The global hardware encryption market reached a value of US$ 228 Billion in 2021. Looking forward, IMARC Group expects the market to reach US$ 1,251 Billion by 2027, exhibiting a CAGR of 32.66% during 2022-2027. Keeping in mind the uncertainties of COVID-19, we are continuously tracking and evaluating the direct as well as the indirect influence of the pandemic on different end use industries. These insights are included in the report as a major market contributor.

Encryption refers to the process of utilizing an algorithm to convert information or data into codes to prevent any unauthorized access. It protects sensitive data by transforming it into an unreadable ciphertext which can be decrypted using an encryption key. These types of encryption utilize a dedicated processor, which aids in the tasks of authentication and encryption. This processor is physically located on the encrypted drive which often generates the encryption key that can be unlocked using the user’s password. Since it protects the data against threats, such as cold boot, malicious code and brute force attacks, it is widely being adopted across diverse industry verticals, including banking, corporate, IT & Telecom, healthcare, etc.

Escalating adoption rates of portable storage devices which are used to transfer information between computers and create backup are one of the major factors contributing to the market growth. Hardware encryption devices offer efficient confidentiality of personal data from unauthorized access, which has positively influenced their sales globally. Furthermore, the rising cases of cyber-attacks have led private organizations as well as governments to make a shift toward hardware encryption as these systems are more resilient and deliver faster performance when compared with software encryptions. Moreover, the increasing sales of consumer electronics have led smartphone manufacturers to include fingerprint scanners in their devices. This protects the privacy of the users as well as makes the process of encryption and decryption faster.

Key Market Segmentation:
IMARC Group provides an analysis of the key trends in each sub-segment of the global hardware encryption market, along with forecasts at the global, regional and country level from 2022-2027. Our report has categorized the market based on algorithm and standard, architecture, product and application.

Breakup by Algorithm and Standard:

Advanced Encryption Standard (AES)
Rivest- Shamir-Adleman (RSA)

Breakup by Architecture:

Field-Programmable Gate Arrays (FPGA)
Application-Specific Integrated Circuits (ASIC)

Breakup by Product:

External Hard Disk Drives
Internal Hard Disk Drives
Inline Network Encryptors
USB Flash Drives

Breakup by Application:

Consumer Electronics
IT & Telecom
Aerospace and Defense

Breakup by Region:

Asia Pacific
South Korea
North America
United States
United Kingdom
Latin America
Middle East and Africa
Saudi Arabia
United Arab Emirates

Competitive Landscape:
The report has also analysed the competitive landscape of the market with some of the key players being Gemalto NV, IBM Corp., Imation Corp., Maxim Integrated Products, Micron Technology, Netapp, Samsung Electronics, SanDisk Corporation, Seagate Technology, Thales, Toshiba Corp., Western Digital Corp., Western Digital Technologies, Winmagic, etc.

Key questions answered in this report:

How has the global hardware encryption market performed so far and how will it perform in the coming years?
What are the key regional markets in the global hardware encryption industry?
What has been the impact of COVID-19 on the global hardware encryption industry?
What is the breakup of the market based on the algorithm and standard?
What is the breakup of the market based on the architecture?
What is the breakup of the market based on the product?
What is the breakup of the market based on the application?
What are the various stages in the value chain of the industry?
What are the key driving factors and challenges in the market?
What is the structure of the global hardware encryption market and who are the key players?
What is the degree of competition in the market?