Global Post-Quantum Cryptography Market Research Report 2024-Competitive Analysis, Status and Outlook by Type, Downstream Industry, and Geography, Forecast to 2030

Global Post-Quantum Cryptography Market Research Report 2024-Competitive Analysis, Status and Outlook by Type, Downstream Industry, and Geography, Forecast to 2030

The world's most widely used cryptography method can be broken by a quantum computer. Post-quantum cryptography (also known as quantum-resistant cryptography) prepares for the era of quantum computing by updating existing mathematics-based algorithms and standards. Its goal is to develop cryptographic systems that are secure for both quantum and classical computers and that can interoperate with existing communication protocols and networks. Post-quantum cryptography systems ensure that personal information and other information such as communications, business processes, and transactions are protected from unauthorized persons.

Market Overview:

The latest research study on the global Post-Quantum Cryptography market finds that the global Post-Quantum Cryptography market reached a value of USD 447.8 million in 2023. It’s expected that the market will achieve USD 2791.82 million by 2029, exhibiting a CAGR of 35.66% during the forecast period.

Advantages and importance of post-quantum cryptography

In recent years, with the increasing development of quantum computer science, the post-quantum cryptography industry has gradually attracted people's attention. In 2016, researchers at the University of Innsbruck and MIT determined that quantum computers could easily break any code developed by a conventional computer. Standardization processes for post-quantum cryptography are currently underway, most notably the Post-Quantum Cryptozoology Project launched in 2016 by the National Institute of Standards and Technology (NIST). Many submitted algorithms went through three rounds of detailed review. Post-quantum cryptography aims to develop new cryptographic algorithms that are resistant to attacks by both classical and quantum computers. The types of post-quantum cryptography mainly include Lattice-based cryptography, Hash-based cryptography, Code-based cryptography, and Multivariate cryptography. It combines traditional symmetric encryption and asymmetric encryption technology to provide effective confidentiality and ensure the security of data transmission. Post-quantum cryptographic algorithms provide physical security properties. By measuring the superposition of quantum states in mechanics and resisting offensive reverse engineering, we can effectively prevent hackers, attackers, and other illegal intruders from attacking the system, thereby protecting the security of information transmission data. The concept behind post-quantum cryptography is to change the way computers solve mathematical problems, but also to develop more secure communication protocols and systems to harness the power of quantum computing, as well as protect against them. Many companies, including VPN providers, are working on releasing VPNs that are now quantum-safe. As quantum computing technology continues to develop, post-quantum cryptography is becoming increasingly important in protecting sensitive data and communications. Governments, financial institutions, and other organizations are actively exploring and investing in post-quantum cryptography solutions to ensure that their sensitive data and communications remain secure in the face of quantum computing attacks.

Increasing cyber attacks

With the popularity of digital transformation and cloud computing, the scale of data has increased exponentially, which has brought huge opportunities to the data security industry. Enterprises are faced with the management and protection requirements of massive data and need to address risks such as data leakage, data modification, and data loss. Therefore, the data security industry can provide various solutions, such as data encryption, access control, identity authentication, etc., to meet the urgent needs of enterprises for data security. 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. A series of developments have put the issue of quantum readiness high on the global cybersecurity agenda, and commercial demand for quantum readiness is surging. The increasing number of cyberattacks in the digital age therefore highlights the need for advanced security measures such as quantum encryption to ensure the security of sensitive data in a world of rapidly evolving technology.

Region Overview:

In 2022, the share of the Post-Quantum Cryptography market in North America stood at 47.63%.

Company Overview:

The major players operating in the Post-Quantum Cryptography market include IBM Research, Microsoft Research, SandboxAQ, Thales/Gemalto, Cisco, etc. Among which, IBM Research ranked top in terms of sales and revenue in 2023.

IBM Research is a group of researchers, scientists, technologists, designers, and thinkers inventing what’s next in computing.

IBM Research is relentlessly curious about all the ways that computing can change the world. The company is obsessed with advancing the state of the art in AI hybrid cloud, and quantum computing. The company discovering new materials for the next generation of computer chips; The company is building bias-free AI that can take the burden out of business decisions; The company designing a hybrid-cloud platform that essentially operates as the world’s computer. The company moving quantum computing from a theoretical concept to machines that will redefine industries.

Segmentation Overview:

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

Application Overview:

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

Key Companies in the global Post-Quantum Cryptography market covered in Chapter 3:

Intel
Microsoft Research
Thales/Gemalto
SandboxAQ
Quantum Xchange
Blackberry
Infineon
ISARA
Infosec
AWS
Entrust
evolutionQ
IBM Research
ARM
Cisco
Envieta
Rambus
Google

In Chapter 4 and Chapter 14.2, on the basis of types, the Post-Quantum Cryptography market from 2019 to 2030 is primarily split into:

Software
Hardware
Services

In Chapter 5 and Chapter 14.3, on the basis of Downstream Industry, the Post-Quantum Cryptography market from 2019 to 2030 covers:

Civilian Government
Military
Intelligence and Domestic Security
Financial Services
Telecommunications
Others

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)