Quantum Cryptography Market Size (2024 - 2029)

Quantum Cryptography Market Analysis

The Quantum Cryptography Market size is estimated at USD 0.58 billion in 2024, and is expected to reach USD 2.09 billion by 2029, growing at a CAGR of 29.19% during the forecast period (2024-2029).

The key drivers contributing to the increase in the adoption of data-intensive approaches and decisions with the growth, including the rise in the number of cyber-attacks globally with the growing digitalization, have the potential to damage the internet-linked digital infrastructure of various government or private sector enterprises, thereby significantly driving the market’s growth rate.

• The need for cybersecurity majors in enterprises and government entities of various countries increased in the post-pandemic period due to the trend of online and data-driven businesses, fueling the implementation of quantum cryptography solutions by encrypting sensitive information through quantum mechanics.
• With the growing dependence on technology and digitalization, BFSI players such as banks, investment banks, and insurance firms have increased their use of best safety solutions over recent years. Further, as indicated in the graph, the attacks in the BFSI sector have been significant, thereby contributing to the market’s growth rate. Quantum cryptography has become a major point of view, given the scale of exposure to cyberspace. As indicated in the graph, there have been several malware, network, and application policy violations, among other attacks.
• The increasing risk of cyberattacks based on quantum technology is emerging in the market, which can create threats to the network and data platform of the end users using traditional cryptography-based cyber security measures and can drive the demand for quantum cryptography cyber security solutions in the market.
• Quantum cryptography has emerged as the optimal choice for securing communication and data storage, given its unique features, including high security and cyber detection. However, this comes with high installation, maintenance, and supporting infrastructure costs, limiting the market’s growth.
• The pandemic has raised the demand for cyber solutions to protect businesses and countries from malicious cyber-attacks supported by increasing digitalization. Additionally, the Bank for International Settlements stated that, during the COVID-19 pandemic, financial institutions faced an increasing risk of cyberattacks, which were accelerated by remote working conditions.

Quantum Cryptography Industry Segmentation

The quantum cryptography market is defined based on the revenues generated from the solutions and services used in various areas around the globe. The analysis is centered on the market insights gathered through secondary research and the primaries. The market also covers the major factors affecting its growth in terms of drivers and restraints.

The quantum cryptography market is segmented by component (solutions, services), application (network security, application security, and database security), end users (IT and telecommunication, BFSI, government and defense, healthcare, and other end users), and geography (North America, Europe, Asia-Pacific, South America, and Middle East and Africa). The market size and forecasts are provided in terms of value (USD) for all the above segments.