July 24, 2024
Data Governance Market
Ict

The Rise Of Data-Driven Decision Making Anticipated To Open Up New Avenues For Data Governance Market

Market Overview:

Data governance refers to the processes, policies, and frameworks that help organizations manage and protect their data assets. It involves data quality management, data integrity, data security, metadata management, and master data management. With organizations collecting vast amounts of data from various sources, data governance has become crucial to ensure privacy, security, and authorized usage of data. It helps organizations maximize the value of data while mitigating the risks associated with it. Key applications of data governance include regulatory compliance, information management, data warehousing projects, big data analytics, and customer 360-degree views.

Market Dynamics:

Growing importance of data-driven decision-making: With digitization across industries, data has become one of the most crucial corporate assets for organizations. Effective usage of data helps companies gain insights, make informed decisions and gain a competitive advantage. However, for data to be useful it needs to be well-governed and harmonized. This is driving an increased focus on data governance frameworks.

Stringent regulatory landscape: stricter privacy laws such as the EU’s General Data Protection Regulation (GDPR) have increased compliance requirements for organizations regarding the handling of personal data. Non-compliance can result in huge monetary penalties. This is propelling organizations, especially in regulated industries, to adopt robust data governance solutions.

The global Data Governance Market Share is estimated to be valued at US$ 2.5 Mn in 2023 and is expected to exhibit a CAGR of 21 % over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Segment Analysis:

The data governance market is primarily segmented into solutions and services. Among these, the solutions segment dominated in 2022 as organizations around the world have increased their focus on data governance to gain comprehensive control over data usage and security. Tools such as data cataloging and quality, data integration, and visualization are widely adopted as they help organizations standardize their data taxonomy and enhance data quality.

PEST Analysis

Political: Data privacy laws and regulations are becoming more stringent across nations such as the GDPR in Europe and the California Consumer Privacy Act (CCPA) in the US, driving the need for robust data governance solutions. Economic: Organizations are allocating increased budgets for data governance to leverage analytics and AI-driven insights from their data resources for competitive advantage. Social: With growing instances of data breaches and privacy violations, customers and citizens are increasingly wary about organizations’ data practices, propelling the adoption of centralized data governance. Technological: Emerging technologies like cloud computing, AI/ML, and IoT are generating massive volumes of data for organizations. This amplifies the importance of governing such distributed and decentralized data through automated tools.

Key Takeaways

The global data governance market size surpassed US$ 2.5 Bn in 2023 and is expected to witness high growth, exhibiting a CAGR of 21.% over the forecast period, due to increasing regulatory compliances around data privacy and security. North America accounted for the largest market share in 2023 due to stringent laws and the progressive adoption of advanced technologies among organizations in the region. The Asia Pacific region is likely to grow at the fastest rate during the analysis period on account of increasing digitalization in leading economies like China, India, and Japan. Key players operating in the data governance market are Collibra NV, SAP SE, SAS Institute Inc., Symantec Corporation (Norton Lifelock), TIBCO Software Inc., Informatica Inc., Alation Inc., IBM Corporation, Varonis Systems Inc., Alfresco Software Inc., Oracle Corporation, Talend SA and Microsoft Corporation.

Key players such as IBM Corporation offer a Data governance package that offers data catalog, data quality and metadata management capabilities. Collibra NV provides data governance and catalog software that enables organizations to establish trusted information as a strategic asset. SAP SE offers data governance solutions like SAP Information Steward and SAP Master Data Governance that help manage data policies, quality, and security.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it