Application Programming Interface (API) Security Market – Trends Forecast Till 2031

Market Snapshot

Market Overview

The global Application Programming Interface (API) Security Market size was estimated at USD 1,230 million in 2024 and is projected to reach USD 9,442.74 million in 2031 at a CAGR of 33.8 % during the forecast period 2025-2031.

The API security market focuses on the protection of Application Programming Interfaces (APIs) from cyber threats and vulnerabilities. As APIs become the backbone of digital communication between software applications and systems, securing them has become paramount to ensure data integrity, confidentiality, and overall system safety. API security solutions include tools and protocols designed to detect, prevent, and mitigate risks like data breaches, denial-of-service attacks, and unauthorized access.

The market spans a wide array of industries such as banking, healthcare, e-commerce, and telecommunications, where APIs are increasingly used to facilitate data sharing and enhance user experiences. As businesses adopt microservices, cloud environments, and hybrid infrastructures, the volume and complexity of APIs have surged, making them prime targets for malicious actors. This has heightened the need for comprehensive API security solutions to protect both internal and external APIs from exploitation.

Current trends in the API security market include the increasing adoption of API gateways, authentication protocols like OAuth, and real-time monitoring tools to enhance threat detection. Machine learning and artificial intelligence are being integrated into API security solutions to provide automated, adaptive defenses against evolving threats. Furthermore, the rise of API management platforms, which include built-in security features, is becoming more prominent, simplifying the implementation of security measures at scale.

Key drivers of the API security market include the rapid expansion of digital transformation initiatives, the increasing use of APIs in mobile apps, and the growing frequency of cyberattacks targeting vulnerabilities in API infrastructures. As businesses become more reliant on APIs for delivering services and connecting systems, the urgency to secure these points of integration is stronger than ever. Regulations around data protection and privacy, such as GDPR and CCPA, also fuel the demand for enhanced API security to comply with legal requirements and avoid potential penalties.

Impacts USA tariff rates on the Application Programming Interface (API) Security Market

​The imposition of the 2025 tariffs by the Trump administration has had a significant impact on the Application Programming Interface (API) Security Market. The heightened costs associated with these tariffs have led to increased operational expenses for companies involved in API security, particularly those reliant on international supply chains for hardware components and software services. This has resulted in a reevaluation of procurement strategies, with many organizations considering reshoring or diversifying their supplier base to mitigate tariff-related risks. For instance, companies like Fortinet and Palo Alto Networks, which have substantial international operations, have experienced stock declines due to the broader economic repercussions of these tariffs . Additionally, the tariffs have introduced uncertainty into the market, affecting investment decisions and potentially delaying the adoption of new API security solutions as businesses await clearer economic conditions.

Delvens Industry Expert's Standpoint

Experts in the Application Programming Interface (API) Security Market highlight several key trends driving growth and innovation. The API security market focuses on protecting Application Programming Interfaces from cyber threats as APIs play a crucial role in enabling communication between software systems. With increasing API usage across industries like banking, healthcare, and e-commerce, the need for robust security solutions has grown to prevent breaches, unauthorized access, and other cyber risks. Trends include the adoption of API gateways, advanced authentication protocols, and AI-driven threat detection tools. Key drivers include digital transformation, the rising volume of APIs, and the need to comply with data protection regulations, making API security essential for businesses to safeguard their systems and data.

Analyst view on the impacts of U.S. tariff rates on the Application Programming Interface (API) Security Market

Looking ahead, the API Security Market is projected to continue its growth trajectory, albeit with a cautious outlook influenced by the ongoing trade tensions. This growth is expected to be driven by the increasing frequency of cyberattacks targeting APIs, the proliferation of cloud services, and the adoption of microservices architectures. However, the market's expansion may be tempered by the need for companies to navigate the complexities introduced by the tariffs, including potential increases in the cost of compliance and the necessity for strategic adjustments in global operations. Organizations are likely to place a greater emphasis on securing their API ecosystems through advanced security measures and by adopting hybrid deployment models to balance cost and performance considerationsv

Market Portfolio

Key Findings

• The API security market is driven by platforms and solutions that provide comprehensive security measures for APIs, ensuring data protection and preventing unauthorized access. These platforms include advanced authentication, encryption, and threat detection tools essential for safeguarding applications and systems. Additionally, API security services are increasingly offered, such as consultancy, managed security services, and support for implementing API security best practices, which help organizations enhance their API defenses and security posture.

• In terms of deployment mode, organizations can choose between on-premises, hybrid, or cloud-based solutions depending on their infrastructure and security requirements. On-premises deployment allows for more control over security measures but requires significant resources and maintenance. Hybrid deployment offers a balance by combining on-premises and cloud solutions, providing flexibility and scalability while maintaining some level of control. Cloud-based deployment is growing rapidly, offering cost-effective, scalable solutions with the ability to monitor and secure APIs across distributed environments.

• For organization size, the API security market caters to both SMEs and large enterprises. SMEs require cost-effective and easy-to-implement solutions that address their specific security needs without the complexity of large-scale implementations. Meanwhile, large enterprises demand robust, customizable security solutions capable of protecting vast API ecosystems, offering high scalability, and meeting compliance requirements across global networks.

• The market is also divided into various regions such as North America, Europe, Asia-Pacific, South America, and Middle East and Africa. North America region is projected to hold the largest market share. Factors such as increasing cyber threats, rising adoption of cloud-based services, growing use of APIs in mobile applications, need for data privacy, regulatory compliance requirements, expansion of digital transformation, and the rise of microservices architecture have triggered the Application Programming Interface (API) Security Market in the region.

Regional Analysis

North America to Dominate the Market

• North America holds the largest share of the global API security market. This dominance is driven by the presence of major technology companies, stringent data protection regulations, and a high rate of digital transformation across industries. The region's robust cybersecurity infrastructure and early adoption of advanced security solutions further bolster its market leadership.

• Asia-Pacific is the fastest-growing region in the API security market. Countries like China, Japan, and India are leading the adoption of API security solutions, driven by rapid digitalization, the proliferation of Internet of Things (IoT) devices, and the expansion of cloud services. The region's diverse technological landscape and increasing cyber threats necessitate robust API security measures.

• Europe's growth is influenced by stringent data protection regulations such as the General Data Protection Regulation (GDPR), which mandate the implementation of robust security measures for APIs. Industries like finance, healthcare, and manufacturing are increasingly adopting API security solutions to comply with regulatory requirements and safeguard sensitive data.

• Latin America is experiencing gradual growth, driven by increasing digital transformation initiatives, the adoption of cloud services, and the need to protect APIs from emerging cyber threats. Countries like Brazil and Mexico are leading the way in adopting API security solutions to enhance their cybersecurity posture.

• The Middle East & Africa region is witnessing steady growth, fueled by infrastructure development, particularly in the telecommunications and energy sectors. Countries like the United Arab Emirates and Saudi Arabia are investing heavily in smart city initiatives and industrial automation, creating demand for precise API security solutions.

Competitive Landscape

• Google (Apigee)
• Salt Security
• Noname
• Akamai
• Data Theorem
• Axway
• Imperva
• Traceable
• Palo Alto Networks
• Fortinet

Recent Developments

• In June 2022, Google (Apigee) (US) unveiled Apigee Advanced API Security, a comprehensive solution aimed at helping customers address their growing API security needs. Built on Google’s Apigee API management platform, this suite of advanced API security features enhances an organization’s ability to detect and mitigate security threats within APIs.

• In July 2022, Salt Security (US) introduced major updates to its API Protection Platform, boosting threat detection and pre-production API testing capabilities. The enhancements provide deeper insights into attacker behavior, visual representations of API call sequences, and the ability to simulate attacks before APIs are deployed. These new features give organizations better visibility into API usage, accelerate incident response, and improve overall business intelligence.

• In April 2023, Noname (US) formed a strategic partnership with MindPoint Group, a well-established cybersecurity consulting firm. Together, they developed an advanced API security platform in a secure OVA deployment format. This collaboration offers customers a faster, simpler way to secure their API inventory, ensuring that the platform is inherently protected.

Reasons to Acquire

• Increase your understanding of the market for identifying the most suitable strategies and decisions based on sales or revenue fluctuations in terms of volume and value, distribution chain analysis, market trends, and factors.
• Gain authentic and granular data access for the Application Programming Interface (API) Security Market to understand the trends and the factors involved in changing market situations.
• Qualitative and quantitative data utilization to discover arrays of future growth from the market trends of leaders to market visionaries and then recognize the significant areas to compete in the future.
• In-depth analysis of the changing trends of the market by visualizing the historic and forecast year growth patterns.

Report Scope