The global payment security market is expected to reach almost $44bn by 2025, according to a report by Grand View Research, up from a valuation of a little over $16bn in 2017. This prediction reflected a CAGR of 12.3% during the forecast period of 2018–25.
The report linked the anticipated growth to the adoption of digital payment modes by consumers and the growing need for payment card industry data security standard (PCI DSS) compliance. Grand View Research noted that the payments industry is going through an infrastructure transformation in order to keep up with non-bank trendsetters and to address progressing customer requirements.
Visit Innovation Enterprise’s CFO Rising Midwest Summit in Chicago on September 7–8, 2018.
"Over the past few years, major economies have modernized their payment infrastructures and many others are scheduling to upgrade," said Grand View Research. "Digital payments aid merchants in maintaining continuous compliance with PCI DSS, which is further anticipated to bolster the growth of the payment security market."
Grand View Research added: "In March 2015, Worldpay reported more than 133,000 fraudulent transactions, which interpreted stolen card details being used every 20 seconds. Thus, payment security providers help its customers’ systems to protect itself from threats and aim to provide secure businesses by getting them to comply with PCI DSS. Therefore, the payment security market is estimated to be driven by the adoption of PCI DSS compliance."
The report found that fraud detection and prevention solutions would hold the largest share in the overall market. Additionally, the encryption platform emerged as the fastest growing segment over the forecast period, while the education market is anticipated to see the highest growth of 13.4% CAGR.