Global embedded security market to showcase promising growth

Side-channel attacks utilise processed data from a system or a chip and use it to steal sensitive data such as cryptographic keys and confidential communication. Side-channel analysis is carried out by security teams where an embedded security system uses several types of security to discover areas of concern. Besides identifying potential embedded security threats, it also has security features for enhanced system engineering that stops hackers from using the software. Moreover, embedded security solutions are also capable of handling end-to-end threat analysis, security design and testing, real-time computing data, and securing programs. Such utilities are paving the way for the expansion of the global embedded security market. In the 2021-2026 forecast period, the global embedded security market is poised to grow from its 2019 valuation of $5.8 billion and reach a staggering figure of $9.8 billion by 2026. Verily, the CAGR during this period will be 8.1%.

Robust demand for wearables to create fruitful market niches

Recently, the demand for wearable technologies has increased drastically. Smart clothing, glasses, jewellery, and virtual reality (VR) equipment sales are reaching newer heights. Users are utilising these smart gadgets for various purposes including fitness tracking, health monitoring, entertainment, and navigation among others. Against the backdrop of increasing wearable tech usage, several apps for payments and smart home control are emerging which require user consent for optimal performance. This is becoming a potential vulnerability that cybercriminals can target. These niche cases are creating demand for embedded security systems. The growing need for secure digital payments is creating fructuous business outcomes for the embedded security market.

Notable innovations to fuel long-term market growth

Modern consumers and system markers are now seeking protection from various malicious entities. Security providers are delivering this via cutting-edge anti-counterfeit technologies and secure authentication solutions. This is achieved by creating intuitive card handling and fully-integrated one-module solutions for managing standard high-volume card manufacturing. This approach allows card manufacturers to deliver the highest security alongside other security features for medical, retail, and critical infrastructure domains. Moreover, the demand for robust embedded security solutions has also upsurged due to a need for simplified protection, threat analysis, and encryption, and regulatory compliance applications. All these advancements are instrumental in the growth of the embedded security market. The major players in the embedded security market include Thales Group, Infineon Technologies AG, Cisco Systems, NXP Semiconductors, STMicroelectronics, Renesas Electronics, Texas Instruments, Microchip Technology, Qualcomm, Morpho, Samsung Electronics, and Escrypt.

Asia Pacific to lead embedded security market owing to increasing cybercrimes

Increasing cybersecurity concerns and the growing adoption of digital technologies are enabling Asia Pacific to remain a dominant force in the embedded security market. Major regional economies such as China, India, Japan, and Singapore are constantly dealing with cyberattacks of various kinds. The region is showcasing a huge growth in cybercrime registrations. Moreover, the increasing output of highly sensitive data and a growing IoT network is making embedded security a need of the hour. Malware and ransomware attacks have also increased in the APAC region post-pandemic.