Eurosmart: Secure elements market forecasts

TRUSTECH is about trust and security among technology. This keynote exposes the current trends along with describing the goals and the solutions brought to the market by Eurosmart, which is a creator and editor of learning, technical and scientific solutions.

TRUSTECH is about trust and security among technology. This keynote exposes the current trends along with describing the goals and the solutions brought to the market by Eurosmart, which is a creator and editor of learning, technical and scientific solutions.
  

There are three main segments which deliver the volumes of secure elements. These segments are the way of storying critical assets. Eurosmart has taken the last ten years volumes and has a steady growth on critical infrastructures, mainly in those three segments: telecom, financial services and governmental agencies.
   

Today, there’s also the device manufacturer, a new segment because most of the applications are moving on mobiles and critical assets must also be protected. They started in 2013, with the first deployment of biometrics in mobile.
   

The secure elements market has reached the 10 billion units this year and are still seeing a growth superior to 2%. Most of the segments are continuing to grow, based on this long experience. The secure elements deployed by the main segments are strong bases to build the future IoT wave:

  • Telecoms (secure elements with a SIM application): in 2018, 5 billion units had been reached and it’s still growing in machine to machine (IoT), still representing half of the volumes of the secure elements’ shipment.
  • Financial services: they’re growing fast with the high demand for contactless. Almost 30% of the secure elements (about 3 billion) are now used in the secure transaction activities and for banks. We can see some large demands in key countries and new cards requested toward payment.
  • Device manufacturers (devices including an embedded secure element without SIM application): it’s a challenge for Eurosmart because of the big turn taken by the whole industry. It’s moving from a traditional smart card format to the embedding format. It’s expected to register a 10% growth between 2018 and 2019.
  • Governement & healthcare: Border and identity management is a critical segment. There is an important growth in the governmental project, about 6%. The secure elements are still the best choice for smart governments sIDs.

There will be approximatively 25 billion connected devices by 2025. The current trend is that the connectivity is going everywhere with a lot of use cases, and Asia will be leading this path with half of the volumes of it.
  

When you talk about connectivity, the concepts of “vulnerability” and “attacks” pop up. Everyone has already heard about Petya and WannaCry, which had a big impact in the cybersecurity community because of their importance and their consequences on multiple businesses.
   

In order to protect themselves against that kind of threats, states are structuring themselves with legislation for cybersecurity, data protection and privacy purposes. About 60% of the nations are covered by national regulation, 10% are preparing one and near 30% aren’t working on it at all.
   

Europe has always been leading the certification and the security area about technology. Legislation is an opportunity to have a harmonized market for security, with the eiDAS Regulation for identity management, the GDPR or the Cybersecurity Act. Those legislations bring a whole field of work, putting the consumers and the citizens in the centre of businesses’ reflexions.
   

In Europe, Eurosmart is investing on putting some certification schemes for the IoT. We must pay attention that an IoT device is composed by PCPs, developed by small companies and we need to have appropriate certification schemes.
   

Eurosmart is walking on the connectivity board to have a substantial certification framework. This IoT device will be introduced in the machinery, for example a washing machine, which then should go on the safety certification to make sure the product isn’t impacting the health of the user. A great way to protect the consumers!
   

Eurosmart is pleased to be part and contribute with the security community and invites every member of this community to work together finding new ways of improvement across Europe.
   

Speaker: Stefane MOUILLE, Eurosmart