Pune, July 07, 2025 (GLOBE NEWSWIRE) -- Identity Analytics Market Size Analysis:

“The Identity Analytics Market, valued at USD 1.90 billion in 2024, is projected to surge to USD 12.86 billion by 2032, growing at a CAGR of 27.03% from 2025 to 2032.”

The increasing number of cyber threats and data breaches is the main reason behind attracting the demand for strong identity and access management (IAM) solutions, which is driving this growth. Increasing availability of virtual work environments have raised the stakes for analytics in monitoring user behavior, baselining activity, and ensuring compliance with corporate policies and specific industry standards. At the same time, the growing regulatory demands and the infusion of AI and machine learning are also making market growth prevalent across different verticals.

The U.S. Identity Analytics Market, valued at USD 0.42 billion in 2024, is projected to reach USD 3.51 billion by 2032, expanding at a CAGR of 26.72% from 2025 to 2032. Growth is driven by increasing cyberattacks, stringent regulatory compliance, and the widespread adoption of cloud services, prompting organizations to invest in advanced identity and access management analytics.

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Identity Analytics Market Report Scope:

Report Attributes	Details
Market Size in 2023	USD 1.90 Billion
Market Size by 2032	USD 12.86 Billion
CAGR	CAGR of 27.03% From 2025 to 2032
Base Year	2023
Forecast Period	2024-2032
Historical Data	2020-2022
Key Segments	• By Component (Solution, Service) • By Deployment Mode (On-premises, Cloud) • By Enterprise Size (Large enterprises, Small and Medium-sized Enterprises) • By Industry Vertical (BFSI, Retail & e-commerce, IT & telecommunication, Government & public sector, Healthcare, Manufacturing, Others)
Key Growth Drivers	Rising cyber threats push enterprises to adopt intelligent identity governance and behavioral analytics solutions rapidly.

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By Component, Solution Segment Leads Identity Analytics Market Share Due to Real-Time Insights and Automation Capabilities

In 2023, the solution segment accounted for approximately 64% of the Identity Analytics Market share, due to increased demand for real-time analytics along with automated decision making with in an identity governance framework. Software platforms that can solve these integration challenges, offer compliance requirements, help mitigate risk, and provide the analytics of behavior, are often the preferred solution for organizations, as they simplify lots of identity-related work and establish better security posture.

By Enterprise Size, Small and Medium-Sized Enterprises to Register Fastest Growth Amid Rising Cyber Risk Awareness and Cloud Adoption

Small and Medium-sized Enterprises (SMEs) are anticipated to grow at the highest CAGR of approximately 28.51% from 2025 to 2032, due to the growing cognizance towards security threats, coupled with the availability of low-cost, cloud-based identity analytics tools. With the acceleration of digital transformation and the growing reliance on SaaS tools, SMEs have to invest in solutions that offer greater data protection, regulatory compliance, and frictionless user access.

By Industry Vertical, BFSI Sector Dominated Identity Analytics Market in 2024 Due to High Fraud Risk and Regulatory Demands

In 2024, the BFSI segment accounted for a leading 33% share of the Identity Analytics Market, driven by its vulnerability to financial fraud, strict compliance requirements, and the critical need to maintain customer trust. Banks, insurers, and financial institutions prioritize identity analytics to detect transactional anomalies, mitigate insider threats, and adapt to evolving regulatory landscapes effectively.

By Deployment Mode, Cloud Deployment Segment Dominated in 2024 and Set to Grow Fastest

The cloud segment led the Identity Analytics Market in 2024 with a 63% revenue share and is projected to grow at the fastest CAGR of 27.53% from 2025 to 2032. This momentum is fueled by the widespread adoption of cloud-native infrastructure, hybrid work models, and the demand for scalable, cost-effective, and easily integrable cloud-based identity analytics solutions

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North America Led the Identity Analytics Market, Asia Pacific to Witness Fastest Growth

In 2024, North America captured the largest revenue share of approximately 39% in the Identity Analytics Market. This dominance is attributed to the region’s robust cybersecurity infrastructure, widespread digital transformation, and high demand for advanced identity solutions. The presence of leading tech firms, stringent regulatory frameworks, and rising cyber threats have accelerated the adoption of identity analytics across various sectors to safeguard sensitive data and ensure compliance.

Asia Pacific is expected to grow at the highest CAGR of approximately 29.61% from 2025 to 2032, driven by rapid digitalization, increased cybersecurity concerns, and rising investments in next-gen security tools. The region’s booming IT and telecom industries, along with a surge in cyberattacks, are prompting governments and enterprises to adopt identity analytics to strengthen data protection, access control, and regulatory compliance across digital environments.

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