These days, enterprises are welcoming identity access management and Cloud technologies with open arms. With these technologies, businesses have moved beyond traditional methods of access management and shifted most of their components to the Cloud. Identity-as-a-service, or IDaaS, is a Cloud-based authentication service that offers businesses optimal solutions for digital identity management.
Trends and statistics that explain all the buzz around it include:
- The global market value for IDaaS was valued at USD 3.34 billion in 2019 and is predicted to grow at a rate of 22.0% from 2020 to 2027.
- The market is fairly fragmented with major businesses accounting for the majority of market revenue.
- Based on the deployment, the hybrid cloud segment is expected to register a CAGR of 22.1%.
- North America is one of the most dominant markets and accounted for more than 39% of the global share in 2019.
This is a Cloud-based model for identity access management that is managed and hosted by a third party rather than being deployed on premises. This also referred to as Cloud-based identity governance, is an application delivery model, similar to Software-as-a-Service, that connects Identity Access Management (IAM) accounts to the Cloud. The shift to IDaaS began several years ago and was considered a ‘Cloud first’ IT adoption strategy.
This combines the benefits of an enterprise IAM solution with the business and economical advantages of a Cloud-based system. That includes various services, the most common of them being Single Sign-On (SSO), Multi-Factor Authentication (MFA), and directory services that provide cost-effective IAM benefits to organizations.
4 Key Components of Identity-as-a-Service Solution
These has four major components:
- Single Sign-On (SSO): SSO allows users to log into multiple applications with a single set of credentials. SSO solutions restrict identity theft by reducing password fatigue and streamlining access and simplifies operations within an organization by centralizing and unifying administrative functions.
- Multi-Factor Authentication (MFA): MFA commonly includes adaptive authentication methods options to ratchet up as risk grows based on situational changes, user behavior, or application sensitivity. Adaptive authentication methods are supported by modern Multi Factor Authentication systems, which employ contextual information (such as location, time of day, IP address, device kind) and business rules to determine which authentication factors to apply to a specific user in a specific situation.
- Provisioning: User identity can be integrated or “provisioned” across multiple systems and applications within an enterprise using the System for Cross-Domain Identity Management (SCIM). When the user leaves the company, their access is immediately revoked.
- Biometrics: Biometrics, or physical characteristics such as fingerprints and irises, are often deployed as an important part of MFA. Fingerprints are the most common form of biometrics used in this.
Benefits of IDaaS
There are multiple added benefits:
- As a Cloud-based service, it’s both cost-effective and time-saving, while also saving the expense of having to buy a separate software for identity management.
- Reduces overhead costs for maintenance since it includes real-time system fixes, performance improvements, and updates to customers.
- The provides efficient security when accessing any network or resources.
- By utilizing the intelligence and automation capabilities of this systems, businesses can easily and efficiently manage compliance, risk, and governance.
Picking the Perfect IDaaS Provider
Before choosing an provider for your business, consider the following factors:
- Identity Proofing: The provider should effectively verify and authenticate users before providing them access to resources.
- Scalability: The service should be scalable to meet your changing demands.
- Adaptability: The provider must be open to future modifications.
This leads to overall improved security and cost-efficiency of an organization. It protects small and enterprise-level companies against data theft and misuse of information. As the services that these companies offer level up, also continuing to evolve and develop innovative updates.