How big is the cloud IAM market | Growth 2031

Q: What is the current size of the cloud IAM market?

The cloud IAM market was valued at USD 6.5 billion in 2024 and is projected to reach USD 15.3 billion by 2031.

Q: What is the growth rate of the cloud IAM market?

The cloud IAM market is expected to grow at a CAGR of 13.1% during the forecast period.

Q: Which applications contribute the most in the cloud IAM market?

User authentication, access control, identity governance, compliance management, and privilege access monitoring.

Q: What is driving demand in the cloud IAM market?

Remote work expansion, cloud usage growth, regulatory compliance, and the need for identity-based threat prevention.

Q: What challenges does the cloud IAM market face?

Integration with legacy systems, managing hybrid identities, user experience issues, and evolving cyber threats.

Q: How does 6W market outlook report help businesses in making decisions?

6W monitors the market across 60+ countries Globally, publishing an annual market outlook report that analyses trends, key drivers, Size, Volume, Revenue, opportunities, and market segments. This report offers comprehensive insights, helping businesses understand market dynamics and make informed decisions.

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Code: MTA5289

Publication Date: Jul 2025

How big is the Cloud IAM Market?

According to 6Wresearch internal database and industry insights, the Global Cloud Identity And Access Management (IAM) Market was valued at approximately USD 6.5 billion in 2024 and is projected to reach USD 15.3 billion by 2031, growing at a CAGR of 13.1%.

This growth is driven by increasing cloud adoption, rising cybersecurity concerns, and demand for secure remote access and user identity governance.

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Key Growth Drivers of the Cloud IAM Market

Rising number of remote workers and need for secure access to cloud-based resources
Surge in data breaches and identity theft incidents across industries
Growing adoption of SaaS and multi-cloud environments requiring centralized IAM
Compliance with regulations such as GDPR, HIPAA, and CCPA
Need for password less authentication, MFA, and zero-trust security models

Cloud IAM Market Trends

The Cloud IAM Market is shifting toward AI-enhanced IAM solutions that offer behavior-based access control and real-time risk assessment. Single sign-on (SSO), multi-factor authentication (MFA), and identity federation are becoming default components. There’s a growing preference for identity-as-a-service (IDaaS) models among SMEs. Industries such as healthcare, finance, and e-commerce are leading adopters due to high data sensitivity.

Emerging Developments in the Cloud IAM Market

Vendors are introducing decentralized identity (DID) frameworks to reduce identity silos and enhance user privacy. Cloud IAM platforms are integrating with threat detection and SOAR tools to improve real-time incident response. Biometric-based authentication and adaptive access controls powered by machine learning are gaining traction. Blockchain-enabled identity verification is being explored for cross-border identity validation. Companies are focusing on CIEM (Cloud Infrastructure Entitlement Management) to minimize privilege sprawl across hybrid cloud environments.