Global End-to-end Email Encryption Market Research Report 2024-Competitive Analysis, Status and Outlook by Type, Downstream Industry, and Geography, Forecast to 2030

Global End-to-end Email Encryption Market Research Report 2024-Competitive Analysis, Status and Outlook by Type, Downstream Industry, and Geography, Forecast to 2030

End-to-end encryption encrypts data from one device to another at every stage of its journey. For email, it’s encryption on the sender’s and recipient’s devices. End-to-end encryption is a secure communication method that prevents all third parties from accessing message content. When a user sends an email to someone using end-to-end encryption, no one else can see the email content, including network administrators, internet service providers, application service providers, hackers, or any other entity or service provider. The recipient has a unique key that can decrypt the email. End-to-end email encryption therefore provides a higher level of security.

Market Overview:

The latest research study on the global End-to-end Email Encryption market finds that the global End-to-end Email Encryption market reached a value of USD 1771.57 million in 2023. It’s expected that the market will achieve USD 4691.16 million by 2029, exhibiting a CAGR of 17.62% during the forecast period.

Benefits of end -to-end email encryption

All major email providers offer some level of protection against users' emails being eavesdropped or tampered with, but most don't offer maximum privacy and security. There are two commonly used email encryption methods, transport-level encryption and end-to-end encryption. Transport layer encryption only provides encryption between the service provider and individual users, while end-to-end encryption directly encrypts the transmission of communications between users. The main advantage of end-to-end encryption is a high level of data privacy compared to other encryption systems. End-to-end encryption has two keys, a public key that is used to encrypt the sent email and a private key that is stored on the recipient's endpoint device. Messages can only be decrypted using these keys, so only the sender and receiver can read the message, preventing a middleman from accessing the keys and decrypting the message. End-to-end encryption not only protects data at rest but also in transit. If a message encrypted using a public key is changed or tampered with in transit, the recipient will not be able to decrypt it, so the tampered content will not be visible. End-to-end encryption isn't just for encrypting files shared between users or coming from a central source. It is also used to encrypt communications between employees, including text, voice, and video chats. Files and communications remain encrypted throughout the entire process, enabling not only secure communications but also secure collaboration. Other types of encryption focus on encrypting data at the server level, but if a malicious actor or other outsider gains access to that server, they can decrypt any information in that server fairly easily. End-to-end encryption not only protects data from hackers but also from big tech companies. Service providers such as Google can read users' emails and files and profit from their private communications through targeted advertising. End-to-end encryption is much more difficult and time-consuming for hackers to break, leading most hackers to avoid this type of encryption entirely. Additionally, many industries are subject to regulatory compliance laws that require encryption-level data security. End-to-end encryption can help organizations protect data by making it unreadable. Today, the most widely used types of encryption tend to rely on a combination of end-to-end encryption and transport encryption, ease of use and efficiency combined with the highest safety standards. Therefore, the many advantages of end-to-end encryption make it recognized and demanded by more and more enterprises.

The surge in email data breaches

Both business and personal email are prime applications for accidental data breaches. Other applications at risk include file-sharing services, collaboration tools, and SMS instant messaging. Deloitte research found that 91% of cyberattacks start with a phishing email. 32% of all successful breaches involved the use of phishing techniques. Despite widespread attempts over the years by the media and corporate security programs to educate users about the dangers of phishing emails and ways to spot them, these attacks remain highly successful. Cybercriminals often exploit economic vulnerability and uncertainty to increase their malicious activity, prompting businesses to prioritize cybersecurity measures such as email encryption to protect their sensitive data. In recent years, email encryption has gained popularity among business enterprises across multiple industry sectors due to the growing awareness of building strong email security solutions. The increased focus on digital operations and remote working has increased the need for secure communication channels and emphasized the importance of email encryption.

Encryption software can be found completely free, but the level of protection offered by free solutions is unlikely to withstand all attacks. A data breach occurs when confidential company data or personally identifiable information belonging to a data subject (such as an employee, customer, or partner) is compromised. If a company fails to take appropriate steps to protect information, such as using encryption software, data regulators such as the Information Commissioner's Office have the power to impose hefty fines, sometimes involving millions of dollars. Companies may face further costs that could have serious consequences, including costly security investigations and remediation, data subject redress, and loss of business and stock value. Additionally, regulatory compliance requirements related to data protection do not weaken during a recession, meaning businesses must maintain or strengthen their encryption standards regardless of economic conditions. As the number of data-based applications increases significantly, end-to-end encryption is gradually becoming the standard for data protection and privacy in digital communications. Many companies in the current email encryption market landscape are focused on improving the security features of their email services by adding new security layers to retain existing users and attract a new customer base. Therefore, in today's global economic downturn, most industries are facing recessionary challenges, but the email encryption market is witnessing sustained demand due to the nature of cybersecurity in an increasingly digital business environment. The surge in email data breaches has created continued demand for the end-to-end email encryption industry.

Region Overview:

In 2022, the share of the End-to-end Email Encryption market in United States stood at 43.60%.

Company Overview:

The major players operating in the End-to-end Email Encryption market include Proofpoint, Zix, Mimecast, Cisco, Broadcom, etc. Among which, Proofpoint ranked top in terms of sales and revenue in 2023.

Eric Hahn, former CTO of Netscape, founded the company in 2002. It has since grown to more than 3,600 employees serving over 8,000 enterprises worldwide. The company went public in 2012. In 2020 it generated more than $1 billion in revenue, making it the first SaaS-based cybersecurity and compliance company to meet that milestone.

In 2021 Proofpoint was acquired by Thoma Bravo, a leading private equity software investing firm, in a transaction that valued Proofpoint at $12.3 billion. This is the largest go-private software deal in history.

Today, Proofpoint is headquartered in Sunnyvale, California. Proofpoint has additional offices in Australia, Canada, France, Germany, Israel, Japan, Netherlands, Singapore, United Kingdom, and the United States (California, Colorado, Indiana, Massachusetts, Pennsylvania, Texas, Utah).

Segmentation Overview:

By type, Cloud segment accounted for the largest share of market in 2022.

Application Overview:

By application, the BFSI segment occupied the biggest share from 2018 to 2022.

Key Companies in the global End-to-end Email Encryption market covered in Chapter 3:

Mimecast
Tutanota
Mailfence
Hushmail
Proofpoint
Broadcom
Zix
Echoworx
Trustifi
Datamotion
ProtonMail
Cisco
Entrust Datacard
Xeams

In Chapter 4 and Chapter 14.2, on the basis of types, the End-to-end Email Encryption market from 2019 to 2030 is primarily split into:

Cloud
On-premises

In Chapter 5 and Chapter 14.3, on the basis of Downstream Industry, the End-to-end Email Encryption market from 2019 to 2030 covers:

BFSI
Government and Defense
IT and ITeS
Telecommunication
Energy and Utilities
Manufacturing
Retail and eCommerce
Healthcare
Other

Geographically, the detailed analysis of consumption, revenue, market share and growth rate, historic and forecast (2019-2030) of the following regions are covered in Chapter 8 to Chapter 14:

North America (United States, Canada)
Europe (Germany, UK, France, Italy, Spain, Russia, Netherlands, Turkey, Switzerland, Sweden)
Asia Pacific (China, Japan, South Korea, Australia, India, Indonesia, Philippines, Malaysia)
Latin America (Brazil, Mexico, Argentina)
Middle East & Africa (Saudi Arabia, UAE, Egypt, South Africa)