The data classification market was valued at US$ 568.80 million in 2019 and is projected to reach US$ 3,577.49 million by 2027. The Data classification market is expected to grow at a CAGR of 27.6% from 2020 to 2027.
The data classification is a tool that classifies enormous data into varied tabs to maximize most out of it while maintaining the privacy of confidential data. The commercialization of data protection laws such as GDPR and Health Insurance Portability and Accountability Act (HIPAA) is directly linked to impact the scope of data classification worldwide. Growing business data and cloud migrations, ramp up of personal data identification, threat to privacy in email, leverage of machine learning, and converge of data management and data protection are among the factors that play a significant role in accelerating the scope of data classification. The data classification is receiving high momentum across the world. The roll-out of data classification tool to combat situation of cyber threats is paving the path for the market growth. Also, growing emphasis on data protection laws by government authorities in countries such as the UK, the US, Germany, and Singapore is propelling the adoption rate of data classification. Moreover, the integration of sophisticated technologies such as machine learning and artificial intelligence into data classification tools accelerates the output and productivity of entire business. For instance, 40% of US firms use ML to improve their sales and marketing strategies, and the European banks have witnessed increase in product sales by 10% and lower churn rates by 20% with ML.
The data classification market is segmented into component, application, vertical, and geography. Based on component, the solution segment held the largest share of global data classification market. The data classification solution derives security controls applied to the particular set of data. Based on application, the web, mobile, and email protection segment dominated the global data classification market in 2019. With rise in the use of email, mobile, and web application for transferring data among corporates and industries, the data protection and data classification tools have become a necessity. Based on vertical, the BFSI segment contributed a substantial share in 2019 and is projected to continue its dominance during the forecast period. Geographically, the market is segmented into five major regions—North America, Europe, Asia Pacific (APAC), the Middle East and Africa (MEA), and South America (SAM).
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Data Classification Market: Strategic Insights

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Data Classification Market: Strategic Insights

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Data classification Market Insights
Government Mandates in Developed Nations
The US, Germany, the UK, and Singapore are among the countries where the government has regulated IT companies with data encryption and protection laws owing to which tech firms are finding opportunities in these markets to promote their data classification services. The US and UK governments have set up three-tiered data classification schemes for the public sector. Even the Washington government has gone beyond this range and established a five-tiered classification scheme and has been well applauded by the region's open data advocates by creating potential space for the domain's industry vendors. Various financial services companies, such as insurance companies and banks, are the primary users of data classification solutions as they have to deal with large volumes of personally identifiable information (PII) and government data protection regulations.
Component -Based Market Insights
On the basis of component, the data classification market is segmented into solution and services. Titus, Boldon James, Digital Guardian, Spirion, and Netwrix are some prominent players prevailing in the market to cater needs of data protection and data classification. The companies offer complete data classification tool accompanied with range of services to make sure proper performance of the solution.
Application -Based Market Insights
Based on application, the data classification market is segmented into governance, risk and compliance, web, mobile and email protection, and others.
Vertical -Based Market Insights
Based on vertical, the data classification market is segmented into: BFSI, IT and telecom, media and entertainment, retail, education, healthcare, others. Banks and various other financial industry companies use Machine Learning (ML) technology for two essential purposes: identifying valuable data insights and preventing fraud. The insights can identify opportunities to invest or help investors know when to trade.
Players operating in the Data classification market focus on strategies, such as market initiatives, acquisitions, and product launches, to maintain their positions in the data classification market. A few developments by key players of the data classification market are:
In March 2020, Netwrix, allows information security and governance professionals to retrieve control on confidential, regulated and business-critical data. The company introduced Netwrix Data Classification 5.5.2.
In November 2018, Titus, a leader in data protection solutions has introduced Titus Intelligent Protection. The new tool provides machine learning driven by classification to lower risk of data loss.
Data Classification Market Regional Insights
The regional trends and factors influencing the Data Classification Market throughout the forecast period have been thoroughly explained by the analysts at Insight Partners. This section also discusses Data Classification Market segments and geography across North America, Europe, Asia Pacific, Middle East and Africa, and South and Central America.

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Data Classification Market Report Scope
Report Attribute | Details |
---|---|
Market size in 2019 | US$ 568.80 Million |
Market Size by 2027 | US$ 3,577.49 Million |
Global CAGR (2019 - 2027) | 27.6% |
Historical Data | 2017-2018 |
Forecast period | 2020-2027 |
Segments Covered |
By Solution
|
Regions and Countries Covered | North America
|
Market leaders and key company profiles |
Data Classification Market Players Density: Understanding Its Impact on Business Dynamics
The Data Classification Market is growing rapidly, driven by increasing end-user demand due to factors such as evolving consumer preferences, technological advancements, and greater awareness of the product's benefits. As demand rises, businesses are expanding their offerings, innovating to meet consumer needs, and capitalizing on emerging trends, which further fuels market growth.
Market players density refers to the distribution of firms or companies operating within a particular market or industry. It indicates how many competitors (market players) are present in a given market space relative to its size or total market value.
Major Companies operating in the Data Classification Market are:
- BOLDON JAMES
- DATAGUISE
- Google LLC
- Informatica
- Microsoft
Disclaimer: The companies listed above are not ranked in any particular order.

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Data Classification Market – by Solutions
- Solution
- Services
Data Classification Market – by Application
- GRC
- Web
- Mobile
- Email Protection
- Others
Data Classification Market – by Verticals
- BFSI
- IT and Telecom
- Media and Entertainment
- Retail
- Education
- Healthcare
- Others
Data Classification Market – by Geography
North America
- US
- Canada
- Mexico
Europe
- France
- Germany
- Russia
- UK
- Italy
- Rest of Europe
Asia Pacific (APAC)
- China
- India
- Japan
- Australia
- South Korea
- Rest of APAC
MEA
- Saudi Arabia
- UAE
- South Africa
- Rest of MEA
SAM
- Brazil
- Argentina
- Rest of SAM
Data Classification Market – Company Profiles
- Boldon James
- Google LLC
- Microsoft Corporation
- Open Text Corporation
- DATAGUISE
- Informatica
- Netwrix Corporation
- PKWARE, Inc.
- Titus
- Varonis
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The List of Companies - Global Data Classification Market
- BOLDON JAMES
- DATAGUISE
- Google LLC
- Informatica
- Microsoft
- Netwrix Corporation
- Open Text Corporation
- PKWARE, Inc.
- Symantec Corporation
- Titus


