The North America homomorphic encryption market is expected to grow from US$ 49.98 million in 2019 to US$ 99.01 million by 2027; it is estimated to grow at a CAGR of 9.3% from 2020 to 2027.
Rise in use of data analytics across different organizations in North America is expected to drive the growth of the North America homomorphic encryption market. As the economy is moving from manufacturing-based economy to knowledge and technology-based economy, analytics is projected to play a vital role. Owing to rising advancements in technology in last two decades, the amount of data generated is enormous. Thus, companies are strongly relaying on data-driven decisions to improve the overall product offerings. Organizations across the North America from different industries are collaborating and partnering by exchanging resources to strong-arm one and another. However, in order to abide by the privacy and data regulations, organizations are obliged not to disclose sensitive data. Further, in a few scenarios, organizations do not intend to share certain vital details from data while collaborating with other organization. Homomorphic encryption enables organizations to share and compute data by keeping the vital and sensitive details encrypted. Therefore, rising use and need of data analytics across the North America is generating the demand for homomorphic encryption solutions due to their advantages such as high security and better computation of data, which is further drives the growth of the North America homomorphic encryption market.
Countries in the North America, especially the US, are adversely affected by the COVID-19 outbreak. Online shopping is surging in the US and Canada during the epidemic; therefore, B2C e-commerce sales in both countries are growing exponentially. North America is an early adopter of advanced technologies, and it has the strong penetration of digital technologies. The COVID-19 pandemic has strong impact on the North America market due to the enhanced importance of homomorphic encryption for business data transfer. During the pa ndemic, the digitization in the region is witnessing significant growth in almost all business sectors owing to the adoption of remote working and rise in need for monitoring services. In addition, the technology has shown possibilities in the healthcare sector to secure critical healthcare data. Companies have also highlighted the importance and of the solution for the same. For instance, Duality Technologies across North America started to offer solution based on the homomorphic encryption for businesses. It also stated the possibilities for the healthcare industry. Due to initiatives by companies during pandemic, the North America homomorphic encryption market is expected to grow during forecast period.
Based on type, the fully segment led the North America homomorphic encryption market in 2019. Fully homomorphic encryption enables analytical functions to be operated directly on encrypted data while generating the same encrypted results as if the functions were run on the plaintext. It can use addition and multiplication for any number of times and make secure multiparty computation more effectively. Besides, it can manage arbitrary computations on the cipher texts. In this case, the information stays safe and private, even in untrusted environments—such as public clouds or external parties. The data remains encrypted at all times, which minimizes the possibility that sensitive information is compromised. This type of encryption has huge potential for making functionality consistent with privacy by aiding to keep data accessible and secure at the same time. Fully homomorphic encryption is used for businesses across numerous industries such as BFSI, IT & telecom, retail, and healthcare to enable people to use the information without seeing its unencrypted values. For instance, it maintains customer privacy in personalized advertising, predictive analysis of medical data without putting data privacy at risk, financial privacy, and forensic image recognition. Advantages of fully homomorphic encryption such as more safety and security, efficiency in data computation, and customer privacy in personalized advertising are expected to increase its demand, which would bolster the growth of the North America homomorphic encryption market in coming years.
The overall North America homomorphic encryption market size has been derived using both primary and secondary sources. To begin the research process, exhaustive secondary research has been conducted using internal and external sources to obtain qualitative and quantitative information related to the market. The process also serves the purpose of obtaining an overview and forecast for the North America homomorphic encryption market with respect to all the segments pertaining to the region. Also, multiple primary interviews have been conducted with industry participants and commentators to validate the data, as well as to gain more analytical insights into the topic. The participants of this process include industry experts such as VPs, business development managers, homomorphic encryption market intelligence managers, and national sales managers, along with external consultants such as valuation experts, research analysts, and key opinion leaders, specializing in the North America homomorphic encryption market. Google LLC; IBM Corporation; Inpher, Inc.; Microsoft Corporation; Netskope, Inc.; ShieldIO, Inc.; and Thales Group are among the players operating in the market.