“Global Identity and Access Management Market to reach a market value of USD 42.9 Billion by 2031 growing at a CAGR of 12.2%”
The Global Identity and Access Management Market size is expected to reach $42.9 billion by 2031, rising at a market growth of 12.2% CAGR during the forecast period.
Provisioning automates assigning, managing, and revoking user access to systems and applications, ensuring that employees have the right access based on their roles. This streamlines onboarding and offboarding processes, reduces administrative workload, and enhances security by applying the principle of least privilege, where users only have the access necessary for their roles. As organizations expand and workforce roles change, effective provisioning becomes crucial for operational efficiency and safeguarding sensitive data. Thus, the provisioning segment witnessed 28% revenue share in the identity and access management market in 2023.
The major strategies followed by the market participants are Partnership as the key developmental strategy to keep pace with the changing demands of end users. For instance, In 2024, Jun, IBM Corporation partnered with ID Data, an access management solutions provider, to integrate IBM Security Verify with ID Data's identity verification workflows. This partnership enhances identity access management (IAM) by providing seamless credential issuing, fraud prevention, and flexible identity-proofing workflows, offering joint customers improved security and streamlined user experiences. Additionally, In June, 2024, Cisco Systems, Inc. announced a partnership with WALLIX, an access management solutions provider, to enhance industrial cybersecurity, integrating WALLIX’s PAM4OT OT.Security and Cisco Cyber Vision solutions. This partnership provides centralized, secure access management for OT environments, ensuring compliance and asset protection.
Based on the Analysis presented in the KBV Cardinal matrix; Google LLC is the forerunner in the Identity and Access Management Market. Companies such as Broadcom, Inc., Amazon Web Services, Inc., and Oracle Corporation are some of the key innovators in Identity and Access Management Market. In September, 2023, Oracle Corporation and Mastercard, Inc., the second-largest payment-processing corporation worldwide, partnered to automate B2B payment transactions, connecting Oracle Fusion Cloud ERP directly with banks for streamlined processes and offering corporate customers simplified access and banks enhanced services.
The frequency and severity of cyberattacks have reached unprecedented levels, targeting sensitive information such as customer data, intellectual property, and financial records. High-profile breaches highlight the vulnerability of even the most advanced organizations, leading companies to reevaluate their security strategies.
Additionally, as businesses adopt cloud platforms for agility, scalability, and cost-effectiveness, the need for secure identity and access management in these environments has intensified. The shift to cloud-based infrastructure has introduced new complexities in security, as organizations must now manage access to a range of cloud applications, storage solutions, and virtual networks. Thus, as cloud adoption continues to expand, the role of IAM in ensuring secure, controlled, and efficient access across cloud environments will only become more crucial.
Deploying an IAM solution involves investing in advanced technologies that support secure identity verification, access control, and compliance measures. These technologies often come with high licensing fees, ongoing subscription costs, and additional fees for scaling as the organization grows. Hence, high implementation costs pose a significant barrier to adopting the identity and access management market.
The leading players in the market are competing with diverse innovative offerings to remain competitive in the market. The above illustration shows the percentage of revenue shared by some of the leading companies in the market. The leading players of the market are adopting various strategies in order to cater demand coming from the different industries. The key developmental strategies in the market are Partnerships, Collaborations & Agreements.
Based on organization size, the market is bifurcated into large enterprises and small & medium enterprises (SMEs). The small & medium enterprises (SMEs) segment procured 43% revenue share in the market in 2023. SMEs face similar cybersecurity threats and regulatory requirements. The growing number of data breaches and cyberattacks that are directed at smaller firms has led to an increased awareness of identity and access management solutions as a technique of securing user identities and access rights that is both time and money-efficient.
On the basis of deployment, the market is classified into on-premise, hybrid, and cloud. The hybrid segment recorded 31% revenue share in the market in 2023. Hybrid IAM appeals to organizations that wish to keep sensitive data on-premise for security and compliance purposes but also want to leverage the scalability, cost-efficiency, and accessibility of cloud-based solutions for less sensitive operations.
By component, the market is divided into provisioning, multifactor authentication (MFA), audit, compliance & governance, password management, single sign-on (SSO), and directory service. The audit, compliance & governance segment procured 19% revenue share in the in 2023. With strict data protection laws like GDPR and HIPAA, businesses must ensure that access to sensitive information is tightly controlled and that any access activity is traceable.
Based on end-use, the market is segmented into public sector & utilities, BFSI, telecom & IT, manufacturing, healthcare, education, energy, oil & gas, and others. The public sector & utilities segment acquired 22% revenue share in the market in 2023. Governments and utilities face increasing cyber-attack threats aiming to disrupt essential services like water, electricity, and transportation.
Free Valuable Insights: Global Identity and Access Management Market size to reach USD 42.9 Billion by 2031
The Identity and Access Management (IAM) market is highly competitive, driven by rising cybersecurity threats and regulatory compliance needs. It is characterized by solutions that emphasize user authentication, access controls, and data protection. Key market attributes include the adoption of cloud-based services, AI-driven security measures, and zero-trust frameworks. Differentiation often lies in scalability, ease of integration, and robust compliance features. As digital transformation accelerates, the market is poised for growth, with innovations aimed at enhancing security and user experience.
Region-wise, the market is analyzed across North America, Europe, Asia Pacific, and LAMEA. The Europe segment acquired 32% revenue share in the market in 2023. Organizations are obligated to implement IAM solutions in order to mitigate the risk of data intrusions and ensure compliance with GDPR's emphasis on user privacy, data security, and accountability.
| Report Attribute | Details |
|---|---|
| Market size value in 2023 | USD 17.4 Billion |
| Market size forecast in 2031 | USD 42.9 Billion |
| Base Year | 2023 |
| Historical Period | 2020 to 2022 |
| Forecast Period | 2024 to 2031 |
| Revenue Growth Rate | CAGR of 12.2% from 2024 to 2031 |
| Number of Pages | 348 |
| Number of Tables | 513 |
| Report coverage | Market Trends, Revenue Estimation and Forecast, Segmentation Analysis, Regional and Country Breakdown, Competitive Landscape, Market Share Analysis, Porter’s 5 Forces Analysis, Company Profiling, Companies Strategic Developments, SWOT Analysis, Winning Imperatives |
| Segments covered | Organization Size, Deployment, Component, End-use, Region |
| Country scope |
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| Companies Included | IBM Corporation, Google LLC, Cisco Systems, Inc., Oracle Corporation, Broadcom, Inc., Amazon Web Services, Inc. (Amazon.com, Inc.), NEC Corporation, Fortra, LLC (HGGC), Ping Identity Holding Corp. (Thoma Bravo, L.P.) and Delinea Inc. (TPG Inc.) |
By Organization Size
By Deployment
By Component
By End-use
By Geography
This Market size is expected to reach $42.9 billion by 2031.
Rising cybersecurity threats across the globe are driving the Market in coming years, however, High implementation costs of comprehensive IAM solution Costs restraints the growth of the Market.
IBM Corporation, Google LLC, Cisco Systems, Inc., Oracle Corporation, Broadcom, Inc., Amazon Web Services, Inc. (Amazon.com, Inc.), NEC Corporation, Fortra, LLC (HGGC), Ping Identity Holding Corp. (Thoma Bravo, L.P.) and Delinea Inc. (TPG Inc.)
The expected CAGR of this Market is 12.2% from 2024 to 2031.
The On-premise market dominated the Market by Deployment in 2023; thereby, achieving a market value of $19.5 billion by 2031.
The North America region dominated the Market by Region in 2023, and would continue to be a dominant market till 2031; thereby, achieving a market value of $14,896.7 million by 2031.
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