IoT IAM vendors are enhancing their solutions to help their clients confront growing security challenges.
A recent report published by MarketsandMarkets predicts that the IoT Identity and Access Management (IAM) market will be worth $14 billion by 2027. The current market size for 2022 is $5.6 billion. This is a compound annual growth rate (CAGR) of 20.1% over the target period. Driving the market is an increase in cybersecurity threats and cyber attacks.
In general, the wide-scale use of IoT increases the threat of attacks. Advanced threats, such as ransomware, malware, bots, and Distributed Denial of Service (DDoS) attack, can cause huge financial, personal, and corporate data loss. The extended growth of IoT across all the industry verticals faces critical challenges of managing identities and governing access to vital business processes and information. As such, IoT IAM vendors are enhancing their solutions portfolio to help their clients confront these challenges and benefit the most from their digital ecosystems.
Some sectors are particularly interested in IoT IAM. For example, the banking and financial services sector is already making significant innovations thanks to IoT, and that drive won’t slow down any time soon. IoT is helping every stage of the customer journey here, and finance and insurance institutions are eager to continue creating those valuable experiences.
However, banks and financial services institutions need multilayered security to combat fraud and the devastating consequences of a leak. The market will enable authentic experiences for users and help protect both banks and their customers.
Companies are also turning to IAM solutions to secure their networks. IAM offers structure to policies so that businesses can better control digital identities and user access. After the pandemic, more companies struggled to verify network devices as remote work became more common. IAM offers tools to monitor a multitude of different network devices without impacting ease of use.
Rapid digitalization within the Asia Pacific region has contributed to the explosion of growth in the IoT IAM market. Companies here are grappling with a mobile workforce, unregulated internet challenges, and an increasing complexity in business as things continue to move globally. These IoT applications bring much to the table for security.