Email Encryption Market

According to Stratistics MRC, the Global Email Encryption Market is accounted for $6.01 billion in 2023 and is expected to reach $29.14 billion by 2030 growing at a CAGR of 25.3% during the forecast period. Sensitive information that is susceptible when communicated by email, such as passwords, login credentials, social security numbers, and bank account details, is protected with email encryption. The usage of email for information exchange among clients and workers has expanded as a result of small and medium businesses becoming more technologically savvy. These business emails frequently include sensitive information that has to be secured against theft and manipulation. Email encryption is a vital tool for organizations to protect their data from fraudsters and dangerous software.

According to Right Inbox, there were more than 3 billion email users worldwide in 2019, and that number is expected to reach 4.3 billion by 2022. Users sent an estimated more than 280 billion personal and professional emails per day in 2018.

Market Dynamics:

Driver:

Rise in BEC scams

Organizations have experienced significant financial losses as a result of these sophisticated cyber-attacks throughout the years, including email-based phishing and BEC schemes. In BEC, adversaries target business email accounts, impersonating clients, partners, or staff in order to obtain financial benefits including authorizing money transfers to hackers' accounts. Data theft for nefarious motives is becoming more common through dishonest methods like spear phishing. The market is developing as a result of these expanding frauds.

Restraint:

Risk of corruption

Emails, files, folders, and private data are all protected using encryption methods. Solutions for encryption key management protect cryptographic keys against theft. These password-like cryptographic keys are made up of letters and numbers. The material from the past and present becomes available to hackers if encryption keys become compromised. Therefore, these encryption keys must be protected and kept secret with the aid of professionals in order to prevent hacking by unknown people. One of the biggest problems in the email encryption business is the need for key management and verification solutions for encrypting keys.

Opportunity:

Surge in number of internet users

Due to growing awareness of the need for a reliable email security solution, email encryption has recently been extremely popular among corporate businesses across a variety of industrial industries. Email encryption solutions are anticipated to become more widely used as digital communication becomes ever more secure. Due to the exponential increase in demand for end-to-end encryption to protect sensitive information over the past few years, participants in the present email encryption market landscape are anticipated to draw a sizable clientele in the years to come. The raise in the internet users has boosted the market growth.

Threat:

High cost of solutions

As more IT resources are needed to secure and encrypt communications, the use of email encryption solutions considerably raises enterprises' total overhead expenses. The cost of the solution increases in proportion to the size of the encrypted file. Additionally, the expenditures of regular maintenance and upgrades contribute to the total rise in an organization's expenses. A costly solution for low-budget businesses to implement is the software license fees levied per user (email account), maintenance charges of the email encryption software, and technical assistance for users. All of these reasons together prevent the widespread use of email encryption technologies.

Covid-19 Impact

In the first half of the forecast period, the COVID-19 pandemic is anticipated to have a minor effect on the overall growth prospects of the global email encryption market. There has been a need for a strong email encryption solution as companies continue to permit workers to work from home or other remote places. Another reason that is anticipated to produce substantial revenue for competitors in the present email encryption market landscape is the huge increase in the volume of emails that are sent and received in 2020.

The cloud-based email server segment is expected to be the largest during the forecast period

The cloud-based email server segment is estimated to have a lucrative growth. Before being sent to the inbox, suspicious attachments may be examined for dangerous code in a secure sandbox environment thanks to cloud email security. Providers providing cloud-based email frequently have greater resources to guarantee that servers are safe and up to date. In order to defend against well-known dangers like malware, phishing, and spam emails, they also contain native email security capabilities. In the event that data is lost, stolen, or unintentionally disclosed, data encryption assures that the contents are essentially worthless without the encryption key. Keys are only accessible to authorized users once again.

The banking, financial services & insurance segment is expected to have the highest CAGR during the forecast period

The banking, financial services & insurance segment is anticipated to witness the fastest CAGR growth during the forecast period. As the BSFI sector generates enormous amounts of sensitive and private financial data, businesses are increasingly embracing email encryption solutions to assure irreversible encryption. The BSFI sector is heavily regulated, and many countries across the world have put these restrictions into effect to guard against sophisticated email threats like phishing and APTs. Additionally, as the use of internet banking, financial services, and banking has grown, so too have insider dangers. The BFSI is heavily utilizing the market to manage the data resulting from these assaults.

Region with largest share:

Asia Pacific is projected to hold the largest market share during the forecast period. To compete in the regional and worldwide market, the businesses in this region are concentrating on forming alliances, merger-acquisitions, and the provision of cutting-edge solutions. As a result of the global pandemic, the region's IT behemoths are also investing more in the detection of email threats, which is further boosting the market's expansion.

Region with highest CAGR:

North America is projected to have the highest CAGR over the forecast period. Leading suppliers like Symantec, CISCO, and Proofpoint, Inc. are present in North America, and there is a large rising demand to safeguard email information and URLs from cyber-attacks in this region. Major corporations in this area are also concentrating on forming strategic alliances and releasing cutting-edge products, which is opening up profitable chances for the industry.

Key players in the market

Some of the key players profiled in the Email Encryption Market include IBM Corporation, Dell Technologies Inc, Broadcom Inc., Forcepoint, Cisco Systems Inc, Juniper Networks Inc, Hewlett Packard Enterprise Development LP, McAfee Inc, Mimecast Services Limited, Micro Focus, BAE Systems, Fintech, Proofpoint, Sophos, Proofpoint Inc, Skybox Security Inc, Microsoft Corporation, Trend Micro Incorporated, Virtru and Sophos Limited.

Key Developments:

In May 2021, Sophos makes its email advanced portal encryption available to customers and partners. This portable encryption will allow senders to securely deliver encrypted emails in the web portals.

In February 2021, Mimecast partnered with Netskope, a leading security cloud company, based out of United States. This partnership focusses on securing cloud solutions and emails by utilizing enterprise grade DLP solutions.

In August 2020, BAE Systems announced that it has acquired Techmodal, a data consultancy and digital services company based out of United Kingdom. Techmodal expertise in data science, digital transformation, and data analytics, will help the company to strengthen its position in the market.

In March 2020, Fintechs, Beyond Encryption, and Origo announced that they have made full version of Unipass Mailock encrypted email service free to all customers of Origo Unipass for 2 months.

In February 2020, Proofpoint, a major cybersecurity and compliance company introduced set of integrated solutions, designed to protect organizations from email account compromise (EAC) and business email compromise (BEC) attacks.

Components Covered:
• Consulting
• Support & Maintenance
• Training & Education
• Services
• Software

Servers Covered:
• On-premise Email Server
• Cloud-based Email Server

Enterprise Sizes Covered:
• Small Enterprise
• Medium Enterprise
• Large Enterprise

End Users Covered:
• IT & Telecom
• Banking, Financial Services & Insurance
• Retail & Wholesale
• Healthcare
• Media & Education
• Energy & Utilities
• Government
• Hospitality
• Manufacturing
• Other End Users

Regions Covered:
• North America
o US
o Canada
o Mexico
• Europe
o Germany
o UK
o Italy
o France
o Spain
o Rest of Europe
• Asia Pacific
o Japan
o China
o India
o Australia
o New Zealand
o South Korea
o Rest of Asia Pacific
• South America
o Argentina
o Brazil
o Chile
o Rest of South America
• Middle East & Africa
o Saudi Arabia
o UAE
o Qatar
o South Africa
o 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 2021, 2022, 2023, 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
o Comprehensive profiling of additional market players (up to 3)
o SWOT Analysis of key players (up to 3)
• Regional Segmentation
o Market estimations, Forecasts and CAGR of any prominent country as per the client's interest (Note: Depends on feasibility check)
• Competitive Benchmarking
o Benchmarking of key players based on product portfolio, geographical presence, and strategic alliances