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2025 User Provisioning Industry Trends Report: Long-Term Outlook Through 2034
Use code ONLINE30 to get 30% off on global market reports and stay ahead of tariff changes, macro trends, and global economic shiftsHow Large Will the User Provisioning Market Size By 2025?
In recent times, the user provisioning market has seen accelerated growth. The market size is expected to surge from $9.94 billion in 2024 to a whopping $11.71 billion in 2025, growing at a compound annual growth rate (CAGR) of 17.9%. The significant growth experienced in the historical period is a result of the escalation in cyber threats, widespread adoption of cloud computing, identity governance, complicated IT infrastructures, as well as heightened awareness of identity management.
How Big Is the User Provisioning Market Size Expected to Grow by 2029?
The market size of user provisioning is projected to expand significantly in the approaching years, reaching $22.35 billion in 2029 with a compound annual growth rate (CAGR) of 17.5%. This growth for the forecast period is anticipated due to factors such as biometric authentication, identity management based on blockchain, continuous monitoring, self-service provisioning, and emphasis on user experience. The upcoming period also expects trends like adaptive access control, automation of regulatory compliance, hybrid identity management, collective identity management, and the integration of zero trust architecture.
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Which Key Market Drivers Powering User Provisioning Market Expansion and Growth?
The anticipated surge in the user provisioning market is attributed to the growing adoption of cloud-based software systems. Such systems comprise services and applications delivered and hosted over the internet, giving users the leeway to utilize them remotely via web browsers or client applications. The growing popularity of these systems is attributed to their cost-effectiveness, scalability, flexibility, and the ability to access them from any location with internet access. User provisioning deals with the creation, updating, deletion of user accounts and management of their accesses to different resources within the cloud infrastructure. This procedure is crucial in guaranteeing data security, compliance, and operational efficiency in cloud-based applications. In a case in point, as reported by Eurostat, a Luxembourg-based intergovernmental organization, 45.2% of EU businesses subscribed to cloud computing services in December 2023, showing a 4.2 percentage point (pp) growth from 2021. Thus, the growing reliance on cloud-based software systems stimulates the user provisioning market's expansion.
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Which Fast-Growing Trends Are Poised to Disrupt the User Provisioning Market?
Prominent businesses in the user provisioning industry are creating cutting-edge technologies like auto-provisioning tools to elevate their market profitability. These auto-provisioning tools expedite user provisioning processes by automating the configuration of accounts, rights to access, and permissions according to specific predetermined parameters, thus improving efficiency and security within organizational user management. For example, in June 2023, Callroute, a provisioning firm for Microsoft Teams based in the UK, introduced an auto-provisioning tool designed to assist administrators in saving time and minimizing manual mistakes. This tool facilitates administrators in developing personas for various departments and job roles, simplifying the process of package assignments for newcomers. It automates the allocation of policies, including calling, channels, and messaging, besides assigning phone numbers based on the user's location. This innovation is projected to reduce user management expenses by 71% and decrease the volume of repetitive tasks.
What Are the Emerging Segments in the User Provisioning Market?
The user provisioning market covered in this report is segmented -
1) By Type: Solution, Service
2) By Deployment: Cloud-Based, On-Premise
3) By Organization Size: Large Enterprise, Small And Medium Size Enterprise (SMEs)
4) By Vertical: Government, Telecommunication And Information Technology, Banking Financial Services And Insurance (BFSI), Manufacturing, Retail, Healthcare, Other Verticals
Subsegments:
1) By Solution: Software Solutions, Cloud-Based Solutions, On-Premise Solutions
2) By Service: Professional Services (Consulting, Integration), Managed Services, Support And Maintenance Services
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Who Are the Global Leaders in the User Provisioning Market?
Major companies operating in the user provisioning market are Microsoft Corporation, Dell Inc., Hitachi Ltd., The International Business Machines Corporation, Oracle Corporation, Broadcom Inc., SAP SE, ATOS SE, Motorola Solutions Inc., Okta Inc., Zoho Corp. Pvt. Ltd., SolarWinds Corp., CyberArk Software Ltd., Happiest Minds Technologies Limited, SailPoint Technologies Holdings Inc., Centrify Corporation, OneLogin Inc., CloudEagle, CA Technologies Inc., EmpowerID, Avatier Corp.
Which are the Top Profitable Regional Markets for the User Provisioning Industry?
North America was the largest region in the user provisioning market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the user provisioning market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa.
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