File Integrity Monitoring Market Size, Share, and Growth Forecast from 2024 - 2031

File Integrity Monitoring Market by Component (Software, Services), Deployment (Cloud, On-premise), End Use (BFSI, Healthcare, Telecom and IT, Retail, Manufacturing), and Regional Analysis from 2024 to 2031

Industry: IT and Telecommunication

Published Date: November-2024

Format: PPT*, PDF, EXCEL

Delivery Timelines: Contact Sales

Number of Pages: 191

Report ID: PMRREP34914

Report Price

$ 4900*

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File Integrity Monitoring Market Size and Share Analysis

The global file integrity monitoring market is predicted to reach a value of US$ 1 Bn by 2024. It is anticipated to surge at a CAGR of 11.4% throughout the forecast period to reach a value of US$ 2.1 Bn by 2031.

File integrity monitoring (FIM) allows companies to check and test Operating System (OS), application software files and database. It helps to determine if they have been corrupted or tampered with in a secure way. It is a prominent part of technology and other cybersecurity processes as it can report changes to important files as well as analyze and scan them.

The internal process gives organizations a unified security posture and real time change detection engine. Favorable government regulations, including the Federal Information Security Act (FISA) along with payment card data security standards are estimated to further drive demand for these processes.

Key Highlights of the Market

  • Rising cases of data breaches and cyber threats are likely to increase the adoption of file integrity monitoring processes.
  • FIM solutions offer a robust mechanism to identify and prevent mishappenings, thereby protecting essential assets of organizations.
  • As businesses rely on digital data, they are focused on safeguarding sensitive information from unauthorized access, thereby bolstering demand for FIM processes.
  • Based on component, the services category is predicted to witness a healthy CAGR of 16.8% through 2031 as companies face stringent regulatory mandates.
  • In terms of deployment, the cloud segment is anticipated to hold a share of 58% in 2024 due to the significant increase in cloud computing across the globe.
  • In North America, the U.S. is predicted to account for 37% market share in 2024 as the country has undergone several high-profile breaches.
  • India is estimated to emerge as the leading country in Asia Pacific accumulating 35% of the market share in 2024 as the government is planning on enhancing its digital infrastructure.

Market Attributes

Key Insights

File Integrity Monitoring Market Size (2024E)

US$ 1 Bn

Projected Market Value (2031F)

US$ 2.1 Bn

Global Market Growth Rate (CAGR 2024 to 2031)

11.4%

Historical Market Growth Rate (CAGR 2019 to 2023)

10.2%

U.S. File Integrity Monitoring Market Leads as Demand Rises from Defense Sector

The U.S. market for open-source file integrity monitoring tools is estimated accumulate 37% of market share in 2024. The country has been a primary target for cyberattacks. High profile breaches like the SolarWinds hack and the substantial increase in ransomware attacks against critical infrastructure have highly underscored the vulnerability of sensitive systems.

U.S.-based companies are experiencing increased scrutiny owing to the implementation of stringent regulatory requirements around cybersecurity and data privacy. Laws like the Gramm-Leach-Bliley Act (GLBA) and the Health Insurance Portability and Accountability Act (HIPAA) place strict norms on companies to ensure integrity of sensitive data and systems.

The Federal Information Security Modernization Act (FISMA) and Cybersecurity Maturity Model Certification (CMMC) also require government contractors and agencies to demonstrate robust file integrity controls. Sectors like technology and defense are particularly vulnerable to insider threats in the country. In these sectors, employees or contractors may unintentionally alter system files or advertently manipulate sensitive information. It can result in organizations turning to FIM solutions to monitor file integrity and protect intellectual property.

India Witnesses High Demand as Adoption of Digital Solutions Skyrockets

India is estimated to dominate Asia Pacific data integrity monitoring industry. This country is estimated to account for 35% market share in 2024. The country is undergoing a digital transformation with the increasing adoption of cloud technologies, rising popularity of e-commerce, integration of IoT, and the emergence of fintech platforms.

India is also the fastest growing digital economy and is hence experiencing a surge in the number of connected devices, online services, and applications that generate critical files. These often require monitoring for integrity.

The Government of India, for instance, has rolled out its Digital India Initiative. It aims to enhance the digital infrastructure of the country and promote digital services across sectors, thereby propelling businesses to adopt new technologies. As local companies digitize operations and store sensitive data in the cloud, the need for solutions like FIM exponentially increases.

Organizations Demand Services to Eliminate Risks and Save Confidential Data

Category

CAGR through 2031

Component- Services

16.8%

By component, the service segment is estimated to emerge dominant with a CAGR of 16.8% during the forecast period. As organizations face an increase in security threats and regulatory compliance mandates, they are set to turn to service providers for guidance on the implementation and continuous management of file integrity checking software solutions.

Services often include consultation, deployment, integration, and support. These help equip organizations with the expertise required to safeguard their crucial data, mitigate risks, and cater to industry standards for compliance. Increasing complexity of FIM technologies and the requirement for ongoing updates and maintenance propel the need for specialized services, resulting in substantial growth.

Cloud Deployment Dominates as Firms Seek Pre-configured Solutions

Category

Market Share in 2024

Deployment- Cloud

58%

In terms of deployment, the cloud segment is estimated to showcase a value share of 58% in 2024. Increasing adoption of cloud services and cloud-based computing are fueling demand for cloud-based file integrity monitoring software.

Cloud-based solutions are popular among companies as they are easy to install and require minimal maintenance. Cloud providers often offer pre-configured FIM solutions that have built-in best practices. These assist in simplifying deployment and reducing the risk of human error.

Market Introduction and Trend Analysis

Rising integration of Artificial Intelligence (AI), Machine Learning (ML), and multi-factor authentication along with FIM technologies is predicted to propel file integrity monitoring market growth. Surging number of regulations like Payment Card Industry Data Security Standard (OCI DSS), General Data Protection Regulation (GDPR), and Health Insurance Portability and Accountability Act (HIPAA) are mainly focusing on responsibility and data security.

Developing countries like India and China are also imposing stringent regulations regarding data security, thereby accelerating the adoption of FIM solutions across several sectors. Integration with AI and ML is likely to drive efficient monitoring, decreased false positives, and anomaly detection. Integration of FIM with broader Security Information and Event Management (SIEM) solutions are estimated to increase their utility and scope.

Historical Growth and Course Ahead

The global file integrity monitoring industry showcased a CAGR of 10.2% in the historical period from 2019 to 2023. The period witnessed a favorable growth trajectory as most of the businesses were working remotely during the COVID-19 pandemic.

The pandemic period experienced a significant rise in cyber threats and breaches across the globe as the world went online with all activities being carried out through the web. Several governments and national authorities provided guidance to critical infrastructure providers on ways to protect themselves from cyberattacks.

Manufacturers in the industry started innovating and integrating FIM solutions to help businesses in achieving secure hybrid and remote work environments. For instance,

  • In December 2022, California-based Qualys, launched novel security and compliance features for Oracle Cloud Infrastructure (OCI). The company’s security platform was then integrated into OCI through Vulnerability Scanning Service (VSS). Through this, Qualys helped companies in securing hybrid IT environments.

Market Growth Drivers

Rising Adoption of Cloud and Virtualization Technologies to Fuel Growth

There has been an increasing demand for FIM solutions owing to the rapid growth of cloud computing and virtualization technologies. Organizations across the globe are adopting virtual and cloud-based environments. This raises the need to have effective mechanisms like FIM in order to confirm the integrity and safety of data and documents that are being developed in the process. File monitoring mechanisms can identify inappropriate use of files along with waste to delete, and then correct them.

Increasing Complexity of Cyber Threats to Accelerate Demand

The cyber threat landscape is constantly evolving and becoming more complex with innovations in new technologies. Advanced Persistent Threats (APTs) and zero-day vulnerabilities are posing substantial risks to organizations as they can easily bypass conventional security measures and compromise sensitive data.

FIM processes provide an extra layer of defense by detecting unauthorized file changes and altering business to potential threats. These further allow them to quickly respond and mitigate the impact of cyberattacks.

Market Restraining Factors

Alert Fatigues and False Positives of FIM Solutions to Impede Demand

FIM solutions incorporate real-time alerting capabilities which often lead to the generation of false positives. Alert fatigues and false positives usually occur when the solution mistakenly identifies legitimate changes to files as security threats. These then create unintended noise, thereby distracting users from alert triaging and identification of true positives, thereby leading to alert fatigues. This is especially frustrating for IT teams, leading to wasted time and resources in investigating non-existent avenues.

Market Growth Opportunities

Rising Adoption of Connected Devices Globally to Create New Opportunities

The emergence of Internet of Things (IoT) is enabling physical objects to connect to the Internet and communicate through a predetermined network. A surge in the number of connected devices is accelerating the adoption of FIM solutions. This is because it creates a broad attack surface and generates a high number of critical data that requires protection. As IoT devices become universal, securing file integrity on these devices becomes a prominent challenge.

According to IoT Analytics’ ‘State of IoT Summer 2024’ report, the number of IoT devices is estimated to rise by 13% to 18.8 billion by the end of 2024. As more devices generate files that are important for operations, the need for FIM processes to track changes increases, thereby detecting unauthorized changes and ensuring the integrity of the data. These solutions also assist in addressing the complexity by constantly auditing and verifying that vital files across these devices remain unmodified.

Businesses with a Multitude of Assets to Increasingly Adopt FIM Solutions

File integrity monitoring solutions that have robust built-in asset inventory are highly essential for organizations with a vast array of assets. This is because it enables companies to organize and accommodate these critical assets in the network.

Solutions integrated with advanced built-in asset inventory help in identifying and prioritizing assets that require constant monitoring. This saves time and energy on monitoring files that come under non-critical assets as they can generate excessive logs and create unwanted noise.

Competitive Landscape for the File Integrity Monitoring Market

The global file integrity monitoring market is highly fragmented as several small and medium-sized players are competing for significant shares. The market is estimated to consolidate over the evaluation period as large-scale companies acquire smaller ones to diversify their product portfolios. Prominent businesses in the industry are focusing on increasing their footprint by concentrating on product diversification and development.

Leading players are constantly evolving their strategies to gain a competitive edge in the industry. They are progressively investing in research and development activities to create innovative solutions to meet the changing requirements of customers. Key players are also working toward offering their customers comprehensive solutions that are tailored to their requirements.

Recent Industry Developments in File Integrity Monitoring Market

  • In September 2024, Washington-based Microsoft released a new FIM tool that is integrated with Defender for Endpoint. This updated version provides enhanced real-time monitoring for critical file paths and system files.
  • In April 2024, Trellix, based in California, announced the launch of an AI-powered zero-trust solution for enhanced cybersecurity. It provides native monitoring, protection, and threat detection.
  • In August 2023, LogRhythm, headquartered in Colorado, integrated its Security Information and Event Management (SIEM) platform with Cimcor CimTrak File Integrity Monitoring solution. This collaboration has enabled users to systematically monitor the integrity of several assets
  • In August 2023, ATandT, based in Texas, launched a managed FIM service to assist organizations in detecting and responding to file integrity violations.
  • In February 2023, Tokyo-based Trend Micro Corporation collaborated with LogRhythm to assist the security team to speed up threat detection and response.

File Integrity Monitoring Market Report Scope

Attributes

Details

Forecast Period

2024 to 2031

Historical Data Available for

2019 to 2023

Market Analysis

US$ Billion for Value

Key Regions Covered

  • North America
  • Europe
  • East Asia
  • South Asia and Oceania
  • The Middle East and Africa
  • Latin America

Key Market Segments Covered

  • Component
  • Deployment
  • End Use
  • Region

Key Companies Profiled in the Report

Report Coverage

  • Market Forecast and Trends
  • Company Share Analysis
  • Competitive Intelligence
  • DROT Analysis
  • Market Dynamics and Challenges
  • Strategic Growth Initiatives  

Customization and Pricing

Available upon request

File Integrity Monitoring Market Segmentation

By Component

  • Software
  • Services

By Deployment

  • Cloud
  • On-premise

By End Use

  • BFSI
  • Healthcare
  • Telecom and IT
  • Retail
  • Manufacturing
  • Others

By Region

  • North America
  • Europe
  • East Asia
  • South Asia and Oceania
  • Latin America
  • The Middle East and Africa

To know more about delivery timeline for this report Contact Sales

Companies Covered in This Report

  • AlienVault, Inc.
  • Trend Micro Incorporated
  • TrustWave Holdings, Inc.
  • ATandT Intellectual Property
  • Ionx Solutions LLP
  • Splunk Inc.
  • Cimcor, Inc.
  • LogRhythm, Inc.

Frequently Asked Questions

The market is set to reach US$ 2.1 Bn by 2031.

It examines the integrity of sensitive files, folders, and registry keys in the host operating systems and checks if files have been modified or compromised.

It provides an important layer of protection for sensitive files, applications, data, and devices.

It involves calculating a known cryptographic checksum of the file's original baseline.

It can be maintained with regular auditing and reporting.

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