Global Network Encryption Market

Network Encryption Market Insights

Network encryption is a security process of encoding or encrypting sensitive data such as passwords, credentials, messages, or files among others that are communicated or transmitted through a computer network. As per the studies performed by GME, the global network encryption market is expected to show a peek at a CAGR of 10.10% within the 2020-2026 time scale. The network encryption or network layer involves various methods, tools, and standards that ensure that the sensitive data is unreadable when transmitted among two or multiple networks. Network encrypt becomes invisible for the end-user by using the existing network service. For the implementation of network encrypts, Internet Protocol Security (IPSec) is used. IPSec is open to Internet Engineering Task Force (IETF) standards used in conjecture and creates a substructure over IP networks for private communication.

Increasing demand from various organizations to shield sensitive data from security violations transmitted through multiple networks is the primary factor fuelling the demand of the network encryption market. Raising stringent regulations and the need to attain these standards in developing and developed countries is expected to build the business of the network encryption market in the coming years. Furthermore, applications and benefits such as 24*7 data security, protection to the connected devices, and high data integrity are expected to maintain the growth momentum of the network encryption market in the coming years.

Various fluctuations in regulations associated with the regions is a major challenge for the network encryption market. Also, the high implementation and integration cost of the encryption is expected to hamper the business momentum between the mentioned span.

By Transmission

Based on transmission the market is explained into the optical transmission and traditional transmission. Twisted pair cable and co-axial cable are the subdivisions of the traditional transmission segment. Data transfer between two places is facilitated by a pathway, transmission media.  Optical transmission is expected to dominate the market at the highest CAGR rate in the defined time frame. Fiber optics put forward various advantages such as reduced noise and interference, enormous bandwidth, and high data security in transit. Thus, owing to high-speed data transfer with improved security, many organizations are looking forwards to adopt optical transmission through optic fibers.

By Component

Hardware, Platform, and Services are the bifurcations of the component segment of the network encryption market. The hardware segment is the expected division to witness the highest CAGR market in the coming years. High speed, robust security, low latency are the hardware associated benefits that play a crucial role in the network encryption market.   Besides, advanced security against endpoints, applications, and network threats is adding values to the overall market growth.

By Organization Size

Small and medium-sized enterprises and large enterprises are the two segments based on organization size. Large enterprises shared the largest organization market of network encryption. Large enterprises operate on a larger scale as per the need to secure large volume data generated from departments such as HR, sales, marketing, and among others. Therefore to achieve the business targets from voluminous data and prevent unauthorized asses of confidential data, large enterprises are at the frontline to adopt the network encryption solutions. Bigger brands are also inclined towards investing in security solutions so to maintain the brand image from any unethical use of any enterprise data.

Network Encryption Market: By Vertical

By vertical the market can be explained into BFSI, government, telecom and IT, and media & entertainment among others. Telecom and IT banking is the largest shareholder for the network encryption market owing to increased critical issues related to online frauds which made it difficult for cyber experts, service providers, operators, and users around the globe. Also, innovation in technologies and increased usage of mobile devices, the internet, bring your own device(BYOD), in the organization has accelerated the need to protect data that has transmitted over the network and obey company regulations. Companies like Huawei and Cisco are developing network encryption solutions to secure business-critical information for telecom and IT banking.  

Network Encryption Market: By Region

North America region is expected to witness the highest growth in the network encryption market during the 2020-2026 period. Digital migration of business and adoption of security solutions by large enterprises is accelerating the market demand for the product. Also, being a technologically advanced region and high government regulation leads to widening the target audience percentage. The NA government provides lucrative platforms for start-ups and SMEs and creating a massive demand for network encryption solutions.

Asia Pacific region is the second-highest revenue builder region of the globe and is expected to show a significant trend in the target market in the mentioned period.    

Network Encryption Market Share and Competitor Analysis

The key players operating in the market include Aruba, Huawei, Eci Telecom, Atos, Juniper Networks Senetas, Viasat Cisco, Rohde & Schwarz Cybersecurity, Adva, Thales Esecurity, Certes Networks, Gemalto, Nokia, Colt Technology Services, Aruba, Huawei, and Ciena, among others.

Please note: This is not an exhaustive list of companies profiled in the report.

In October 2020, Cisco collaborated with Verizon business to provide solutions to sports and entertainment venues. They offer a safer in-person experience solution by combining Verizon’s 5G network and 5G edge.

In October 2020, Thales comes up with a new security solution for Teradata customers relying on the vantage platform for analytics and data. The user will get total transparency and a much scalable solution for data protection in any environment.

In November 2018, Cisco acquired Duo security. This acquisition made it extremely easy for the users to connect with any application on any networked device at a much high rate.

Check the Press Release on Global Network Encryption Market Report