Digital forensics refers to the use of digital investigative and analytical techniques for identification, collection, examination and analysis of digital information present in digital devices such as computers, mobile devices, networks and others. Digital forensics helps in extracting and preserving data in order to be used as evidence in court of law. Digital forensics is extensively used in law enforcement agencies, corporate and private investigations for criminal or civil investigations related to crimes such as cybercrime, child abuse, terrorism and other serious offenses. With the growth in digitalization and use of internet globally, the number of digital forensics cases and requirements have increased rapidly over the past decade.
The global Digital Forensics Market is estimated to be valued at US$ 4,501.0 Mn or Million in 2023 and is expected to exhibit a CAGR of 10.% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
One of the key trends in the digital forensics market is the increasing adoption of digital forensics solutions by law enforcement agencies. This is attributed to growing cybercrime activities such as hacking, ransomware attacks, identity theft etc. According to a report by cybersecurity company McAfee, the annual cost of cybercrime is expected to reach $6 trillion annually by 2021. Digital forensics solutions help law enforcement agencies to effectively investigate malware attacks, data breaches and other crimes. Another trend is the integration of artificial intelligence and machine learning capabilities in digital forensics tools. This helps in faster analysis of huge volumes of digital data and provides actionable insights to investigators. Several digital forensics solution providers are focusing on development of AI integrated digital forensics solutions.
Threat of new entrants: The threat of new entrants into the digital forensics market is moderate. Established players have strong brand recognition and control a major share of the market making it difficult for new players to acquire customers. However, the growing adoption of digital devices provides opportunities for new players to penetrate the market.
Bargaining power of buyers: The bargaining power of buyers in the digital forensics market is low. Buyers have limited choice of vendors providing digital forensic services and rely heavily on their expertise for investigation purposes. However, growing competition among vendors keeps prices in check.
Bargaining power of suppliers: The bargaining power of suppliers is low in the digital forensics market. The market has several technology providers and vendors supplying various tools and services. This gives buyers alternate sourcing options without anyhindrance to operations.
Threat of new substitutes: The threat of substitutes is low. There are no direct substitutes for digital forensics services for investigation of digital crimes and security threats. However, in-house digital forensics teams can be considered as substitutes threatening vendors.
Competitive rivalry: The competitive rivalry in the digital forensics market is high. The market is fragmented with many global and regional players competing based on tools, technologies, and service offerings. Players differentiate by focusing on continuous innovation and providing customized solutions.
The global digital forensics market is expected to witness high growth, exhibiting CAGR of 10.% over the forecast period, due to increasing cybercrimes and stringent government regulations for data protection.
Regional analysis: North America dominated the digital forensics market in 2023, accounting for around 35% of the global market share. This is attributed to stringent data protection laws and rising incidence of cyber threats in the US and Canada. Asia Pacific is expected to be the fastest growing region owing to supportive government initiatives and increasing digitalization in major countries like India and China.
Key players: Key players operating in the digital forensics market are AccessData Group, Inc., Guidance Software, Inc./OpenText Corp., Oxygen Forensics, Paraben Corporation, Cellmark Forensic Services, Binary Intelligence, LLC, FireEye, Nuix Pty Ltd., IBM Corporation, LogRhythm, Inc., Magnet Forensics Inc., and Cisco Systems, Inc. These vendors are focusing on new service and product launches to strengthen their market positions.
- Source: Coherent Market Insights, Public sources, Desk research
- We have leveraged AI tools to mine information and compile it