Published: November 2023 | Report Code: 12775 | Available Format: PDF | Pages: 220
The data loss prevention market is set to generate USD 3,393.9 million by the end of 2023. Moreover, in the forecast period of 2024–2030, it will grow at a CAGR of 21.3%, reaching USD 13,031.0 million by 2030.
This can be ascribed to the rising cases of cyber-attacks, adoption of cloud computing in an increasing number of industries, and exponential dependence of governments, businesses, and individuals on the internet.
Data loss prevention solutions often come as a collection of procedures and tools to make sure that sensitive data is kept secured and not misused or accessed by unauthorized entities. Information catastrophe prevention programs organize managed, confidential, and business-related information and identify violations of the operational guidelines specified by the IP possessor. In order to prevent unintentional or malicious sharing of information that could put the association at risk, these solutions permit remediation via alerts, data encryption, and other security measures, when those violations are identified.
The market is also expected to be driven by the rising interest in cloud computing and a shift away from on-premises data storage. As a rising number of businesses are moving toward cloud computing, the strengthening focus on data protection will sustain the interest in DLP technologies. Further, the high persistence of cyberattacks over the forecast period will drive the market. Additionally, it will be driven by the rising pace of innovations, the increasing internet penetration rate, and the expanding IT & telecommunications industry.
As per reports, 34.3% of the computers were infected in 2022, and this was the highest rate of such incidents against the industrial sector. Attacks using malicious scripts, phishing websites, and blacklisted resources increased in frequency during the second half of last year. On industrial automation systems, including those used in building automation, automotive, oil & gas, energy, and engineering sectors, this software stopped malware from 7,684 different families.
Further, as per reports, every year, 800 emails are sent to the wrong recipient in companies with 1,000 employees. Similar to this, 27,500 emails with business information are sent to personal accounts in businesses of the same size. For example, in May 2022, SpiceJet, an Indian airline, was the target of an attempted ransomware assault. It had to, therefore, suspend many of its flights, leading to delays and anger among flyers.
DLP software integrated with machine learning can be used to tackle the issue of unintentional or intentional data loss. It analyzes emails to study user behavior and communication, which, in turn, results in a better examination of email correspondence and decisions in the real time on whether a specific email appears to be headed in the wrong direction.
Further, various kinds of software can detect when confidential information is ready to leave the organization's email network for a dangerous location. This way, inbound threats, including CEO fraud, account takeover, and spear phishing can be prevented.
A data breach occurs when private information, including customer names, credit card numbers, and social security numbers, is accessed without authorization. A company's reputation and finances may suffer greatly following a data breach, and it may also lose customers or face fines and other legal repercussions. Because of this, businesses must make sure that only individuals with the proper authorization can access sensitive data, in order to protect themselves and their customers.
In recent years, the rate of such incidents has been alarmingly high. For example, Spanish airline Air Europa suffered a data breach in October 11, 2023, when hackers were able to access its financial information. The company's systems were used to extract card numbers, expiration dates, and the three-digit CVV numbers located on the back of credit and debit cards. As a result, customers of the airline were told to deactivate their credit cards
Small and medium-sized enterprises (SMEs) will witness the higher CAGR, of 21.5%, in the forecast period. This can be ascribed to the fact that they are becoming increasingly dependent on data in the current digital era. These assets, whether they be customer data, financial records, intellectual property, or operational data, are crucial for SMEs to maintain their competitiveness, expand, and prosper. SMEs must implement DLP procedures since with tremendous amounts of enterprise and customer data comes great responsibility.
Moreover, compared to large companies, SMEs lack money and resources. Thus, cloud-based data loss prevention solutions for SMEs offer affordable data protection strategies that are adaptable and tailored to their unique needs. This helps in reducing financial losses, builds employee awareness and mitigates unintended harmful actions, and regulates security policy. All this further helps in building customer trust and increasing overall business productivity, by preventing downtime.
Under the industry segment, the BFSI category leads the market, because as per reports, in 2022, 27.7% of the cyber-attacks had been on financial institutions.
Attacks via email and the web continue to rank among the most-prevalent threat channels. Usually, phishing tactics and links to fake websites are disseminated via email by hackers in order to obtain users' login credentials. When hackers obtain illegal access to financial and banking firms' networks, many different forms of cyber-attacks can take place. They often take advantage of a weakness, such an unused account, and then build backdoors into infected systems. The attacker is, therefore, unrestricted in their ability to enter the network, steal information, and even elevate their privileges, in order to access more-sensitive data.
To avoid these situations as best possible, financial institutions adopt stringent security procedures and protocols, including the use of firewalls and antivirus software, implementation of need-to-know access to information, and the safeguarding of sensitive data via passwords and other forms of encryption.
Solutions that concentrate solely on sensitive data instead of business networks or work devices have become crucial weapons in the data protection toolbox in this last category. For example, email DLP technologies keep an eye on a company's email communications to see if data is at a risk of theft or loss. However, they all try to follow up on email-related data sent as well as received and recognize questionable email behavior, so that data-loss-causing email behavior can be reported or blocked.
The healthcare category has the second-largest share in the DLP market, as it is another major target for data breaching. This is because employees in the healthcare industry, both B2B and B2C, process and hold enormous volumes of research and development (R&D), intellectual property (IP), and personal and medical data. For example, in 2022, ICMR’s website was attacked 6,000 times in a day by hackers from Hong Kong, but financial and data loss was successfully prevented due to the updated software.
The government industry also contributes significant revenue to the market, as government bodies are at a perpetual risk of data loss due to unauthorized access. Hackers purposefully deceive government employees into giving them unwitting access to top-secret information. Other times, accidental errors may cause private information to become public.
Local governments are frequently left helpless and exposed by data breaches because they lose access to vital information. Thus, they are unable to carry out essential municipal functions for a considerable time following the incident. Additionally, attackers demand hefty sums to give back the data they have stolen, which, ultimately, puts a dent in the public’s finances.
For example, after a ransomware hit Miller County, Arkansas, in 2022, the regional administration was forced to establish safeguards for its vulnerable, outdated computer networks. Hackers took local government data hostage and demanded a sizable payment in return for its release. The hacked mainframe transmitted malware to endpoints in 55 distinct Arkansas counties, because the local government was unable to implement a cybersecurity strategy with sufficient urgency.
Market Size in 2023
USD 3,393.9 Million
Market Size in 2024
USD 4,086.3 Million
Revenue Forecast in 2030
USD 13,031.0 Million
Market Trends, Drivers, and Restraints; Revenue Estimation and Forecast; Segmentation Analysis; Impact of COVID-19; Companies’ Strategic Developments; Market Share Analysis of Key Players; Company Profiling
By Product, By Type, By Application, By Deployment, By Organization Size, By Industry, By Region
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The cloud-based category currently has a share of 60% in the DLP market, due to the fast shift of industries toward cloud computing. The trend of work from home across industries started due to the COVID-19 pandemic, which forced the lockdown. That period was highly unpredictable, and many businesses worked on transformation and shifted toward the cloud. Cloud-based software enhances efficiency and teamwork while working remotely, which has made it a growing trend in recent years. For example, consumer goods company Unilever’s business processes were successfully migrated to the cloud in April 2023 by Accenture, Microsoft, and Avanade, their joint venture. This transfer made it easier for Unilever to manage resources more wisely, sell products and services quickly, and respond to the changing consumer needs.
A cloud-based solution is necessary due to the increasing requirement for data to be stored on public or private clouds, as well as the increasing focus on adhering to legal and compliance norms. Moreover, the need for data protection services is growing along with the number of cyberattacks and data breaches. According to some reports, in 2022, approximately 70% of the businesses experienced a public cloud data leak. Thus, DLP has become an essential requirement of modern businesses to prevent data breaches, cyberattacks, and corporate espionage and comply with data privacy laws. Cloud-based software helps in protecting data from any location, manages network storage, and ensures regular updates.
North America generates the highest revenue, and it will grow at a CAGR of 21.0% in the forecast period, ascribed to the widespread adoption of big data and cloud technologies. The need for these solutions has also increased due to the rising concerns about data security and privacy, as the frequency of cyber-attacks has surged. The regional countries have also adopted strict laws for the protection of sensitive data by corporations.
Further, this region has a dynamic business environment, which includes sectors such as healthcare, BFSI, and information technology. This necessitates customized solutions to meet industry-specified challenges, thus spurring the market’s expansion. The cost of data breaches is declining year on year in the U.S. as more investments are being put in to enhance the IT security architecture.
Further, APAC is witnessing fast growth due to the rising usage of smartphones, laptops, and tablets for businesses. Mobile workers, such as sales executives and traveling executives, must have 24/7, remote access to corporate information; however, this makes them an easy target for cybercriminals. Thus, in 2020, cyber-attack cases in India rose by 300%, and by the end of 2022, India was the most-attacked country in APAC. Moreover, the most-recent server attack in Japan affected the most-widely used dating app in the nation, named Omiai, and exposed the data of over 1.7 million users, including pictures of driver’s licenses and passports, given by the users to prove their age.
This fully customizable report gives a detailed analysis of the data loss prevention industry from 2017 to 2030, based on all the relevant segments and geographies.
Based on Product
Based on Type
Based on Application
Based on Deployment
Based on Industry
Based on Organization Size
The 2030 value of the market for data loss prevention solutions will be USD 13,031.0 million.
The data loss prevention industry is expected to have 21.3% CAGR during 2024–2030.
Cloud computing is the biggest trend in the market for data loss prevention solutions.
Large enterprises dominate the data loss prevention industry, while SMEs are witnessing the higher CAGR.
The BFSI category dominates the industry segment of the market for data loss prevention solutions.
Encryption is the largest application in the data loss prevention industry, while policies, standards, and procedures are growing the fastest.
The market for data loss prevention solutions is dominated by North America, followed by APAC.
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