The global hardware security module market revenue was around US$ 1.3 billion in 2022 and is estimated to reach US$ 5.2 billion by 2032, growing at a compound annual growth rate (CAGR) of 14.7% during the forecast period from 2023 to 2032.

Hardware security models secure trade secrets that have considerable value by assuring that only authorized individuals can access the hardware security module to meet a cryptography key transaction. The whole cryptography key lifecycle from managing, provisioning, and storing to disposing or archiving the keys appears in the hardware security module.

Factors Influencing Market Growth

- The growth in cyberattacks and data breaches and the rise in the adoption of the 5G network are propelling the growth of the hardware security module market.

- The rise in stringent data security compliances positively affects the growth of the hardware security module market.

- The growing security concerns and the high price associated with the hardware security modules are limiting the growth of the hardware security module market.

- The rising dependence on cryptographic keys is anticipated to deliver remunerative opportunities for the development of the hardware security module market during the forecast period.

Impact of COVID-19

The impact of the COVID-19 pandemic had a negative influence on the global hardware security module market. The pace of new projects has been delayed globally, and demand for elemental semiconductors has dropped. At the same time, consumer demands were restricted as individuals stayed keen on stopping non-essential costs from their budgets. Also, the global market was suspended for recovery and possible growth as digitalization continued to achieve traction and the limitations on the movement of goods and people slowly relaxed.

Regional Analysis

In 2022, Europe dominated the global hardware security module market in terms of revenue and is anticipated to maintain its position during the forecast period because of the early adoption of developed security modules as well as the presence of major vendors across the region.

Also, Asia-Pacific is anticipated to notice significant growth during the forecast period, due to the rising penetration of technologies like cloud, IoT, and so forth.

Leading Companies

The leading prominent companies profiled in the global hardware security module market are: -

- Thales
- utimaco GmbH.
- future
- Adweb Technologies
- IBM Corporation
- Atos SE
- Hewlett Packard Enterprise
- Ultra-Electronics
- Entrust Datacard
- Microchip Technology Inc.
- Other prominent key players

Segmentation Outline

The global hardware security module market segmentation focuses on Product Type, Deployment Mode, Application, Industry Vertical, and Region.

Segmentation based on Product Type

- Smart Cards
- LAN-based/ Network Attached
- PCI-Based/ Embedded Plugins
- USB-Based/ Portable

Segmentation based on Deployment Mode

- On-premise
- Cloud

Segmentation based on Application

- Payment Processing
- Code and Document Signing
- Security Sockets Layer (SSL) and Transport Security Layer (TSL)
- Authentication
- Application-Level Encryption
- Others

Segmentation based on Industry Vertical

- BFSI
- IT and Telecommunication
- Government
- Consumer Goods and Retail
- Transportation
- Aerospace
- Others

Segmentation based on Region

- North America
- The U.S.
- Canada
- Europe
- UK
- Germany
- France
- Italy
- Spain
- Netherlands
- Rest of Europe
- Asia-Pacific
- China
- Japan
- India
- Australia
- South Korea
- Singapore
- Rest Of Asia-Pacific
- LAMEA
- Latin America
- Middle East
- Africa