Access Control as a Service Market - Size, Share, Industry Trends, and Forecasts (2024 - 2031)

By Service Type:

Based on service type, the market is segmented into Hosted Services, Managed Services, and Hybrid Services.

Trends in the Service Type:

• Hosted service offers global accessibility, enabling organizations with multiple locations to manage access control remotely, enhancing efficiency.
• There is an increasing trend towards offering highly customized and personalized managed services, tailored to specific security needs and compliance requirements of different organizations.

The hosted service segment accounted for the largest revenue share of 43.02% in 2023 of the total access control as a service market share.

• Hosted services are applications, IT infrastructure components, or functions that organizations access from external service providers widely through an internet connection.
• These services eliminate the need for significant upfront investment in hardware and infrastructure, making it a preferable choice.
• Determinants include ease of deployment and management, scalability, remote accessibility, regular updates, and security enhancement.
• In May 2022, Brivo joined forces with Doyle Security Systems Inc., to expand Doyle's range of security offerings with Brivo's hosted access control services. This collaboration aimed at providing a comprehensive cloud-based access platform with advanced security solutions.
• Hence, the Hosted service type segment is currently driving the global access as a service market share.

The hybrid service segment is anticipated to register a significant CAGR during the forecast period.

• The hybrid service combines both on-premises infrastructure and cloud-based solutions.
• It offers scalability and flexibility while ensuring enhanced security and compliance with data privacy regulations.
• In June 2022, Genetec launched Synergis Cloud Link enabling seamless access control systems. This system bridges on-premises security infrastructure with cloud services, ensuring robust security management while leveraging the scalability of the cloud.
• Therefore, as per the analysis, hybrid services are expected to become more accessible and enhance security resulting in access control as a service market opportunities.

By Deployment Type:

Based on deployment type, the market is segmented into Public Cloud, Private Cloud, and Hybrid Cloud.

Trends in the deployment type:

• Private cloud deployments are preferred by organizations with stringent security requirements and compliance needs, as these deployments offer greater control over data and security protocols.
• Hybrid cloud models are increasingly being used for disaster recovery and business continuity purposes, offering the ability to switch between on-premises and cloud systems seamlessly in case of failures, proliferating the market trend.

The public cloud segment accounted for the largest revenue in 2023.

• A Public cloud is a third-party cloud service provider that manages the underlying computing resources.
• It enables users to access systems and services but is less secure as it is an open source and provided over the internet to general people or majority industry groups.
• In November 2023, Amazon Web Service (AWS) announced several enhancements and new services, including security innovations for public cloud infrastructure, highlighting continuous expansion and emphasis on secure, scalable cloud solutions for enterprises.
• Thus, enhancements in the security of the public cloud are propelling the access control as a service market growth.

The private cloud segment is anticipated to register the fastest CAGR during the forecast period.

• A Private cloud is a one-on-one environment for a single user without the need to share hardware with anybody.
• It is also called the "internal cloud" and it refers to the ability to access systems and services within an organization.
• Factors include enhanced security, control, customization, regulatory compliance, improved performance, and reliability.
• In April 2021, Flexential launched Hosted Private Cloud, an advanced access solution, providing customers full control over the cloud environment and VMWare vCenter management. This solution enhances business agility by enabling direct access to the tools and cloud infrastructure.
• Therefore, as per the analysis private cloud segment is anticipated to grow due to enhanced control and customization, driving the access control as a service market trend.

By Application:

Based on application, the market is segmented into Commercial, Government, Healthcare, Education, Retail, Transportation, and others.

Trends in the application:

• Governments are focusing on implementing advanced security measures to protect sensitive information and critical infrastructure. This includes multi-factor authentication and biometric access control systems.
• Educational institutes are increasingly adopting ACaaS to enhance campus security, manage student and staff access, and integrate with other campus systems.

The commercial segment accounted for the largest revenue share in 2023 and is anticipated to register the fastest CAGR during the forecast period.

• The Commercial sector including offices, financial institutions, and corporate enterprises, is increasingly adopting Access Control as a Service to manage access to the facilities efficiently.
• Additionally, the integration of access control systems with business operations and IT infrastructure is more prevalent in the commercial sector. This integration enhances overall security and streamlining operations with physical security management.
• In December 2022, Hexagon AB's acquisition of Qognify aimed to bolster security and access control solutions for the commercial sector, by integrating Qognify's software with Hexagon's digital reality solutions.
• Hence, the adoption of Access Control Systems as a Service in the commercial sector is proliferating the global access control as a service market demand.

Regional Analysis:

The regions covered are North America, Europe, Asia Pacific, the Middle East and Africa, and Latin America.

Asia Pacific region was valued at USD 314.38 Million in 2023. Moreover, it is projected to grow by USD 356.09 Million in 2024 and reach over USD 976.19 Million by 2031. Out of this, China accounted for the maximum revenue share of 32.4% in 2023. .

The Asia Pacific region is emerging as a significant growth for access control as a service market, fueled by rapid urbanization, economic development, and increasing investments in smart infrastructure along with technological developments in security. Countries including China, Japan, and India are leading the adoption of access control service solutions in residential and commercial premises.

• In March 2022, DNAKE (China) partnered with Tiandy for IP-based camera integration. The IP intercom system offers intelligent and secure access to residential and commercial properties. The operators can enhance control over home security and building entrances by integrating systems, thus raising the security level of premises.

North America is estimated to reach over USD 1,282.79 Million by 2031 from a value of USD 427.56 Million in 2023 and is projected to grow by USD 482.88 Million in 2024. The access control as a service market is driven by technological advancements, high adoption rates of cloud solutions, and strong demand for security systems. The United States and Canada are major contributors to this growth, with businesses increasingly adopting cloud-based solutions to enhance security and operational efficiency.

• In October 2023, Idemia collaborated with HYPR Corp and Wavelynx, the identity assurance and credential Solution Company from the US. This collaboration aimed to develop a converged access card for the enterprise access market, ensuring the identification of the user with advanced network authentication.

The report analysis shows that Europe is experiencing steady growth in the access control as a service market, driven by the rising adoption of cloud technologies and growing emphasis on regulatory compliance. The United Kingdom (UK), Germany, and France are leading the market with a focus on integrating access control systems with existing IT infrastructure.

Latin America is gradually implementing access control system solutions, with a growing demand for cloud-based security systems in commercial and other sectors. Brazil and Mexico are among the leading countries in access control as a service market.

As per the access control as a service market analysis, the Middle East and Africa are raising the trend for the industry as businesses and governments modernize security infrastructure. Key markets include The United Arab Emirates (UAE), Saudi Arabia, South Africa and Nigeria.