Quantum Cryptography Market

Quantum Cryptography Market by Component (Solutions, Services), by Security Type (Application Security, Database Security, Network Security), by Organization Size (Small & medium enterprise, and Large enterprise), by End Users (BFSI, Defence, e-Commerce, Government, Healthcare, and Retail), and By Region (North America, Europe, Asia Pacific, Latin America, and Middle East & Africa) - Global Industry Overview, Covid-19 Impact Analysis, Statistical Data, Competitive Analysis, Share, Outlook, and Forecast 20232031.

ICT & Media | June 2023 | Report ID: EMR0081 | Pages: 217

The market for global quantum cryptography was valued at USD 0.54 billion in 2022, and is predicted to increase to around USD 3.75 billion by 2031, with a 41.2% compound annual growth rate (CAGR) between 2023 and 2031.

In quantum cryptography, the principles of quantum mechanics are used to create an unbreakable system for secure communication. It depends on quantum algorithms, quantum key distribution, and other quantum properties to ensure the security of the transmitted data. The encryption and decryption of messages relies on quantum bits (qubits) instead of classical bits (cubits). This form of communication is highly secure and addresses vulnerabilities in classical systems. Its applications are wide-ranging, including banking, military and government communication. The increasing adoption of the Internet of Things (IoT) and cloud computing technologies is also driving the growth of the quantum cryptography market. Additionally, the advancements in quantum computing and the increasing investment in research and development activities to enhance the security infrastructure further fuel the market growth.



Quantum Cryptography Market Report Scope & Segmentation

Report Attribute


Estimated Market Value (2023)

0.54 Bn

Projected Market Value (2031)

3.75 Bn

Base Year


Forecast Years

2023 – 2031

Scope of the Report

Historical and Forecast Trends, Industry Drivers and Constraints, Historical and Forecast Market Analysis by Segment- By Component, By Security Type, By End Users & By Region

Segments Covered

By Component, By Security Type, By End Users & By Region

Forecast Units

Value (USD Billion)

Quantitative Units

Revenue in USD million/billion and CAGR from 2023 to 2031

Regions Covered

North America, Europe, Asia Pacific, Latin America, and Middle East & Africa.

Countries Covered

U.S., Canada, Mexico, U.K., Germany, France, Italy, Spain, China, India, Japan, South Korea, Brazil, Argentina, GCC Countries, and South Africa, among others

Report Coverage

Market growth drivers, restraints, opportunities, Porter’s five forces analysis, PEST analysis, value chain analysis, regulatory landscape, market attractiveness analysis by segments and region, company market share analysis, and COVID-19 impact analysis.

Delivery Format

Delivered as an attached PDF and Excel through email, according to the purchase option.


Market Drivers

The global quantum cryptography market has been increasing due to factors such as the rise in cybersecurity threats and the growing demand for secure communication channels. The market is also anticipated to continue expanding due to the increasing investments in quantum cryptography research and development by private and public organizations. Additionally, the rising trend of digitization and the need to safeguard sensitive data are further expected to drive the growth of the quantum cryptography market. Significant advancements in quantum technology such as the development of reliable quantum key distribution (QKD) systems and quantum random number generators (QRNG). These technological advancements have made quantum cryptography more practical and commercially viable, further fueling market growth. Also organizations and individuals are becoming more educated about the benefits of quantum cryptography as awareness about the vulnerabilities of traditional cryptographic methods increases. This growing awareness is driving the demand for quantum cryptography solutions.


Market Restraints

Quantum cryptography technology is not yet widely available and they frequently require specialized hardware and infrastructure. This technology can be costly to adopt, making them inaccessible to smaller organizations or those with limited budgets. The high entrance cost can be a significant restraint for wider adoption. Also, quantum cryptography systems are complex, requiring specialized knowledge to deploy and manage properly. Integrating these solutions with current IT infrastructure, particularly legacy systems, can be difficult. Compatibility concerns and the necessity for specialized skill sets can hinder the adoption of quantum cryptography solutions.


Segments Analysis:

On the basis of components, the quantum cryptography market has been segmented into solutions and services. However, the services segment seems to dominate the market. This service provider's staff is dedicated to assisting organisations in increasing their efficiency and productivity while maintaining long-term data security.

By security type, the network security segment dominates the quantum cryptography market and is projected to be the fastest-growing segment during the forecast period. The primary objective of network security is to protect network infrastructure, devices, and communications from unauthorized access, data breaches, and malicious activity.

Based on end users, the global quantum cryptography market segmentation includes BFSI, defence, e-commerce, government, healthcare, and retail. Quantum cryptography is widely used by governments and the defence industry. To protect sensitive information, communications, and key infrastructure, they require high levels of security. Quantum cryptography can help improve national security by providing secure communication channels, key distribution, and encryption mechanisms.

Regional Analysis

The North America region is expected to continue leading the global quantum cryptography market. Several leading universities, research institutions, and companies in the region are actively involved in the advancement of quantum technologies, including quantum cryptography. The rise in cyber-attacks in various countries such as Canada and Mexico is one of the key factors driving the market's expansion in this area. Government agencies in the United States is also leading factor to create and standardize quantum-resistant cryptographic algorithms. The region is a leading center for quantum cryptography due to its strong ecosystem of quantum startups and collaborations between academics, industry, and government.


In the upcoming years, the market for quantum cryptography is anticipated to grow at the highest rate in Asia Pacific. This is due to the rising regional demand for secure communications, the increasing regional threat from cyberattacks, and the rising regional investment in quantum computing research and development.


Competitive Landscape:

The global quantum cryptography market is fragmented, with many small and medium-sized businesses competing against a few large companies. The market is characterized by rapid technological innovation and a high level of competition.

Some of the key players in the quantum cryptography market include:

  • Cambridge Quantum Computing
  • Fujitsu
  • IBM
  • ID Quantique
  • MagiQ Technologies
  • NEC Corp.
  • QuantumCTek
  • QuintessenceLabs
  • SeQureNet
  • Toshiba


Recent Development:

  • In Feb 2023, ID Quantique, KCS, and SK Telecom will unveil their latest quantum-enhanced cryptographic chip at MWC23. This advanced technology will provide unparalleled security for connected devices and IoT systems.
  • In April 2023, Using Red Hat open-source technologies, QuSecure collaborated with Red Hat to create improved Post-Quantum Cryptography modernisation and a more quickly deployable crypto-agile cybersecurity solution.
  • In May 2023, SK Telecom created the first heterogeneous quantum cryptography communication network integration technology in the world for quantum cryptography communication networks of diverse manufacturers, mobile operators, and nations to be interconnected and cooperate.


Covid-19 impact analysis

The COVID-19 pandemic has had both positive and negative impacts on the quantum cryptography market. Due to the sharp increase in the number of people working from home and the rapid increase in the volume of online business being conducted, organisations are facing a higher risk of cyberattacks. As a result, the demand for quantum cryptography solutions is rapidly increasing as more organisations seek to protect their data. Global supply chains were disrupted as a result of the pandemic, disrupting the production and distribution of quantum cryptography hardware and components. Manufacturing and logistical facilities were temporarily shut down, causing product availability and deployment to be delayed. These disruptions have hindered market growth and the implementation of quantum cryptography solutions.


Quantum cryptography Market Report Segmentation



By Component 

  • Solutions
  • Services

By Security Type

  • Application Security
  • Database Security
  • Network Security

By Organization Size

  • Small & medium enterprise
  • Large enterprise

By End Users

  • BFSI
  • Defence
  • eCommerce
  • Government
  • Healthcare
  • Retail

By Region

  • North America (USA and Canada)
  • Europe (UK, Germany, France, Italy, Spain, Russia and Rest of Europe)
  • Asia Pacific (Japan, China, India, Australia, Southeast Asia and Rest of Asia Pacific)
  • Latin America (Brazil, Mexico, and Rest of Latin America)
  • Middle East & Africa (South Africa, GCC, and Rest of Middle East & Africa)

Customization Scope

  • Available upon request


  • Available upon request


Key Benefits of the Report

  • This study presents an analytical depiction of the quantum cryptography industry along with current trends and future estimations to determine the imminent investment pockets.
  • The report presents information related to market key drivers, opportunities and challenges along with detailed analysis of the quantum cryptography market share.
  • The current market is quantitatively analyzed to highlight the quantum cryptography market’s growth scenario.
  • Porter's five forces research demonstrates the market power of suppliers and buyers.
  • The report provides a detailed quantum cryptography market analysis based on competitive intensity and how the competition will take shape in the coming years.

Research Methodology

Our research methodology has always been the key differentiating reason which sets us apart in comparison from the competing organizations in the industry. Our organization believes in consistency along with quality and establishing a new level with every new report we generate; our methods are acclaimed and the data/information inside the report is coveted. Our research methodology involves a combination of primary and secondary research methods. Data procurement is one of the most extensive stages in our research process. Our organization helps in assisting the clients to find the opportunities by examining the market across the globe coupled with providing economic statistics for each and every region.  The reports generated and published are based on primary & secondary research. In secondary research, we gather data for global Market through white papers, case studies, blogs, reference customers, news, articles, press releases, white papers, and research studies. We also have our paid data applications which includes hoovers, Bloomberg business week, Avention, and others.

Data Collection

Data collection is the process of gathering, measuring, and analyzing accurate and relevant data from a variety of sources to analyze market and forecast trends. Raw market data is obtained on a broad front. Data is continuously extracted and filtered to ensure only validated and authenticated sources are considered. Data is mined from a varied host of sources including secondary and primary sources.

Primary Research

After the secondary research process, we initiate the primary research phase in which we interact with companies operating within the market space. We interact with related industries to understand the factors that can drive or hamper a market. Exhaustive primary interviews are conducted. Various sources from both the supply and demand sides are interviewed to obtain qualitative and quantitative information for a report which includes suppliers, product providers, domain experts, CEOs, vice presidents, marketing & sales directors, Type & innovation directors, and related key executives from various key companies to ensure a holistic and unbiased picture of the market. 

Secondary Research

A secondary research process is conducted to identify and collect information useful for the extensive, technical, market-oriented, and comprehensive study of the market. Secondary sources include published market studies, competitive information, white papers, analyst reports, government agencies, industry and trade associations, media sources, chambers of commerce, newsletters, trade publications, magazines, Bloomberg BusinessWeek, Factiva, D&B, annual reports, company house documents, investor presentations, articles, journals, blogs, and SEC filings of companies, newspapers, and so on. We have assigned weights to these parameters and quantified their market impacts using the weighted average analysis to derive the expected market growth rate.

Top-Down Approach & Bottom-Up Approach

In the top – down approach, the Global Batteries for Solar Energy Storage Market was further divided into various segments on the basis of the percentage share of each segment. This approach helped in arriving at the market size of each segment globally. The segments market size was further broken down in the regional market size of each segment and sub-segments. The sub-segments were further broken down to country level market. The market size arrived using this approach was then crosschecked with the market size arrived by using bottom-up approach.

In the bottom-up approach, we arrived at the country market size by identifying the revenues and market shares of the key market players. The country market sizes then were added up to arrive at regional market size of the decorated apparel, which eventually added up to arrive at global market size.

This is one of the most reliable methods as the information is directly obtained from the key players in the market and is based on the primary interviews from the key opinion leaders associated with the firms considered in the research. Furthermore, the data obtained from the company sources and the primary respondents was validated through secondary sources including government publications and Bloomberg.

Market Analysis & size Estimation

Post the data mining stage, we gather our findings and analyze them, filtering out relevant insights. These are evaluated across research teams and industry experts. All this data is collected and evaluated by our analysts. The key players in the industry or markets are identified through extensive primary and secondary research. All percentage share splits, and breakdowns have been determined using secondary sources and verified through primary sources. The market size, in terms of value and volume, is determined through primary and secondary research processes, and forecasting models including the time series model, econometric model, judgmental forecasting model, the Delphi method, among Flywheel Energy Storage. Gathered information for market analysis, competitive landscape, growth trends, product development, and pricing trends is fed into the model and analyzed simultaneously.

Quality Checking & Final Review

The analysis done by the research team is further reviewed to check for the accuracy of the data provided to ensure the clients’ requirements. This approach provides essential checks and balances which facilitate the production of quality data. This Type of revision was done in two phases for the authenticity of the data and negligible errors in the report. After quality checking, the report is reviewed to look after the presentation, Type and to recheck if all the requirements of the clients were addressed.

Frequently Asked Questions

The size of the global quantum cryptography market is expected to increase to USD 3.75 billion by 2031 from USD 0.54 billion in 2022.
Global quantum cryptography market rising at a CAGR of 41.2% from 2023 to 2031.
Major players of global quantum cryptography market are: Cambridge Quantum Computing, Fujitsu, IBM, ID Quantique, MagiQ Technologies, NEC Corp., QuantumCTek, QuintessenceLabs, SeQureNet, and Toshiba.
The defence and government sector is expected to grow at the highest CAGR during the forecast period.
The key factor driving the market is growing demand for secure communication channels.

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