Application Programming Interface (API) Security Market Size

Application Programming Interface Security Market Size

API Security Market size was valued at USD 1.05 billion in 2023 and is projected to register a CAGR of 29.9% between 2024 and 2032, attributed to a commendable rise in mobile and IoT adoption. According to the Ministry of Information and Broadcasting, as of November 2022, India had over 600 million smartphone users and 1.2 billion mobile phone users. Another report by the Pew Research Center published in April 2021 suggests that 97% of Americans own a cellphone of some kind while 85% of the country's population owns a smartphone.

To get key market trends

  Download Free Sample

The multi-fold growth in mobile devices and Internet of Things (IoT) devices has led to a surge in API usage for communication between these devices and backend services. Ensuring the security of these APIs is vital to prevent unauthorized access and data breaches, fostering the demand for API security solutions and services.

Data protection regulations, such as GDPR, HIPAA, and PCI DSS, require organizations to secure their APIs to ensure the privacy and confidentiality of user data. Compliance with these regulations drives the need for robust API security solutions.

The emergence of specialized API security solutions, including API gateways and API security management platforms, provides organizations with tools to protect APIs from threats and attacks, driving the growth of the API security industry. For instance, in March 2023, Google Cloud launched the API Security Command Center, a cloud-based solution that helps organizations protect their APIs from a variety of threats, including API abuse, data leaks, and unauthorized access.

However, while APIs offer numerous benefits for integration and communication, they can also create a complex ecosystem. Managing security across various APIs, endpoints, and integration points can be challenging, particularly in large organizations with a multitude of interconnected systems. Besides, many organizations and developers might not fully comprehend the security risks associated with APIs or may underestimate the importance of securing them. This lack of awareness can lead to inadequate implementation of security measures and an increased vulnerability to attacks, limiting market growth.