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Identity Governance and Administration Market

Pages: 210 | Base Year: 2024 | Release: July 2025 | Author: Versha V.

Market Definition

Identity governance and administration (IGA) refers to a set of processes and technologies that manage digital identities and user access to systems and data. This market includes solutions for identity lifecycle management, access certification, role and policy management, and audit reporting.

It also involves the development, implementation, and integration of these solutions across enterprise environments on-premise, cloud, and hybrid. IGA enables organizations to meet compliance requirements, reduce security risks, and streamline identity-related operations across on-premise, cloud, and hybrid environments.

The global identity governance and administration market size was valued at USD 7.56 billion in 2024 and is projected to grow from USD 8.80 billion in 2025 to USD 26.59 billion by 2032, exhibiting a CAGR of 16.91% during the forecast period. This growth is attributed to the rising demand for secure, compliant, and efficient identity access management solutions across enterprises operating in increasingly complex IT environments.

The proliferation of remote work, expansion of cloud services, and growing volume of cyber threats are driving organizations to adopt identity governance and administration platforms to ensure appropriate access control and minimize security risks.

Key Highlights

  1. The identity governance and administration industry size was valued at USD 7.56 billion in 2024.
  2. The market is projected to grow at a CAGR of 16.91% from 2025 to 2032.
  3. North America held a market share of 35.95% in 2024, valued at USD 2.72 billion.
  4. The solution segment garnered USD 4.70 billion in revenue in 2024.
  5. The large enterprises segment is expected to reach USD 15.14 billion by 2032.
  6. The on-premises segment is anticipated to witness the fastest CAGR of 17.26% over the forecast period.
  7. The BFSI segment garnered USD 1.70 billion in revenue in 2024.
  8. Asia Pacific is anticipated to grow at a CAGR of 17.85% through the projection period.

Major companies operating in the identity governance and administration industry are Okta, Omada, Oracle, IBM, Ping Identity, SailPoint Technologies, Inc., One Identity LLC., CyberArk Software Ltd., Microsoft, RSA Security USA LLC, Avatier, Broadcom, Hitachi Solutions, SAP SE, and Saviynt Inc.

Identity Governance and Administration Market Size & Share, By Revenue, 2025-2032

Identity Governance and Administration Market Report Scope

Segmentation

Details

By Component

Solution, and Services

By Organization Size

Large Enterprises, and Small & Medium Enterprises

By Deployment

On-premises, and Cloud-based

By Vertical

BFSI, Government & Defense, IT & Telecommunications, Healthcare, Energy & Utilities, Retail, Manufacturing, and Others

By Region

North America: U.S., Canada, Mexico

Europe: France, UK, Spain, Germany, Italy, Russia, Rest of Europe

Asia-Pacific: China, Japan, India, Australia, ASEAN, South Korea, Rest of Asia-Pacific

Middle East & Africa: Turkey, U.A.E., Saudi Arabia, South Africa, Rest of Middle East & Africa

South America: Brazil, Argentina, Rest of South America

Identity Governance and Administration Market Regional Analysis

Based on region, the market has been classified into North America, Europe, Asia Pacific, Middle East & Africa, and South America.

North America identity governance and administration market share stood at 35.95% in 2024, valued at USD 2.72 billion. This dominance is attributed to the region’s mature IT infrastructure, increasing focus on cybersecurity, and strict regulatory frameworks that mandate robust identity and access management practices.

Rising investments by enterprises and public sector organizations in digital transformation across sectors such as finance, healthcare, and government are further fueling the adoption of identity governance and administration solutions.

Moreover, the presence of leading technology providers, ongoing advancements in AI- and ML-powered identity tools, and a growing demand for cloud-based access management systems are accelerating regional growth.

Government initiatives aimed at strengthening data privacy, protecting critical infrastructure, and implementing zero-trust security frameworks are supporting the adoption of compliance-focused identity governance and administration solutions. Additionally, the region’s focus on improving enterprise security and ensuring operational resilience is contributing to sustained innovation and market growth. 

  • In October 2023, Veza launched its next-generation identity governance and administration solution, the Veza Access Control Platform. It features advanced modules for provisioning, access reviews, and identity intelligence. The platform adopts its proprietary Authorization Graph to unify permissions across over 150 systems, enabling automated remediation of privilege sprawl, dormant accounts, and segregation-of-duty violations.

Identity Governance and Administration Market Size & Share, By Region, 2025-2032

The Asia-Pacific identity governance and administration industry is set to grow at a CAGR of 17.85% over the forecast period. This growth is attributed to the region’s accelerating digital transformation, rising cybersecurity concerns, and increasing regulatory focus on data privacy and identity protection.

Increasing enterprise recognition of the critical need to secure user access across cloud and hybrid environments is driving the adoption of identity governance and administration solutions across sectors such as banking, telecommunications, healthcare, and public services. 

Additionally, government initiatives promoting secure digital infrastructure, along with expanding IT service industries are encouraging investments in scalable and policy-driven identity management platforms. Regulatory developments in data protection and compliance, including national cybersecurity laws are further propelling the adoption.

Moreover, increasing collaboration between local enterprises, global technology providers, and system integrators is boosting innovation and localization, thereby supporting widespread adoption across the region.

  • In December 2024, NTT Group selected Evidian’s identity governance and administration solution to manage identity infrastructure for 250,000 employees across 115 companies in Japan. The platform is expected to automate provisioning tasks at scale, enabling consistent access control, reducing manual effort, and improving efficiency across NTT’s distributed organizational structure.

Identity Governance and Administration Market Overview

The growing focus on regulatory compliance, operational efficiency, and data protection is further supporting market expansion. Technological advancements such as artificial intelligence, machine learning, and automation are enhancing identity lifecycle management, access certifications, and policy enforcement capabilities.

These innovations combined with increased digital transformation initiatives and government regulations surrounding data privacy are accelerating the adoption of advanced identity governance and administration solutions globally.

  • In June 2025, Omada A/S launched Javi, its nextgeneration AI assistant for identity governance and administration. Javi is designed for integration with collaborative platforms like Microsoft Team to enable conversational workflows for tasks such as access requests, approvals, notifications, analytics, and role insights. Powered by generative AI, the tool supports zerotrust and leastprivilege principles while reducing user friction.

Market Driver

Growing Need for Scalable Identity Governance in Expanding IT Ecosystems

The identity governance and administration market is growing as organizations seek scalable solutions to manage identities across increasingly complex IT environments. The widespread adoption of cloud services, hybrid architectures, and remote work models has significantly expanded the number of access points and user types.

These shift is driving demand for unified platforms that can automate identity lifecycle management, enforce consistent access policies, and provide real-time oversight across diverse systems. Enterprises are prioritizing investments in IGA solutions to reduce security risks, meet compliance obligations, and maintain operational control across dynamic digital ecosystems, thereby fueling market growth.

  • In October 2023, ManageEngine introduced Identity360, a cloud-native identity and access management (IAM) platform designed to tackle workforce identity and access management challenges. The platform features a universal directory, identity lifecycle orchestration, single sign-on (SSO), multi-factor authentication (MFA), access insights, and smart templates to streamline user provisioning and enforce secure access across enterprise applications.

Market Challenge

Integration Complexity Across Diverse IT Environments

Integration complexity across diverse IT environments presents a significant challenge to the effective deployment of identity governance and administration solutions. Many organizations operate across a combination of legacy on premise systems, multi-cloud platforms, and third-party applications with unique identity protocols, access models, and security configurations.

These fragmented infrastructures make it difficult to implement a cohesive identity governance and administration framework that can enforce consistent access policies and maintain centralized control. Legacy applications often lack support for modern integration standards such as application programming interfaces (APIs) or identity federation requiring extensive customization and middleware solutions that increase project costs and complexity.

Moreover, the lack of interoperability between systems leads to data silos, incomplete user identity visibility, and gaps in policy enforcement undermining the overall effectiveness of identity governance and administration initiatives.

To overcome these challenges, market players are increasingly investing in integration middleware, cloud-native identity governance and administration platforms, and pre-built connectors that simplify implementation across diverse systems. These efforts aim to reduce deployment friction and accelerate time to value, allowing organizations to unify identity governance across complex digital ecosystems more efficiently.

Market Trend

Rising Integration of AI and ML in Identity Governance

The rising integration of AI and ML is reshaping the identity governance and administration market by enabling smarter, more adaptive, and automated access control mechanisms. AI-powered systems are increasingly being used to streamline identity lifecycle management tasks such as access provisioning, certification, and de-provisioning across dynamic enterprise environments.

These technologies enhance security by continuously analyzing user behavior, detecting anomalies, and recommending access changes based on contextual risk, thereby reducing the reliance on static policies and manual intervention.

  • In September 2024, Zilla Security unveiled its new AI-driven identity governance and administration platform, featuring Zilla AI Profiles and enhanced provisioning, which automates role management and reduces manual tasks by up to 80%, enabling deployments up to five times faster than legacy systems.

Advancements in machine learning algorithms, behavioral analytics, and real-time decision engines are driving the development of intelligent identity governance solutions capable of adapting to evolving user patterns and threat landscapes.

Organizations facing growing volumes of access requests, regulatory pressures, and cybersecurity threats are increasingly relying on AI- and ML-integrated identity governance platforms to enhance compliance, reduce operational workload, and ensure secure, policy-based access across hybrid IT environments.

Market Segmentation

  • By Component (Solution and Services): The solution segment earned USD 4.70 billion in 2024 due to the growing demand for automated identity lifecycle management and access control across hybrid IT environments.
  • By Organization Size (Large Enterprises and Small & Medium Enterprises): The large enterprise segment held a share of 57.70% in 2024, attributed to the complex identity management needs, higher security budgets, and increased regulatory compliance requirements across diverse IT infrastructures.
  • By Deployment (On-premises and Cloud-based): The cloud-based segment is projected to reach USD 15.68 billion by 2032, owing to the increasing adoption of scalable, flexible, and cost-efficient identity governance solutions that support remote access and hybrid workforce environments.
  • By Vertical (BFSI, Government & Defense, IT & Telecommunications, Healthcare, Energy & Utilities, Retail, Manufacturing, and Others): The energy & utilities segment is anticipated to grow at a CAGR of 17.05% through the projection period due to the rising need for secure access management across critical infrastructure, increased cyber threats, and strict regulatory mandates governing operational technology and industrial control systems

Regulatory Frameworks

  • In the European Union, the General Data Protection Regulation regulates the collection, processing, and management of personal data by organizations. It emphasizes data minimization and access control, requiring enterprises to implement identity governance and administration practices to ensure only authorized users have access to sensitive personal information.
  • In the U.S., the Health Insurance Portability and Accountability Act regulates the privacy and security of health information. Covered entities and business associates must use identity governance and administration tools to restrict system access, track user activity, and prevent unauthorized disclosures of protected health information (PHI).
  • In Singapore, the Personal Data Protection Act governs the collection, use, and disclosure of personal data. It supports the implementation of identity governance and administration systems to protect against unauthorized access and ensure user access rights are properly managed.

Competitive Landscape

The identity governance and administration industry features a diverse mix of established global technology providers and emerging regional vendors, all focused on advancing their solution capabilities and strengthening market presence. These players are leveraging product innovation, strategic partnerships, and region-specific expansion initiatives to address evolving enterprise identity management needs and stay competitive in a rapidly growing market.

Market participants are actively investing in artificial intelligence (AI), machine learning (ML), and automation to improve platform intelligence and efficiency. They are also adopting cloud-native architectures to build scalable solutions that support automated identity lifecycle management, real-time access analytics, and compliance automation across diverse enterprise environments.

  • In May 2025, BalkanID launched BalkanID Lite, a self-service identity governance and administration platform designed for security-conscious organizations. The solution includes modular tools for user access reviews, identity and access management (IAM) risk analysis, and lifecycle management, enabling streamlined automation, least-privilege enforcement, and simplified compliance.

Vendors are also launching cost-efficient, modular solutions tailored to meet the needs of small and medium enterprises, which are increasingly prioritizing identity security amid growing cyber threats and digital transformation.

To accelerate solution adoption and improve service delivery, companies are collaborating with cloud service providers, system integrators, and regional cybersecurity firms ensuring seamless integration, regulatory alignment, and localized support across diverse IT ecosystems.

Key Companies in Identity Governance and Administration Market:

  • Okta
  • Omada
  • Oracle
  • IBM
  • Ping Identity
  • SailPoint Technologies, Inc.
  • One Identity LLC.
  • CyberArk Software Ltd.
  • Microsoft
  • RSA Security USA LLC
  • Avatier
  • Broadcom
  • Hitachi Solutions
  • SAP SE
  • Saviynt Inc.

Recent Developments (M&A/Partnerships/Launch)

  • In June 2025, Lumos launched Albus, an AI-driven autonomous identity governance agent that automates policy creation, access certifications, and anomaly detection in real-time. This self-learning platform proactively adjusts access permissions and streamlines audit processes, reducing manual oversight and enhancing identity security without administrator intervention.
  • In March 2025, Axonius unveiled Axonius Identities, a unified identity management and security solution designed to streamline IAM program operations. The platform consolidates identity lifecycle management, governance, security posture assessment, and threat detection into a single system, enabling continuous discovery, automated provisioning, compliance workflows, and improved visibility across human and non-human identities.
  • In February 2025, CyberArk Software Ltd. acquired Zilla Security to enhance its identity governance and administration capabilities for modern enterprises. The acquisition is expected to strengthen CyberArk’s ability to deliver unified identity security by integrating Zilla’s cloud-native access management and governance technology, supporting human and machine identities across complex environments.
  • In December 2024, SailPoint Technologies, Inc. partnered with Imprivata to deliver unified identity governance and access management solutions tailored for the healthcare sector. As part of the collaboration, SailPoint will acquire Imprivata’s identity governance assets to enhance secure, compliant access for healthcare professionals across complex IT environments.
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