The quantum cryptography market has been forecast to reach a value of $1 billion by 2018, driven by the need to secure the transmission of sensitive communications.
Protecting current encrypted information against future hacking has been a key driving force behind quantum cryptography. The ongoing experiments and the introduction of commercial products are helping drive demand for quantum cryptography among institutions where the need to secure exchanged data is high.
Quantum cryptography describes the use of quantum mechanical effects (in particular quantum communication and quantum computation) to perform cryptographic tasks or to break cryptographic systems.
Well-known examples of quantum cryptography are the use of quantum communication to securely exchange a key (quantum key distribution) and the hypothetical use of quantum computers that would allow the breaking of various popular public-key encryption and signature schemes (e.g., RSA and ElGamal).
Quantum Key Distribution (QKD) technology remains largely in the first stage of commercialisation, with the technology being offered primarily to governments, military, and research institutes.
The penetration of quantum cryptography technology has been delayed partly due to the global economic recession and uncertainty over the pace of recovery.
Commercialisation efforts have also been affected by the uncertainty over the commercial viability of quantum cryptography technology.
The QKD market is forecast to nevertheless benefit in the coming years, given the availability of certified products, adoption of quantum computers, and technology advancements that help extend its application beyond point-to-point connections to cover global communications.
The market for QKD systems is typified by the presence of players such as Switzerland-based id Quantique and New York-based MagiQ Technologies.
These two companies remain at the forefront of competition with their commercially available technologies. A majority of players in the market have initiated R&D in the field of quantum cryptography, and currently have numerous products in late stage development.
For more information on the quantum cryptography market, see the latest research: Quantum Cryptography Market
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