세계의 하드웨어 암호화 시장 전망(-2030년) : 제품, 알고리즘 유형, 아키텍처, 배포 유형, 보안 수준, 최종 사용자 및 지역별 분석

According to Stratistics MRC, the Global Hardware Encryption Market is accounted for $432.9 million in 2024 and is expected to reach $1392.9 million by 2030 growing at a CAGR of 21.5% during the forecast period. Hardware encryption is a security measure that uses dedicated hardware components to encrypt and decrypt data, providing a faster and more secure alternative to software-based encryption. It operates independently of the system's processor, which enhances data protection and reduces vulnerability to malware and cyberattacks. Commonly used in devices like hard drives, SSDs, USBs, and network encryptors, hardware encryption safeguards sensitive information by ensuring that unauthorized users cannot access data, even if the device is lost, stolen.

According to a survey by Infosecurity Magazine, 94% of respondents said that their organization has a policy that requires encryption of data held on removable media.

Market Dynamics:

Driver:

Rising data security concerns

Hardware encryption provides an additional layer of security by encrypting data directly on physical devices, making it less vulnerable to hacking attempts. With more companies handling sensitive information, regulatory requirements like GDPR and HIPAA are pushing businesses to adopt stronger data protection measures, including hardware encryption. Unlike software encryption, hardware encryption is immune to malware and offers faster processing, making it ideal for high-security environments. The expansion of mobile and IoT devices also increases potential attack points, leading industries to prioritize secure data storage and transfer.

Restraint:

Limited awareness in developing markets

Limited awareness at many businesses in the regions prioritizes cost over security, leading to low adoption of encryption solutions. Additionally, the lack of knowledge about the risks of data breaches and regulatory compliance requirements further delays the adoption of hardware encryption. Without awareness, companies may rely on less secure or software-based alternatives, which are more vulnerable to cyber threats. This also results in a slow response to rising cybersecurity concerns. Consequently, the market growth is constrained as organizations in these regions miss out on securing sensitive data with advanced hardware encryption solutions.

Opportunity:

Increasing use in automotive and IoT sectors

The proliferation of IoT devices and linked automobiles has led to the generation and transmission of enormous volumes of sensitive data, including location, personal data, and operational data. A strong layer of protection is offered by hardware encryption, which shields this data from online threats and illegal access. Encryption improves passenger safety and trust in automotive applications, particularly in driverless vehicles, by protecting communication between vehicle systems. Hardware encryption for IoT devices supports sectors including manufacturing, smart homes, and healthcare by enabling safe data handling in real-time. The requirement for dependable hardware encryption solutions rises with the development of industries, driving market growth worldwide.

Threat:

Technological advancements in cyberattacks

Technological advancements in cyberattacks hinder the growth of the hardware encryption market by constantly challenging the effectiveness of existing security measures. As hackers develop more sophisticated tools, including AI-driven attacks, encryption methods must continually evolve to counter new threats. Advanced cyberattacks, such as side-channel attacks, can potentially bypass hardware encryption mechanisms, making them less reliable. This forces companies to invest in more advanced and expensive encryption solutions, impacting adoption rates. Furthermore, zero-day vulnerabilities in hardware devices can expose encrypted data to risks, diminishing confidence in hardware encryption's security. As cyber threats grow in complexity, organizations may feel the need for even more advanced, often costly, protective measures beyond hardware encryption alone.

Covid-19 Impact

The COVID-19 epidemic sped up remote work and digital transformation, which raised need for safe data transport and storage and helped the hardware encryption business. However, disruptions in global supply chains led to component shortages and production delays, slightly slowing growth. Additionally, budget constraints amid economic uncertainty affected investments in advanced encryption solutions, particularly for small businesses. Despite these challenges, heightened cybersecurity concerns and regulatory compliance needs continue to drive long-term adoption of hardware encryption across sectors.

The USB drives segment is expected to be the largest during the forecast period

The USB drives segment is estimated to have a largest share, due to its widespread use for portable data storage across various sectors. With rising data breaches and security threats, encrypted USBs offer enhanced protection by ensuring data is secure even if the device is lost or stolen. Many organizations, particularly in healthcare, finance, and government, mandate encrypted USBs to comply with stringent data privacy regulations. Additionally, encrypted USB drives provide convenience, allowing users to carry sensitive data securely between locations. This growth in encrypted USB adoption reflects a broader market shift toward more robust, hardware-based data protection methods.

The automotive segment is expected to have the highest CAGR during the forecast period

The automotive segment is anticipated to witness the highest CAGR growth during the forecast period, due to the increasing adoption of connected and autonomous vehicles, which demand high data security to protect against cyber threats. With vehicle systems exchanging large volumes of sensitive data in real time, encryption ensures the privacy and integrity of information shared between components. Hardware encryption safeguards critical vehicle functions, from navigation to infotainment and safety systems, from unauthorized access. Regulatory requirements for automotive cybersecurity further drive the need for robust encryption solutions, boosting market growth.

Region with largest share:

Asia Pacific is projected to hold the largest market share during the forecast period due to the increased adoption of digital technologies, rising cybersecurity concerns, and stricter data protection regulations. Countries like China, India, Japan, and South Korea are witnessing a surge in demand for secure data storage solutions across various sectors, including IT, healthcare, finance, and government. The rapid expansion of IoT, cloud computing, and mobile devices further fuels the need for robust encryption solutions. Additionally, ongoing technological advancements and increasing awareness about data security are driving market growth in the region.

Region with highest CAGR:

North America is projected to have the highest CAGR over the forecast period, owing to cybersecurity concerns and stringent data protection regulations like GDPR and CCPA. The region's strong presence of key players, such as IBM, Seagate, and Western Digital, contributes to rapid innovation and adoption of advanced encryption technologies. With the rise in data breaches and the growing reliance on cloud computing, both enterprises and government agencies are adopting hardware encryption solutions for secure data storage and transmission. North America's high technological advancement and infrastructure further fuel the market's expansion.

Key players in the market

Some of the key players profiled in the Hardware Encryption Market include Western Digital Corporation, Seagate Technology LLC, Samsung Electronics Co., Ltd., Intel Corporation, Micron Technology, Inc., Toshiba Corporation, Kingston Technology Corporation, Gemalto NV (Thales Group), NetApp, Inc., IBM Corporation, Broadcom Inc., Qualcomm Technologies, Inc., Cisco Systems, Inc., Maxim Integrated Products, Inc., WinMagic Inc., Sophos Ltd., Micronas Semiconductor (TDK Group), McAfee LLC and Certes Networks, Inc.

Key Developments:

In October 2024, Samsung extended its collaboration with Orange to promote sustainability and enhance mobile services in Europe. The partnership focuses on reducing mobile waste through refurbished devices, with both companies testing 5G standalone (SA) technologies.

In July 2024, Samsung acquired Oxford Semantic Technologies, a leader in knowledge graph and semantic reasoning software. The acquisition will help integrate advanced AI personalization into Samsung's products, such as mobile devices, TVs, and home appliances, ensuring enhanced user experiences while maintaining privacy and security.

Products Covered:

• External Hard Disk Drives (HDD)
• Internal Hard Disk Drives (HDD)
• Solid State Drives (SSD)
• Inline Network Encryptors
• USB Drives
• Other Products

Algorithm Types Covered:

• Symmetric Key Encryption
• Asymmetric Key Encryption

Architectures Covered:

• Application-Specific Integrated Circuit (ASIC)
• Field-Programmable Gate Array (FPGA)

Deployment Types Covered:

• On-Premises
• Cloud-Based

Security Levels Covered:

• Standard Encryption
• High-Level Security

End Users Covered:

• Consumer Electronics
• Industrial
• Aerospace & Defense
• Automotive
• Transportation
• Healthcare
• IT & Telecom
• Banking, Financial Services, and Insurance (BFSI)
• Other End Users

Regions Covered:

• North America
  • US
  • Canada
  • Mexico
• Europe
  • Germany
  • UK
  • Italy
  • France
  • Spain
  • Rest of Europe
• Asia Pacific
  • Japan
  • China
  • India
  • Australia
  • New Zealand
  • South Korea
  • Rest of Asia Pacific
• South America
  • Argentina
  • Brazil
  • Chile
  • Rest of South America
• Middle East & Africa
  • Saudi Arabia
  • UAE
  • Qatar
  • South Africa
  • Rest of Middle East & Africa

What our report offers:

• Market share assessments for the regional and country-level segments
• Strategic recommendations for the new entrants
• Covers Market data for the years 2022, 2023, 2024, 2026, and 2030
• Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
• Strategic recommendations in key business segments based on the market estimations
• Competitive landscaping mapping the key common trends
• Company profiling with detailed strategies, financials, and recent developments
• Supply chain trends mapping the latest technological advancements

Free Customization Offerings:

All the customers of this report will be entitled to receive one of the following free customization options:

• Company Profiling
  • Comprehensive profiling of additional market players (up to 3)
  • SWOT Analysis of key players (up to 3)
• Regional Segmentation
  • Market estimations, Forecasts and CAGR of any prominent country as per the client's interest (Note: Depends on feasibility check)
• Competitive Benchmarking
  • Benchmarking of key players based on product portfolio, geographical presence, and strategic alliances

Table of Contents

1 Executive Summary

2 Preface

• 2.1 Abstract
• 2.2 Stake Holders
• 2.3 Research Scope
• 2.4 Research Methodology
  • 2.4.1 Data Mining
  • 2.4.2 Data Analysis
  • 2.4.3 Data Validation
  • 2.4.4 Research Approach
• 2.5 Research Sources
  • 2.5.1 Primary Research Sources
  • 2.5.2 Secondary Research Sources
  • 2.5.3 Assumptions

3 Market Trend Analysis

• 3.1 Introduction
• 3.2 Drivers
• 3.3 Restraints
• 3.4 Opportunities
• 3.5 Threats
• 3.6 Product Analysis
• 3.7 End User Analysis
• 3.8 Emerging Markets
• 3.9 Impact of Covid-19

4 Porters Five Force Analysis

• 4.1 Bargaining power of suppliers
• 4.2 Bargaining power of buyers
• 4.3 Threat of substitutes
• 4.4 Threat of new entrants
• 4.5 Competitive rivalry

5 Global Hardware Encryption Market, By Product

• 5.1 Introduction
• 5.2 External Hard Disk Drives (HDD)
• 5.3 Internal Hard Disk Drives (HDD)
• 5.4 Solid State Drives (SSD)
• 5.5 Inline Network Encryptors
• 5.6 USB Drives
• 5.7 Other Products

6 Global Hardware Encryption Market, By Algorithm Type

• 6.1 Introduction
• 6.2 Symmetric Key Encryption
• 6.3 Asymmetric Key Encryption

7 Global Hardware Encryption Market, By Architecture

• 7.1 Introduction
• 7.2 Application-Specific Integrated Circuit (ASIC)
• 7.3 Field-Programmable Gate Array (FPGA)

8 Global Hardware Encryption Market, By Deployment Type

• 8.1 Introduction
• 8.2 On-Premises
• 8.3 Cloud-Based

9 Global Hardware Encryption Market, By Security Level

• 9.1 Introduction
• 9.2 Standard Encryption
• 9.3 High-Level Security

10 Global Hardware Encryption Market, By End User

• 10.1 Introduction
• 10.2 Consumer Electronics
• 10.3 Industrial
• 10.4 Aerospace & Defense
• 10.5 Automotive
• 10.6 Transportation
• 10.7 Healthcare
• 10.8 IT & Telecom
• 10.9 Banking, Financial Services, and Insurance (BFSI)
• 10.10 Other End Users

11 Global Hardware Encryption Market, By Geography

• 11.1 Introduction
• 11.2 North America
  • 11.2.1 US
  • 11.2.2 Canada
  • 11.2.3 Mexico
• 11.3 Europe
  • 11.3.1 Germany
  • 11.3.2 UK
  • 11.3.3 Italy
  • 11.3.4 France
  • 11.3.5 Spain
  • 11.3.6 Rest of Europe
• 11.4 Asia Pacific
  • 11.4.1 Japan
  • 11.4.2 China
  • 11.4.3 India
  • 11.4.4 Australia
  • 11.4.5 New Zealand
  • 11.4.6 South Korea
  • 11.4.7 Rest of Asia Pacific
• 11.5 South America
  • 11.5.1 Argentina
  • 11.5.2 Brazil
  • 11.5.3 Chile
  • 11.5.4 Rest of South America
• 11.6 Middle East & Africa
  • 11.6.1 Saudi Arabia
  • 11.6.2 UAE
  • 11.6.3 Qatar
  • 11.6.4 South Africa
  • 11.6.5 Rest of Middle East & Africa

12 Key Developments

• 12.1 Agreements, Partnerships, Collaborations and Joint Ventures
• 12.2 Acquisitions & Mergers
• 12.3 New Product Launch
• 12.4 Expansions
• 12.5 Other Key Strategies

13 Company Profiling

• 13.1 Western Digital Corporation
• 13.2 Seagate Technology LLC
• 13.3 Samsung Electronics Co., Ltd.
• 13.4 Intel Corporation
• 13.5 Micron Technology, Inc.
• 13.6 Toshiba Corporation
• 13.7 Kingston Technology Corporation
• 13.8 Gemalto NV (Thales Group)
• 13.9 NetApp, Inc.
• 13.10 IBM Corporation
• 13.11 Broadcom Inc.
• 13.12 Qualcomm Technologies, Inc.
• 13.13 Cisco Systems, Inc.
• 13.14 Maxim Integrated Products, Inc.
• 13.15 WinMagic Inc.
• 13.16 Sophos Ltd.
• 13.17 Micronas Semiconductor (TDK Group)
• 13.18 McAfee LLC
• 13.19 Certes Networks, Inc.