environment, and rising reliance on e-commerce are some of the prominent factors behind the market growth. The development of IT and telecommunication network in emerging economies such as China, Thailand, Malaysia, South Korea, India and high penetration of consumer electronics products and smartphones are expected to drive regional market growth. The Asia-Pacific region is one of the largest regional consumers for consumer electronics products because of the presence of large-scale population across developing nations. The demand for hardware encryption is expected to increase in the near future as a result of rapid expansion of the end-user industries like electronics, automotive, and healthcare sectors.

The objective of the report is to present a comprehensive analysis of the global Hardware Encryption Market to the stakeholders in the industry. The past and current status of the industry with the forecasted market size and trends are presented in the report with the analysis of complicated data in simple language. The report covers all the aspects of the industry with a dedicated study of key players that include market leaders, followers, and new entrants.

PORTER, PESTEL analysis with the potential impact of micro-economic factors of the market have been presented in the report. External as well as internal factors that are supposed to affect the business positively or negatively have been analyzed, which will give a clear futuristic view of the industry to the decision-makers.

The reports also help in understanding the Hardware Encryption Market dynamic, structure by analyzing the market segments and projecting the Hardware Encryption Market size. Clear representation of competitive analysis of key players by Application, price, financial position, product portfolio, growth strategies, and regional presence in the Hardware Encryption Market make the report investor’s guide.
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Hardware Encryption Market


Report Coverage
Details


Base Year:
2022
Forecast Period:
2023-2029


Historical Data:
2018 to 2022
Market Size in 2022:
US $ 265.42 Mn.


Forecast Period 2023 to 2029 CAGR:
6.21%
Market Size in 2029:
US $ 404.67 Mn.


 Segments Covered:
by Product
External Hard Disk Drives
Inline Network Encryptors
Internal Hard Disk Drives
Solid-State Drives
USB Flash Drives


by Architecture
Application specific integrated circuits (ASIC)
Field programmable gate arrays (FPGA)


by Application
Consumer electronics
IT & Telecom
Healthcare
Aerospace and Defense
Transportation
Others


by Algorithm & Standard
Rivest- Shamir-Adleman (RSA) Algorithm
Advanced Encryption Standard (AES)
Secure Hash Algorithm (SHA)
Digital Signature Algorithm (DSA)
Data Encryption Standard (DES)
Elliptic Curve Cryptography (ECC)


by End User
Commercial
Residential
Industrial
Government Agencies



Hardware Encryption Market, by Region
North America (United States, Canada and Mexico)
Europe (UK, France, Germany, Italy, Spain, Sweden, Austria and Rest of Europe)
Asia Pacific (China, South Korea, Japan, India, Australia, Indonesia, Malaysia, Vietnam, Taiwan, Bangladesh, Pakistan and Rest of APAC)
Middle East and Africa (South Africa, GCC, Egypt, Nigeria and Rest of ME&A)
South America (Brazil, Argentina Rest of South America)
Hardware Encryption Market Key Players are:
1. Samsung Electronics
2. Toshiba Corporation
3. Western Digital Corporation
4. Seagate Technology PLC
5. Kingston Technology Corp.
6. Micron Technology Inc.
7. Kanguru Solutions
8. Maxim Integrated Products, Inc.
9. NetApp
10.Win Magic Inc.
11.Thales e-security
12.Gemalto NV.
13.IBM Corporation
14.McAfee, LLC
15.Symantec Corporation
16.KIOXIA HOLDINGS CORPORATION
17.BROADCOM

Frequently Asked Questions:

1] What segments are covered in the Hardware Encryption Market report?
Ans. The segments covered in the Hardware Encryption Market report are based on Product, Architecture, Algorithm & Standard, End User, and Application.

2] Which region is expected to hold the highest share in the Hardware Encryption Market?
Ans. The Asia Pacific region is expected to hold the highest share in the Hardware Encryption Market.

3] What is the market size of the Hardware Encryption Market by 2029?
Ans. The market size of the Hardware Encryption Market by 2029 is US$ 404.67 Mn.

4] What is the forecast period for the Hardware Encryption Market?
Ans. The forecast period for the Hardware Encryption Market is 2023-2029.

5] What was the market size of the Hardware Encryption Market in 2022?
Ans. The market size of the Hardware Encryption Market in 2022 was US$ 404.67 Mn.