by The global Out-Of-Band (OOB) Authentication Market is estimated to be valued at US$553.45 million in 2022 and is expected to exhibit a CAGR of 22.8% over the forecast period (2021-2030), as highlighted in a new report published by Coherent Market Insights.
- A) Market Overview:
Out-of-Band (OOB) Authentication provides an additional layer of security by utilizing multiple channels to verify user identities. This includes methods such as SMS authentication, email verification, voice calls, and push notifications. The market is driven by the increasing adoption of multi-factor authentication, which enhances security by combining multiple authentication factors. OOB authentication is widely used in sectors such as banking and finance, healthcare, and retail to protect sensitive data and prevent unauthorized access.
- B) Market Dynamics:
- Driver: Increasing adoption of multi-factor authentication
Multi-factor authentication has become crucial in today’s digital landscape to combat the rising number of cyber threats. OOB authentication provides an extra layer of security by adding additional authentication factors beyond traditional usernames and passwords. This helps prevent unauthorized access and minimizes the risk of data breaches.
For example, banks are implementing Out-Of-Band (OOB) Authentication Market authentication to protect their customers’ online banking transactions. SMS authentication or push notifications are sent to the customer’s registered mobile device, ensuring secure verification of transactions.
- Driver: Rising cyber threats
Cyber threats such as phishing attacks, ransomware, and identity theft are increasing, posing significant risks to organizations and individuals. OOB authentication adds an additional layer of security, making it harder for cybercriminals to gain access to sensitive data.
For instance, when a user tries to log in to an account, OOB authentication can send a push notification to their registered mobile device. The user must approve the authentication request on their device, ensuring that only authorized individuals can access the account.
- C) SWOT Analysis:
– Strength: Enhanced security
– Examples: Multi-factor authentication, additional verification channels
– Strength: Widely adopted in various industries
– Examples: Banking, healthcare, retail
– Weakness: Reliance on third-party channels
– Examples: Delays due to network issues
– Weakness: Potential for user discomfort
– Examples: Receiving multiple authentication prompts can be inconvenient
– Opportunity: Integration with emerging technologies
– Examples: Biometric authentication, artificial intelligence
– Opportunity: Growing demand for cloud-based authentication solutions
– Examples: Scalability, flexibility
– Threat: Advancements in hacking techniques
– Examples: Increased sophistication of cyber attacks
– Threat: Regulatory compliance challenges
– Examples: Ensuring compliance with data protection regulations
- D) Key Takeaways:
In terms of market size, the global Out-of-Band (OOB) Authentication market is expected to witness high growth, exhibiting a CAGR of 22.8% over the forecast period. This growth is driven by the increasing adoption of multi-factor authentication and the rising need for enhanced security in the face of growing cyber threats.
Regionally, North America is expected to dominate the market due to the presence of key players and a highly advanced cybersecurity landscape. However, Asia Pacific is expected to be the fastest-growing region, driven by increasing digitization and the adoption of OOB authentication solutions in emerging economies such as India and China.
Key players operating in the global Out-of-Band (OOB) Authentication market include Broadcom, Entrust Datacard Corporation, Deepnet Security, Early Warning Services, LLC, Gemalto NV, SecurEnvoy Ltd, StrikeForce Technologies, Inc., TeleSign, Symantec Corporation, OneSpan Inc., DynaPass Inc., and Duo, among others. These players are focusing on product innovation, partnerships, and strategic acquisitions to strengthen their market position.
In conclusion, the global Out-of-Band (OOB) Authentication market is poised for significant growth due to the increasing adoption of multi-factor authentication and the need to combat rising cyber threats. Organizations across various industries are recognizing the importance of strengthening their security measures, driving the demand for OOB authentication solutions.
