Quantum Cryptography Market

Quantum Cryptography Market by Component (Solutions and Services), Services (Consulting and Advisory, Deployment and Integration, and Support and Maintenance), Security Type (Network and Application Security), Vertical & Region - Global Forecast to 2023

Report Code: TC 5714 Jan, 2019, by marketsandmarkets.com

[115 Pages Report] The global quantum cryptography market size is expected to grow from USD 101 million in 2018 to USD 506 million by 2023, at a Compound Annual Growth Rate (CAGR) of 37.9% during the forecast period. The growing incidents of cyber-attacks in the era of digitalization, increasing cybersecurity funding, rising demand of next-generation security solutions for cloud and IoT technologies, and evolving next-generation wireless network technologies are expected to drive the growth of the global quantum cryptography market.

Quantum Cryptography Market

Increasing need to encrypt critical information without any leakage is set to drive the growth of solutions segment

The quantum cryptography solutions segment includes the revenue generated from Quantum Key Distribution (QKD) platforms, QKD servers, virtual encryptors, QKD distributors, key and policy managers, SDK to integrate cryptography, quantum cryptography communication device, quantum security gateway, Quantum Random Number Generator (QRNG), hackerbox, quantum secure communication network products, and repeaters, along with factors essential for the implementation of quantum cryptography. This solution helps in encrypting the critical information without being leaked midway, which is gaining traction among various security companies and has enabled them to invest in quantum cryptography. With the help of quantum-safe cryptography solutions, third-party cannot read the encrypted data as it alerts the sender and receiver about it. These solutions play a vital role in offering point-to-point security and storage networks for long-term data protection, which has further increased the deployment and integration of quantum cryptography solutions and its associated services. In addition to this, the R&D platform is gaining traction among the scientific community, as the need for quantum-safe encryption is increasing to counter the threat of a quantum computer. Furthermore, the increasing need for next-generation cryptographic solutions to handle advanced cyber security attacks is set to fuel the growth of the solutions segment in the quantum cryptography market space.

Network security segment to grow at the highest CAGR during the forecast period

Quantum cryptography solution is implemented for ensuring network security and application security.  Network security is a process intended to ensure the integrity and usability of network and information. It incorporates both hardware and software technologies. Powerful network security focuses on an assortment of dangers and prevents them from entering or spreading on your system. And, as there is more need to secure the network due to network vulnerabilities, various industry verticals such as government and defense, healthcare, BFSI, retail, and automotive have started using quantum cryptography solutions, further resulting in network security to grow at the highest CAGR during the forecast period.

Quantum Cryptography Market

Americas to hold the largest market size during the forecast period

The Americas region is expected to be the largest contributor to the quantum cryptography market in 2018. The rise in cyber-attacks in this region is one of the major factors responsible for the growth of the market. Due to the high adoption of encryption-based applications in the Americas, the attacks are increasing dramatically and becoming more sophisticated. Furthermore, the growing IT management complexity along with the increasing need for data privacy and security is an important factor driving the quantum cryptography market in the region. Countries such as the US, Canada, Brazil, and Mexico are generating significant revenue in this market. The organizations in this region are focusing on securing their applications and networks using various quantum cryptography appliances. The other drivers for the increasing demand for quantum cryptography appliances include the evolution of next-generation wireless networks and increase in growth of R&D investments in the market.

Key Quantum Cryptography Market Players

Major quantum cryptography market vendors include ID Quantique (Switzerland), QuintessenceLabs (Australia), NuCrypt (US), Qasky (China), Crypta Labs (UK), Qubitekk (US), Post-Quantum (UK), MagiQ Technologies (US), ISARA (Canada), QuNu Labs (India), QuantumCTek (China), Quantum Xchange (US), Aurea Technologies (France), qutools (Germany), Infineon (Germany), Mitsubishi Electric (Japan), IBM (US), HP (US), NEC (Japan), Toshiba (Japan), and Microsoft (US). These players have aggressively focused on their research and development and have more number of patents related to market space. Moreover, these key market players have been deploying and integrating quantum cryptography solutions across various industry verticals, globally.

Recent Developments:

  • In October 2018, ISARA announced the launch of ISARA Catalyst Agile Digital Certificate Technology, which enables organizations and manufacturers to secure their infrastructure and connected devices from encryption-breaking quantum compute threats.
  • In October 2018, InfoSec Global collaborated with ID Quantique to provide a quantum safe Virtual Private Network (VPN). The solution combines InfoSec Global‘s cryptographic agility with ID Quantique’s Quantis Quantum Random Number Generator (QRNG) for encryption inside a single device.
  • In March 2018, QuantumCTek collaborated with University of Science and Technology of China, CAS Quantum Network, Jinan Institute of Quantum Technology, China Unicom, and Yangtze Optical Fibre and Cable Company, to introduce the integration of QKD with commercial backbone network carrying 3.6 Tbps classical data.

Key questions addressed by the report:

  • Where would all these developments take the industry in the mid to long term?
  • What are the upcoming industry solutions for the market?
  • Which are the major factors expected to drive the market?
  • What are the market dynamics for quantum cryptography market in the current scenario?
  • Which region would offer high growth for vendors in the market?

To speak to our analyst for a discussion on the above findings, click Speak to Analyst

Table of Contents

1 Introduction (Page No. - 15)
    1.1 Objectives of the Study
    1.2 Market Definition
    1.3 Market Segmentation
    1.4 Years Considered for the Study
    1.5 Currency Considered
    1.6 Stakeholders

2 Research Methodology (Page No. - 18)
    2.1 Research Data
           2.1.1 Secondary Data
           2.1.2 Primary Data
                    2.1.2.1 Breakup of Primaries
                    2.1.2.2 Key Industry Insights
    2.2 Market Breakup and Data Triangulation
    2.3 Market Size Estimation
           2.3.1 Bottom-Up Approach
           2.3.2 Top-Down Approach
    2.4 Market Forecast
    2.5 Assumptions for the Study
    2.6 Limitations of the Study

3 Executive Summary (Page No. - 25)

4 Premium Insights (Page No. - 28)
    4.1 Attractive Opportunities in the Quantum Cryptography Market
    4.2 Market in the Americas, By Security Type and Country
    4.3 Market, By Region
    4.4 Market: Investment Scenario

5 Market Overview (Page No. - 31)
    5.1 Introduction
    5.2 Market Dynamics
           5.2.1 Drivers
                    5.2.1.1 Growing Cyber-Attack Incidents in the ERA of Digitalization
                    5.2.1.2 Increasing Cybersecurity Funding
                    5.2.1.3 Rising Demand for Next-Generation Security Solutions for Cloud and IoT Technologies
                    5.2.1.4 Evolving Next-Generation Wireless Network Technologies
           5.2.2 Restraints
                    5.2.2.1 High Implementation Cost
                    5.2.2.2 Lack of Expertise
           5.2.3 Opportunities
                    5.2.3.1 Spur in Demand for Security Solutions Across Industry Verticals
                    5.2.3.2 Increasing Need for Integration Solutions
           5.2.4 Challenges
                    5.2.4.1 Quantum Cryptography Commercialization
                    5.2.4.2 Technological and Implementation Challenges
    5.3 Quantum Cryptography Protocols
           5.3.1 Bb84 Protocol
           5.3.2 B92 Protocol
           5.3.3 Sarg04 Protocol
           5.3.4 E91 Protocol
           5.3.5 SSP Protocol
    5.4 Quantum Cryptography Types
           5.4.1 Position-Based Quantum Cryptography
           5.4.2 Device-Independent Quantum Cryptography
           5.4.3 Bounded- and Noisy-Quantum-Storage Model
    5.5 Quantum Cryptography Margins
           5.5.1 Quantum Repeaters
           5.5.2 Point-To-Point Communication
           5.5.3 Vulnerable to Attacks
    5.6 Future Scope of Quantum Cryptography
    5.7 Use Cases

6 Quantum Cryptography Market, By Component (Page No. - 40)
    6.1 Introduction
    6.2 Solutions
           6.2.1 Solutions Segment Includes QKD Platforms, Qrng Platforms, QKD Servers, Virtual Encryptors, QKD Distributors, Key and Policy Managers, SDK to Integrate Cryptography, Communication Devices, Gateway, Repeaters, and Hackerbox
    6.3 Services
           6.3.1 Growing Need for Expert Assistance, Starting From Consultation to Implementation of A Customized Solution

7 Quantum Cryptography Market, By Service (Page No. - 45)
    7.1 Introduction
    7.2 Consulting and Advisory
           7.2.1 Increasing Demand for Consultation to Resolve Hindrances for Commercial Clients’ Business Growth
    7.3 Deployment and Integration
           7.3.1 Growing Modernization and Deployment of Quantum Cryptography Solutions to Meet the Rising Demand for Secure Data Transmission
    7.4 Support and Maintenance
           7.4.1 Demand for Support and Maintenance Services for the Implementation and Use of Hardware

8 Quantum Cryptography Market, By Security Type (Page No. - 50)
    8.1 Introduction
    8.2 Network Security
           8.2.1 Growing Need to Ensure the Integrity and Usability of Network and Information
    8.3 Application Security
           8.3.1 Increasing Demand to Protect Applications From Intruders

9 Quantum Cryptography Market, By Vertical (Page No. - 54)
    9.1 Introduction
    9.2 Government and Defense
           9.2.1 Increasing Need to Secure Confidential Data From Thefts and Unauthorized Access
    9.3 Banking, Financial Services, and Insurance
           9.3.1 Need to Cater to Financial Security, Online Fund Transfer Security, and Data Security By Encrypting Files, Data, and Emails With Unbreakable Quantum Mechanisms
    9.4 Retail
           9.4.1 Increasing Adoption of Quantum-Safe Encryption Hardware to Encrypt and Protect Customers’ Confidential and Private Information
    9.5 Healthcare
           9.5.1 Need to Improve the Proficiency of Clinical and It Staff, and Provide Real-Time Information Access in Case of Emergencies
    9.6 Automotive
           9.6.1 Increasing Demand to Provide Physical Access and Protection to Confidential Information and Critical Safety Systems
    9.7 Others

10 Quantum Cryptography Market, By Region (Page No. - 61)
     10.1 Introduction
     10.2 The Americas
             10.2.1 United States
                        10.2.1.1 Increase in Funding and Adoption of Quantum Technology
             10.2.2 Canada
                        10.2.2.1 Growing Need for A Developed Quantum Ecosystem
             10.2.3 Rest of Americas
     10.3 Europe
             10.3.1 United Kingdom
                        10.3.1.1 The Need to Deliver Quantum Encryption Systems That Enable Secure Data Transactions and Transmissions
             10.3.2 Germany
                        10.3.2.1 Need to Explore the Development of Highly Secure Communication Links to Recognize Every Attack
             10.3.3 Rest of Europe
     10.4 Asia Pacific
             10.4.1 China
                        10.4.1.1 China to Gather Quantum Technology Researchers to Enhance Its Cybersecurity Space
             10.4.2 Japan
                        10.4.2.1 Upsurge Demand for Quantum Communication
             10.4.3 India
                        10.4.3.1 The Need to Revolutionize Future Computation and Communication Systems
             10.4.4 Rest of Asia Pacific
     10.5 Middle East and Africa
             10.5.1 Middle East
                        10.5.1.1 Growing Demand for Securing Business Content
             10.5.2 Africa
                        10.5.2.1 Increasing Number of Security Initiatives

11 Competitive Landscape (Page No. - 78)
     11.1 Overview
     11.2 Microquadrant Overview
             11.2.1 Progressive
             11.2.2 Responsive
             11.2.3 Dynamic Companies
             11.2.4 Starting Blocks
             11.2.5 Market Ranking
     11.3 Competitive Scenario
             11.3.1 New Product Launches and Product Enhancements
             11.3.2 Partnerships, Collaborations, and Agreements

12 Company Profiles (Page No. - 83)
(Business Overview, Solutions and Services Offered, Recent Developments, and MnM View)*
     12.1 ID Quantique
     12.2 Quintessencelabs
     12.3 Crypta Labs
     12.4 Qasky
     12.5 Qubitekk
     12.6 Isara
     12.7 Post-Quantum
     12.8 Quantumctek
     12.9 Magiq Technologies
     12.10 Nucrypt
     12.11 Quantum Xchange
     12.12 Aurea Technology
     12.13 Qutools
     12.14 Qunu Labs
     12.15 Infineon
     12.16 Mitsubishi Electric
     12.17 IBM
     12.18 HP
     12.19 NEC
     12.20 Toshiba
     12.21 Microsoft

*Details on Business Overview, Solutions and Services Offered, Recent Developments, and MnM View Might Not Be Captured in Case of Unlisted Companies.

13 Appendix (Page No. - 110)
     13.1 Discussion Guide
     13.2 Knowledge Store: Marketsandmarkets’ Subscription Portal
     13.3 Related Reports
     13.4 Author Details


List of Tables (44 Tables)

Table 1 Factor Analysis
Table 2 Growing Need for Quantum Cryptography With the Increasing Number of Cyber-Attacks
Table 3 Quantum Cryptography Initiatives
Table 4 Industrial Use Cases: Telecom Vertical
Table 5 Quantum Cryptography Market Size, By Component, 2016–2023 (USD Thousand)
Table 6 Solutions: Market Size By Region, 2016–2023 (USD Thousand)
Table 7 Services: Market Size By Region, 2016–2023 (USD Thousand)
Table 8 Quantum Cryptography Market Size, By Service, 2016–2023 (USD Thousand)
Table 9 Consulting and Advisory: Market Size By Region, 2016–2023 (USD Thousand)
Table 10 Deployment and Integration: Market Size By Region, 2016–2023 (USD Thousand)
Table 11 Support and Maintenance: Market Size By Region, 2016–2023 (USD Thousand)
Table 12 Quantum Cryptography Market Size By Security Type, 2016–2023 (USD Thousand)
Table 13 Network Security: Market Size By Region, 2016–2023 (USD Thousand)
Table 14 Application Security: Market Size By Region, 2016–2023 (USD Thousand)
Table 15 Market Size By Vertical, 2016–2023 (USD Thousand)
Table 16 Government and Defense: Market Size By Region, 2016–2023 (USD Thousand)
Table 17 Banking, Financial Services, and Insurance: Market Size By Region, 2016–2023 (USD Thousand)
Table 18 Retail: Market Size By Region, 2016–2023 (USD Thousand)
Table 19 Healthcare: Market Size By Region, 2016–2023 (USD Thousand)
Table 20 Automotive: Market Size By Region, 2016–2023 (USD Thousand)
Table 21 Others: Market Size By Region, 2016–2023 (USD Thousand)
Table 22 Quantum Cryptography Market Size, By Region, 2016–2023 (USD Thousand)
Table 23 Americas: Market Size By Component, 2016–2023 (USD Thousand)
Table 24 Americas: Market Size By Service, 2016–2023 (USD Thousand)
Table 25 Americas: Market Size By Security Type, 2016–2023 (USD Thousand)
Table 26 Americas: Market Size By Vertical, 2016–2023 (USD Thousand)
Table 27 Americas: Market Size By Country, 2016–2023 (USD Thousand)
Table 28 Europe: Quantum Cryptography Market Size, By Component, 2016–2023 (USD Thousand)
Table 29 Europe: Market Size By Service, 2016–2023 (USD Thousand)
Table 30 Europe: Market Size By Security Type, 2016–2023 (USD Thousand)
Table 31 Europe: Market Size By Vertical, 2016–2023 (USD Thousand)
Table 32 Europe: Market Size By Country, 2016–2023 (USD Thousand)
Table 33 Asia Pacific: Quantum Cryptography Market Size, By Component, 2016–2023 (USD Thousand)
Table 34 Asia Pacific: Market Size By Service, 2016–2023 (USD Thousand)
Table 35 Asia Pacific: Market Size By Security Type, 2016–2023 (USD Thousand)
Table 36 Asia Pacific: Market Size By Vertical, 2016–2023 (USD Thousand)
Table 37 Asia Pacific: Market Size By Country, 2016–2023 (USD Thousand)
Table 38 Middle East and Africa: Quantum Cryptography Market Size, By Component, 2016–2023 (USD Thousand)
Table 39 Middle East and Africa: Market Size By Service, 2016–2023 (USD Thousand)
Table 40 Middle East and Africa: Market Size By Security Type, 2016–2023 (USD Thousand)
Table 41 Middle East and Africa: Market Size By Vertical, 2016–2023 (USD Thousand)
Table 42 Middle East and Africa: Market Size By Country, 2016–2023 (USD Thousand)
Table 43 New Product Launches and Product Enhancements, 2017–2018
Table 44 Partnerships, Collaborations, and Agreements, 2016–2018


List of Figures (35 Figures)

Figure 1 Quantum Cryptography Market: Research Design
Figure 2 Market Bottom-Up Approach
Figure 3 Market Top-Down Approach
Figure 4 Market Top 3 Segments, 2018
Figure 5 Solutions Segment to Have A Higher Market Share in 2018
Figure 6 Increasing Demand for Customized Business Support System Solutions and Services to Drive the Market Growth
Figure 7 Network Security Type and United States to Hold the Highest Market Shares in 2018
Figure 8 The Americas to Grow at the Highest CAGR During the Forecast Period
Figure 9 The Americas to Emerge as the Best Market for Investment Over the Next 5 Years
Figure 10 Drivers, Restraints, Opportunities, and Challenges: Quantum Cryptography Market
Figure 11 Solutions Segment to Hold A Larger Market Size in 2018
Figure 12 The Americas to Dominate the Solutions Segment During the Forecast Period
Figure 13 The Americas to Dominate the Services Segment During the Forecast Period
Figure 14 Deployment and Integration Segment to Grow at the Highest CAGR During the Forecast Period
Figure 15 The Americas to Hold the Largest Market Size During the Forecast Period
Figure 16 Network Security Segment to Hold A Larger Market Size During the Forecast Period
Figure 17 The Americas to Grow at the Highest CAGR During the Forecast Period
Figure 18 Government and Defense Segment to Hold the Largest Market Size During the Forecast Period
Figure 19 The Americas to Hold the Largest Market Size During the Forecast Period
Figure 20 The Americas: Market Snapshot
Figure 21 Network Security Segment to Hold A Larger Market Size During the Forecast Period
Figure 22 Government and Defense Segment to Hold the Largest Market Size During the Forecast Period
Figure 23 Network Security Segment to Hold A Larger Market Size During the Forecast Period
Figure 24 Asia Pacific: Market Snapshot
Figure 25 Government and Defense Segment to Hold the Largest Market Size During the Forecast Period
Figure 26 Quantum Cryptography Market (Global), Competitive Leadership Mapping, 2018
Figure 27 Market Ranking for the Quantum Cryptography Market, 2018
Figure 28 Key Developments By Leading Players in the Quantum Cryptography Market During 2016–2018
Figure 29 Infineon: Company Snapshot
Figure 30 Mitsubishi Electric: Company Snapshot
Figure 31 IBM: Company Snapshot
Figure 32 HP: Company Snapshot
Figure 33 NEC: Company Snapshot
Figure 34 Toshiba: Company Snapshot
Figure 35 Microsoft: Company Snapshot

The study involved 4 major steps to estimate the current market size for the quantum cryptography market. The exhaustive secondary research was done to collect information on the market, the peer market, and the parent market. The next step was to validate these findings, assumptions, and sizing with industry experts across value chain through primary research. Both top-down and bottom-up approaches were employed to estimate the complete market size. Thereafter, market breakdown and data triangulation were used to estimate the market size of segments and subsegments.

Secondary Research

In the secondary research process, various secondary sources, such as Hoovers, Bloomberg BusinessWeek, and Dun & Bradstreet, have been referred for, to identify and collect information for this study. These secondary sources included annual reports, press releases and investor presentations of companies; white papers, technology journals and certified publications; and articles from recognized authors, directories, and databases.

Primary Research

The quantum cryptography market comprises several stakeholders, such as encryption solution providers, quantum cryptography vendors, application security service providers, system integrators/network security service providers, consultancy/advisory firms, quantum computing and quantum cryptography Research and Development (R&D) firms. The extensive primary research was conducted to gather information and verify and validate the critical numbers arrived at. Primary research was also conducted to identify the segmentation types; industry trends; key players; the competitive landscape of different market players; and key market dynamics, such as drivers, restraints, opportunities, challenges, industry trends, and key strategies. Following is the breakdown of primary respondents:

Quantum Cryptography Market

To know about the assumptions considered for the study, download the pdf brochure

Market Size Estimation

Both top-down and bottom-up approaches were used to estimate and validate the overall size of the quantum cryptography market. These methods were also used extensively to estimate the size of various subsegments in the market. The research methodology used to estimate the market size includes the following:

  • The key players in the industry and markets have been identified through the extensive secondary research.
  • The quantum cryptography market expenditures across regions, along with the geographic split in various segments have been considered to arrive at the overall market size.
  • All percentage shares, splits, and breakdowns have been determined using secondary sources and verified through primary sources.

Data Triangulation

After arriving at the overall market size using the market size estimation processes as explained above the market was split into several segments and subsegments. To complete the overall market engineering process and arrive at the exact statistics of each market segment and subsegment, data triangulation and market breakup procedures were employed, wherever applicable. The data was triangulated by studying various factors and trends from both the demand and supply sides in the quantum cryptography industry.

Report Objectives:

  • To define, describe, and forecast the quantum cryptography market by component (solutions and services), security type, vertical, and region
  • To provide detailed information about the major factors (drivers, restraints, opportunities, and industry-specific challenges) influencing the market growth
  • To analyze the opportunities in the market and provide details of the competitive landscape for stakeholders and market leaders
  • To forecast the market size of the segments with respect to 4 main regions, namely, Americas, Europe, Asia Pacific (APAC), and Middle East and Africa (MEA)
  • To profile the key players and comprehensively analyze their market rankings and core competencies1
  • To analyze competitive developments, such as new partnerships, new contracts, and new product developments, in the quantum cryptography market

1Core competencies of the companies have been captured in terms of their key developments and key strategies adopted by them to sustain their positions in the market.
 

Scope of the Report:

Report Metrics

Details

Market size available for years

2017–2023

Base year considered

2017

Forecast period

2018–2023

Forecast units

Value (USD)

Segments covered

Component (Solutions and Services), Security Type, Vertical, and Region

Geographies covered

Americas, APAC, Europe, and Middle East and Africa

Companies covered

ID Quantique (Switzerland), QuintessenceLabs (Australia), MagiQ Technologies (US), ISARA (Canada), and Qubitekk (US). A total of 21 players covered.

This research report categorizes the quantum cryptography market based on component [solutions, and services (consulting and advisory, deployment and integration, and support and maintenance)], security type (network and application security), vertical (government and defense, BFSI, retail, healthcare, automotive, and others (telecom, energy and utilities, logistics, and education)), and region.

By Component:

  • Solutions
  • Services

By Services:

  • Consulting and advisory
  • Deployment and integration
  • Support and maintenance

By Security Type:

  • Network security
  • Application security

By Vertical:

  • Government and defense
  • BFSI
  • Retail
  • Healthcare
  • Automotive
  • Others (telecom, energy and utilities, logistics, and education)

By Region:

  • Americas
  • Europe
  • APAC
  • MEA

Available Customizations

With the given market data, MarketsandMarkets offers customizations as per the company’s specific needs. The following customization options are available for the report:

Geographic Analysis

  • Further breakup of the American market into the US, Canada and Rest of Americas
  • Further breakup of the European market into the UK, Germany, and Rest of Europe
  • Further breakup of the APAC market into the China and Rest of APAC
  • Further breakup of the MEA market into the Middle East, and Africa

Company Information

  • Detailed analysis and profiling of additional market players
Report Code
TC 5714
Published ON
Jan, 2019
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