Key Emerging Trends in Optical Encryption Market
According to the new market research report on “Optical Encryption Market by Encryption Layer (OTN or Layer1, MACsec or Layer 2, and IPsec or Layer 3), Data Rate (10G, 40G, 100G), Vertical (BFSI, Government, Healthcare, Data Centre & Cloud, Energy & Utilities), and Geography – Global Forecast to 2023″, the optical encryption market is expected to grow from USD 2.77 billion in 2018 to USD 4.24 billion by 2023, at a CAGR of 8.9% between 2018 and 2023. The growth of this market is driven by emerging requirement of regulatory compliances, growing concern over data security and privacy due to cyberattacks, and rising data center deployments.
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Greater than 10G and less than 40G data rate to hold largest share of optical encryption market during forecast period
The greater than 10G and less than 40G data rate is expected to hold the largest share of the market during the forecast period. This can be attributed to the large-scale adoption of the optical encryption in different verticals such as BFSI, government, healthcare, and energy and utilities where the average data rate transfer is in the range of 10G and 40G.
Optical encryption market for data center and cloud vertical to grow at highest CAGR during forecast period
The optical encryption market for the data center and cloud vertical is expected to grow at the highest CAGR during the forecast period. Data centers play a crucial role in delivering IT services and providing storage, communications, and networking to a growing number of networked devices, users, and business processes in general. The growing importance of data analytics has boosted the value and growth of data centers.
Americas to hold largest share of optical encryption market during forecast period
The Americas is expected to dominate the market with the largest share between 2018 and 2023. This is due to the presence of some key players such as Ciena (US), Cisco (US), Infinera (US), Arista Networks (US), and Juniper Networks (US) in the region. The high adoption of cloud-based applications in the Americas has led to a dramatic increase in the number of cyberattacks, which are also becoming more sophisticated. Also, there is increasing demand for optical encryption solutions due to the need for regulatory compliance and security concerns.
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Major players in the optical encryption market include Ciena (US), ADVA (Germany), Nokia (Finland), ECI Telecom (Israel), Cisco (US), Huawei Technologies (China), Microsemi (US), Infinera (US), Arista Networks (US), and Acacia Communications (US).
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