Identity and access management (IAM) presents a massive opportunity for the channel. That’s because the global market should nearly double, reaching $25.6 billion, by 2027.

That’s according to a new MarketsandMarkets report, which expects a compound annual growth rate of almost 14%. The market now totals $13.4 billion.

Major vendors in the IAM market include Microsoft, IBM, Oracle, Broadcom, Salesforce, Ping Identity, Okta, RSA Security, SecureAuth, SAP, Beyond Identity and more.

Breaches, Fraud Driving Demand

Increasing security breaches and identity related fraud, growing awareness about compliance management, increasing need for IAM for IoT, and more spending on cybersecurity following the COVID-19 pandemic should boost IAM market growth across the globe through 2027.

The proliferation of cloud-based IAM solutions and services, and growing hybrid cloud adoption, provide lucrative opportunities for vendors. Moreover, increasing integration of technologies such as artificial intelligence (AI), machine learning (ML), blockchain and biometrics into IAM will create new vendor opportunities.

COVID-19 has exacerbated the challenges of managing digital identity. A survey by Imprivata revealed 71% of organizations use manual processes for identity management. That can be prone to identity fraud and theft. Therefore, organizations will see a surge in IAM solutions adoption.

Among regions, Asia Pacific should grow at the highest CAGR through 2027. The need for strong and transparent identity verification practices is gaining traction in Asia Pacific countries.

Governments in China, Singapore and Japan are investing a significant portion of their federal budgets in developing cybersecurity tools. This is expected to drive the adoption of IAM solutions.