Key players operating in the global network encryption tools and services market include Cisco Systems, Inc., Thales e-Security, Inc., Atos, Juniper Networks, Inc., Certes Networks, Rohde & Schwarz Cybersecurity GmbH, ADVA Optical Networking SE, Gemalto, ECI Telecom Ltd., Huawei Technologies Co., Ltd., Viasat Inc., Arris International Plc, and Ciena Corporation. These companies invest considerably in research & development (R&D) activities in order to integrate advanced technologies into their solutions and introduce innovative products to increase their market share. Furthermore, these vendors engage in partnerships with local players and other major market players to increase their presence and market share in the regional markets.
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Network encryption involves the process of encoding and encrypting data and messages communicated and transmitted over a network. It involves a broad range of techniques, tools, and standards to ensure the smooth and secure communications when in transit between two or more network nodes. The need for encryption is rising, as enterprises are increasingly adopting virtualization and cloud to control data, especially in cloud environments. Network encryption tools and services prevent service providers from accessing data and help provide secure multi-tenancy on the cloud. Network encryption is a priority within enterprises as a part of security best practice as it protects confidentiality and privacy of the network traffic during the transfer of data from the source to destination.
Increase in need to adhere to a large number of rules and regulatory standards is a major driver of the global network encryption tools and services market. Growing need to protect enterprises from various network security breaches propels the market. Lack of highly skilled workforce for the development and implementation of network encryption tools and services and frequent changes in government policies for data protection across all regions are major restraints of the market. However, increasing demand of cloud technology allows enterprises to install network encryption solutions and growing adoption of Internet of things (IoT) in various applications are expected to further help in creating growth opportunities in the global network encryption tools and services market.
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Large enterprises are earlier adopters of network encryption tools and services. They use these tools and services to secure large volumes of data that is generated from various application areas such as HR, sales, marketing, and operations within the organization.
The global network encryption tools and services market can be segmented based on component, transmission type, enterprise size, data rate, application, end-use industry, and region. In terms of component, the market can be categorized into hardware, software, and services. The services segment can be bifurcated into professional services and managed services. The professional services segment can sub-segmented into consulting, integration & implementation, and support services. In terms of transmission type, the global network encryption tools and services market can be classified into optical transmission and traditional transmission. The traditional transmission segment can further be divided into twisted pair cables, coaxial cables, and radio waves and microwaves.
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Based on data rate, the global network encryption tools and services market can be segregated into less than 10g, 10g – 40g, 40g – 100g, and more than 100g. In terms of enterprise size, the global network encryption tools and services market can be segmented into small & medium enterprises (SMEs), and large enterprises. Based on end-use industry, the global network encryption tools and services market can be classified into telecommunication & IT; retail; government; media & entertainment; transportation & logistics; health care; Banking, financial services, and insurance (BFSI); manufacturing; and others. In terms of region, the global network encryption tools and services market can be split into North America, Europe, Asia Pacific, Middle East & Africa, and South America.
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