“Global Quantum-resistant Cryptography Solutions Market to reach a market value of USD 4.1 Billion by 2031 growing at a CAGR of 31.4%”
The Global Quantum-resistant Cryptography Solutions Market size is expected to reach $4.1 billion by 2031, rising at a market growth of 31.4% CAGR during the forecast period.
With the digitization of healthcare data and the adoption of electronic health records (EHRs), the sector handles vast amounts of confidential information. Quantum-resistant cryptography offers advanced encryption methods to secure patient information against quantum-level decryption risks, helping healthcare providers comply with stringent data protection regulations. This focus on safeguarding privacy and maintaining trust in healthcare systems propels this segment's demand for quantum-resistant cryptography. Thus, the healthcare segment witnessed 34% revenue share in the quantum-resistant cryptography solutions market in 2023.
Advancements in quantum computing are fundamentally transforming the cryptography landscape and data security. Quantum computers operate on principles that differ dramatically from classical computers, enabling them to perform complex calculations at unimaginable speeds. As quantum technology advances, it becomes increasingly capable of solving practically unsolvable problems for classical computers. Additionally, the rise in cybersecurity threats over the past few years has underscored the critical need for stronger and more resilient security measures across all digital platforms. As hackers and malicious actors employ cutting-edge techniques to exploit flaws in traditional security systems, the frequency and complexity of cyberattacks are rising. Thus, this shift highlights quantum-resistant cryptography as an essential component of modern cybersecurity frameworks, further driving the market's growth.
However, Quantum-resistant cryptography is designed to counteract the capabilities of quantum computers, necessitating advanced systems that can manage the complexity of these encryption methods. Upgrading or replacing existing infrastructure to accommodate quantum-resistant algorithms often involves substantial investment in new hardware, security frameworks, and compatible software, making this transition expensive. Hence, the high implementation cost remains a primary factor hindering the broader adoption of quantum-resistant cryptography.
By end user, the quantum-resistant cryptography solutions market is segmented into healthcare, government & defense, BFSI, IT & telecom, retail & e-commerce, and others. The BFSI segment procured 18% revenue share in the quantum-resistant cryptography solutions market in 2023. Maintaining compliance and client trust in the highly regulated banking sector depends on protecting data security and privacy.
Based on type, the quantum-resistant cryptography solutions market is classified into software, hardware, and services. The services segment procured 35% revenue share in the quantum-resistant cryptography solutions market in 2023. Organizations seeking to transition to quantum-safe systems rely on service providers to guide them through deployment, integration, and maintenance. These services are essential for implementing QKD systems, adapting post-quantum cryptography within existing systems, and managing technical challenges during integration.
On the basis of application, the quantum-resistant cryptography solutions market is divided into network security, cloud security, database security, and application security. The application security segment recorded 27% revenue share in the quantum-resistant cryptography solutions market in 2023. The growing complexity of applications and the need to preserve their security against changing threats create a strong demand for the application security segment.
Free Valuable Insights: Global Quantum-resistant Cryptography Solutions Market size to reach USD 4.1 Billion by 2031
Region-wise, the quantum-resistant cryptography solutions market is analyzed across North America, Europe, Asia Pacific, and LAMEA. The Europe segment recorded 30% revenue share in the quantum-resistant cryptography solutions market in 2023. European countries have prioritized the development of quantum-resistant cryptography as part of broader efforts to protect critical data and infrastructure from potential quantum threats.
Report Attribute | Details |
---|---|
Market size value in 2023 | USD 495.5 Million |
Market size forecast in 2031 | USD 4.1 Billion |
Base Year | 2023 |
Historical Period | 2020 to 2022 |
Forecast Period | 2024 to 2031 |
Revenue Growth Rate | CAGR of 31.4% from 2024 to 2031 |
Number of Pages | 255 |
Number of Tables | 390 |
Report coverage | Market Trends, Revenue Estimation and Forecast, Segmentation Analysis, Regional and Country Breakdown, Porter’s 5 Forces Analysis, Company Profiling, Companies Strategic Developments, SWOT Analysis, Winning Imperatives |
Segments covered | Type, Application, End User, Region |
Country scope |
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Companies Included | Toshiba Corporation, QuintessenceLabs Pty. Ltd., Infineon Technologies AG, Qrypt Inc., IBM Corporation, ID Quantique SA, QuantumCTek Co., Ltd., QNu Labs Pvt. Ltd., Agnostiq, Inc. and NEC Corporation |
By Type
By Application
By End User
By Geography
This Market size is expected to reach $4.1 billion by 2031.
Rapid advancements in quantum computing are driving the Market in coming years, however, High implementation costs of quantum technology restraints the growth of the Market.
Toshiba Corporation, QuintessenceLabs Pty. Ltd., Infineon Technologies AG, Qrypt Inc., IBM Corporation, ID Quantique SA, QuantumCTek Co., Ltd., QNu Labs Pvt. Ltd., Agnostiq, Inc. and NEC Corporation
The expected CAGR of this Market is 31.4% from 2024 to 2031.
The Software segment is leading the Market by Type in 2023; thereby, achieving a market value of $1.7 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 $1.5 billion by 2031.
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