Secure online access plays a key role in the exchange of data and information. That resource is more valuable to executives due to the insight it can provide in improving operational efficiencies. Protection of this resource must meet IT security requirements for approved user authentication.
Identity and Access Management (IAM) is the security discipline that enables the right individuals to access the right resources at the right times for the right reasons. These resources could be tools required to complete a job, access an enterprise database, or IT services and software apps hosted in the cloud.
Enterprise IT's essential role in the management of user authentication requires ensuring each person is who they claim to be while also enabling ease of access for those users. An effective access management solution will fulfill the security policies outlined by the Chief Information Security Officer (CISO).
Identity and Access Management Market Development
According to the latest worldwide market study by Juniper Research, global spending on identity and access management solutions will rise from $16 billion in 2022 to $26 billion by 2027 -- that's an absolute growth of 62 percent over the next 5 years.
Identity and access management includes B2B security solutions that enable the monitoring and management of a user's access to enterprise software applications, databases, and IT services.
The increasing demand for identity and access management will originate from small businesses which, until the proliferation of the SaaS subscription model, were often unable to afford comprehensive suites of identity and access management services.
The new research found that 94 percent of global identity and access management investment will be attributable to the SaaS subscription model by 2027 -- that's rising from 60 percent in 2022.
Juniper analysts anticipate that the use of the SaaS subscription model will become increasingly popular amongst small businesses, by reducing the initial acquisition cost of these essential IT services.
Additionally, the SaaS subscription model will enable service vendors to provide regular software updates that continually improve the value proposition of their identity and access security platforms.
The Juniper market study found that annual spending on identity and access management solutions by small businesses via SaaS subscription models will surpass $370 million globally by 2027 -- that's up from $178 million in 2022.
Identity and access management solution vendors should therefore capitalize on this growth by developing flexible pricing models that appeal to the small business sector and the large enterprise sector.
Furthermore, as enterprise adoption of public cloud services increases, so too will the demand for effective cybersecurity policies that help to prevent revenue and profit losses from cyber threats.
Outlook for Identity and Access Management Growth
According to the latest Juniper assessment, identity and access management solutions will represent a significant cornerstone of CIO and CTO cybersecurity initiatives, as more organizations seek to meet increased regulatory compliance for IT security.
That said, I believe the adoption of flexible working models and emerging hybrid work trends will drive greater demand for secure access to Digital Workspace solutions, which in turn increases the need for identity and access management offerings.
The impact of increased distributed workforce scenarios requires Chief Human Resource Officers (CHROs) to collaborate with their IT and corporate security counterparts to ensure that all intellectual property and customer data is effectively secured while in use by remote working employees.
This important process begins with new-hire onboarding and ends when the employee leaves the company. Government regulation and ongoing oversight of privacy protection also fuel the demand for secure access solutions.