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Out-of-Band (OOB) Authentication Market Trends, Share, Size Analysis, and Forecast 2025-2033

  • Writer: ravinder imarc
    ravinder imarc
  • Dec 30, 2024
  • 5 min read


The latest research report, titled "Out-of-Band (OOB) Authentication Market Report by Component (Solution, Services), Authentication Channel (SMS, Email, Push Notification, Voice, Token-based, and Others), Deployment Mode (On-premises, Cloud-based), Enterprise Size (Large Enterprises, Small and Medium-sized Enterprises), Industry Vertical (BFSI, IT and Telecom, Government and Defense, Retail, Healthcare, Media and Entertainment, and Others), and Region 2025-2033" the latest report by IMARC Group, offers a comprehensive analysis of the industry, which comprises insights on the global out-of-band (OOB) authentication market outlook, including competitor and regional analysis, and contemporary advancements in the Industry.


How Big is the Out-of-Band (OOB) Authentication Market?


The global out-of-band (OOB) authentication market size reached USD 1.5 Billion in 2024. Looking forward, IMARC Group expects the market to reach USD 7.5 Billion by 2033, exhibiting a growth rate (CAGR) of 18.7% during 2025-2033.



Out-of-Band (OOB) Authentication Market Dynamics:


Rise of Zero Trust Security:


As the trend to implement architectures of security based on Zero Trust paradigm over the OOB market continues to grow, it is worth mentioning that Zero Trust requires all users and devices irrespective the place they are, to be authenticated and authorized before utilizing any resources. The principle forms of authentication, passwords for instance, may not pass the security requirements enlisted by Zero Trust. However, OOB authentication methods like push messages or voice calls can be an effective substitute because they provide an additional security feature that is apart from knowledge and device-based factors. As more enterprises rush to utilize the Zero Trust principles into their business models, it goes without saying that there will be a dramatic increase in the demand for OOB solutions, one of the factors for this increasing trend is the need to cater for the rising risks of working remotely and the accessing of corporate networks and applications through possibly untrusted devices.


Increasing Cyberattacks and Data Breaches:


The increasing frequency of cybercrime ranging from phishing to malware and including ransom ware has, in one way or another, increased demand for advanced authentication solutions. The combination of a password and a username is the easiest for a hacker to access even with multi-factor authentication in effect. Such attacks are less likely to succeed due to the violation’s very scope, which is always the increasing possibility of compromise or espionage. For instance, a push notification to a secure device creates an avenue for authentication, and as such minimises the chances of interception occurring or social engineering being employed. For the purpose of staying one step ahead of the bot threats, organizations are pouring in big money into OOB authentication solutions to protect and keep all the sensitive information intact. This trend is further exacerbated by the increasing regulatory compliance requirements, such as GDPR and CCPA, which impose obligations on companies to ensure the security of user data.


Growing Adoption of Multi-Factor Authentication (MFA):


Multi-Factor Authentication (MFA) has been consistently on the rise which in turn validates not only the need for the OOB authentication market but must be regarded as a market driver as well. These approaches logically group a wider range of opportunities and elevate overall security levels by three identifying factors animal (biometrics), code (password), and movable property (device) because articles require more than one form of identification. Additionally, in combination with MFA strategies, out-of-band authentication methods serve as the critical second or third level of authentication. For instance, an employee would have to use their password to log in to a sensitive application and then have to approve the login request when prompted, by a push notification sent to their mobile device.


Explore the Full Report with Charts, Table of Contents, and List of Figures: https://www.imarcgroup.com/out-of-band-authentication-market


OOB Authentication Market Trends:


There are several prevailing trends that could be identified in the OOB authentication market. Firstly, there is an increasing focus on user experience with little to no friction. More and more users expect comfortable and smooth authentication interactions. Consequently, vendors are coming up with innovative OOB authentication techniques like biometric methods, behavioral analytics, and device fingerprinting that increase security and reduce friction on the user experience. Secondly, the trend is also observed that of more and more cloud- based OOB authentication solutions. Cloud solutions have different benefits, for instance, it is cost-effective, adaptive, and space saving.


In addition, it helps organizations improve their organization's readiness to changing security threats and compliance requirements. Thirdly, in recent years more and more users want integrated OOB authentication solutions. More organizations are looking for unified solutions that are easy-to-use and are compatible with enterprises’ deployments of IAM and security systems. This helps to improve effectiveness since there’s less need to deal with many security layers. Lastly, the OOB authentication market is increasing with emphasis towards the use of artificial intelligence (AI) and machine learning (ML) in the authentication process to augment its effectiveness and accuracy.


Out-of-Band (OOB) Authentication Market Report Segmentation:


Breakup By Component:


  • Solution

    • Hardware

    • Software

  • Services


Solution (hardware and software) accounts for the majority of shares due to the increasing demand for secure and scalable authentication systems.


Breakup By Authentication Channel:


  • SMS

  • Email

  • Push Notification

  • Voice

  • Token-based

  • Others


SMS exhibits a clear dominance owing to its widespread adoption and ease of use in securing remote access.


Breakup By Deployment Mode:


  • On-premises

  • Cloud-based


Cloud-based exhibits a clear dominance owing to its scalability, cost-effectiveness, and ease of integration with existing infrastructure.


Breakup By Enterprise Size:


  • Large Enterprises

  • Small and Medium-sized Enterprises


Large enterprises exhibit a clear dominance owing to their need for robust security solutions and the ability to invest in advanced authentication technologies.


Breakup By Industry Vertical:


  • BFSI

  • IT and Telecom

  • Government and Defense

  • Retail

  • Healthcare

  • Media and Entertainment

  • Others


BFSI accounts for the majority of shares due to the critical need for secure access to sensitive financial data and compliance with regulatory requirements.


Breakup By Region:


  • North America (United States, Canada)

  • Pacific (China, Japan, India, Australia, Indonesia, Korea, Others)

  • Europe (Germany, France, United Kingdom, Italy, Spain, Others)

  • Latin America (Brazil, Mexico, Others)

  • Middle East and Africa (United Arab Emirates, Saudi Arabia, Qatar, Iraq, Other)


North America holds the leading position owing to a large market for out-of-band (oob) authentication driven by its advanced technological infrastructure, high adoption of digital security solutions, and a strong regulatory framework ensuring data protection and privacy.


Top Out-of-Band (OOB) Authentication Market Leaders:


The out-of-band (oob) authentication market research report outlines a detailed analysis of the competitive landscape, offering in-depth profiles of major companies. Some of the key players in the market are:


  • Deepnet Security

  • Early Warning Services LLC

  • i-Sprint Innovations Pte Ltd

  • OneSpan

  • Ping Identity Corporation

  • RSA Security LLC

  • SAASPASS

  • SecurEnvoy (Shearwater Group plc)

  • SolidPass

  • StrikeForce Technologies Inc.

  • Thales Group


Note: For any specific information beyond the report's current scope, we offer customization to meet your needs.


About Us:


IMARC Group is a leading market research company that offers management strategy and market research worldwide. We partner with clients in all sectors and regions to identify their highest-value opportunities, address their most critical challenges, and transform their businesses.


IMARC’s information products include major market, scientific, economic and technological developments for business leaders in pharmaceutical, industrial, and high technology organizations. Market forecasts and industry analysis for biotechnology, advanced materials, pharmaceuticals, food and beverage, travel and tourism, nanotechnology and novel processing methods are at the top of the company’s expertise.


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