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    Risk Analytics Market

    ID: MRFR/ICT/2285-HCR
    100 Pages
    Ankit Gupta
    October 2025

    Risk Analytics Market Research Report: Information By Component (Software and Service), By Deployment (Cloud and On-Premise), and By Vertical (BFSI, Healthcare, Transportation, Manufacturing, Retail, and Government) And By Region (North America, Europe, Asia-Pacific, And Rest Of The World) –Market Forecast Till 2035.

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    Risk Analytics Market Infographic
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    Risk Analytics Market Summary

    As per MRFR analysis, the Risk Analytics Market was estimated at 22.95 USD Billion in 2024. The Risk Analytics industry is projected to grow from 26.24 USD Billion in 2025 to 100.34 USD Billion by 2035, exhibiting a compound annual growth rate (CAGR) of 14.35 during the forecast period 2025 - 2035.

    Key Market Trends & Highlights

    The Risk Analytics Market is experiencing robust growth driven by technological advancements and increasing regulatory demands.

    • The integration of advanced technologies is reshaping the Risk Analytics Market, enhancing data processing capabilities.
    • North America remains the largest market, while Asia-Pacific is emerging as the fastest-growing region in this sector.
    • Software solutions dominate the market, whereas service offerings are witnessing the most rapid growth.
    • Increasing cybersecurity threats and regulatory compliance requirements are key drivers propelling market expansion.

    Market Size & Forecast

    2024 Market Size 22.95 (USD Billion)
    2035 Market Size 100.34 (USD Billion)
    CAGR (2025 - 2035) 14.35%

    Major Players

    SAS Institute (US), IBM (US), Oracle (US), SAP (DE), FICO (US), RiskMetrics Group (US), Moody's Analytics (US), Palantir Technologies (US), Aon (GB), Verisk Analytics (US)

    Risk Analytics Market Trends

    The Risk Analytics Market is currently experiencing a transformative phase, driven by the increasing complexity of risks faced by organizations across various sectors. As businesses navigate a landscape characterized by rapid technological advancements and evolving regulatory frameworks, the demand for sophisticated risk management solutions appears to be on the rise. Companies are increasingly recognizing the necessity of integrating risk analytics into their strategic decision-making processes. This integration not only enhances operational efficiency but also fosters a proactive approach to risk mitigation. Furthermore, the growing emphasis on data-driven insights is likely to propel the adoption of advanced analytics tools, enabling organizations to identify potential threats and opportunities more effectively. In addition, the Risk Analytics Market seems to be influenced by the heightened focus on compliance and governance. Organizations are compelled to adhere to stringent regulations, which necessitates robust risk assessment frameworks. This trend indicates a shift towards more comprehensive risk management strategies that encompass not only financial risks but also operational, reputational, and cybersecurity risks. As a result, the market is poised for continued growth, with stakeholders increasingly investing in innovative solutions that offer real-time risk assessment capabilities and predictive analytics. The future landscape of the Risk Analytics Market may be shaped by advancements in artificial intelligence and machine learning, further enhancing the ability to analyze complex data sets and derive actionable insights.

    Integration of Advanced Technologies

    The Risk Analytics Market is witnessing a notable trend towards the integration of advanced technologies such as artificial intelligence and machine learning. These innovations enable organizations to process vast amounts of data, facilitating more accurate risk assessments and predictive modeling. As a result, businesses are better equipped to anticipate potential risks and respond proactively.

    Focus on Regulatory Compliance

    There is an increasing emphasis on regulatory compliance within the Risk Analytics Market. Organizations are recognizing the importance of adhering to evolving regulations, which drives the demand for comprehensive risk management solutions. This trend highlights the necessity for businesses to implement robust frameworks that ensure compliance while effectively managing various risk factors.

    Shift Towards Real-Time Analytics

    The market is experiencing a shift towards real-time analytics, allowing organizations to monitor risks as they arise. This trend reflects a growing need for timely insights that can inform decision-making processes. By leveraging real-time data, businesses can enhance their risk management strategies and improve overall resilience.

    The increasing complexity of global financial systems and regulatory frameworks appears to drive a heightened demand for sophisticated risk analytics solutions across various sectors.

    U.S. Securities and Exchange Commission (SEC)

    Risk Analytics Market Drivers

    Increasing Cybersecurity Threats

    The rise in cybersecurity threats has become a pivotal driver for the Risk Analytics Market. Organizations are increasingly recognizing the necessity of robust risk management frameworks to safeguard sensitive data and maintain operational integrity. According to recent data, cybercrime is projected to cost businesses over 10 trillion dollars annually by 2025. This alarming statistic underscores the urgency for companies to invest in risk analytics solutions that can identify vulnerabilities and mitigate potential breaches. As a result, the demand for advanced risk analytics tools is likely to surge, compelling organizations to adopt comprehensive strategies that encompass threat detection, incident response, and compliance management. The Risk Analytics Market is thus positioned to experience substantial growth as businesses prioritize cybersecurity measures to protect their assets and reputation.

    Regulatory Compliance Requirements

    The evolving landscape of regulatory compliance is a significant driver for the Risk Analytics Market. Organizations across various sectors are facing increasing scrutiny from regulatory bodies, necessitating the implementation of effective risk management practices. Compliance with regulations such as GDPR, HIPAA, and others has become paramount, as non-compliance can lead to severe penalties and reputational damage. The Risk Analytics Market is witnessing a surge in demand for solutions that facilitate compliance monitoring and reporting. Recent estimates suggest that the compliance software market is expected to reach 12 billion dollars by 2026, indicating a growing recognition of the importance of risk analytics in meeting regulatory requirements. Consequently, organizations are investing in risk analytics tools to ensure adherence to regulations while simultaneously enhancing their overall risk management capabilities.

    Rising Demand for Operational Resilience

    The increasing focus on operational resilience is emerging as a key driver for the Risk Analytics Market. Organizations are recognizing the need to not only manage risks but also to ensure continuity in the face of disruptions. This shift towards resilience involves the implementation of comprehensive risk management strategies that encompass risk identification, assessment, and response planning. Recent reports suggest that companies investing in operational resilience are likely to see a 30 percent reduction in downtime during crises. This statistic highlights the tangible benefits of adopting risk analytics solutions that enhance resilience. As businesses strive to navigate uncertainties and maintain operational stability, the Risk Analytics Market is expected to witness significant growth, driven by the demand for tools that support resilience-building initiatives.

    Growing Importance of Data-Driven Decision Making

    The emphasis on data-driven decision making is a crucial driver for the Risk Analytics Market. Organizations are increasingly recognizing that leveraging data analytics can lead to more informed and strategic decisions regarding risk management. The ability to analyze historical data and real-time information allows businesses to identify trends, assess potential risks, and allocate resources more effectively. Recent surveys indicate that over 70 percent of executives believe that data analytics is essential for their organizations' success. This growing recognition is propelling investments in risk analytics solutions that provide actionable insights. As a result, the Risk Analytics Market is poised for growth, as organizations prioritize data-driven approaches to enhance their risk management frameworks and improve overall performance.

    Adoption of Artificial Intelligence and Machine Learning

    The integration of artificial intelligence (AI) and machine learning (ML) technologies is transforming the Risk Analytics Market. These advanced technologies enable organizations to analyze vast amounts of data rapidly, uncovering patterns and insights that were previously unattainable. The ability to predict potential risks and automate decision-making processes is becoming increasingly valuable. Recent studies indicate that the AI in the risk management market is projected to grow at a compound annual growth rate of 23 percent through 2027. This growth reflects the increasing reliance on AI and ML to enhance risk assessment and mitigation strategies. As organizations seek to leverage these technologies, the Risk Analytics Market is likely to expand, driven by the demand for innovative solutions that improve risk management efficiency and effectiveness.

    Market Segment Insights

    By Component: Software (Largest) vs. Service (Fastest-Growing)

    In the Risk Analytics Market, the component segment showcases a notable distribution between software and services. Software holds the largest share, dominating the landscape with its comprehensive capabilities in data analytics and risk assessment. On the other hand, service offerings are rapidly gaining traction, responding to the increasing demand for customized solutions and expert guidance. This dichotomy is driving competition and innovation within the sector, as organizations look for effective ways to optimize their risk management strategies. Growth trends indicate that while software remains a staple in the market due to its established presence and reliability, service sectors are emerging as the fastest-growing component, fueled by the need for adaptability and personalized support. Factors such as digital transformation, regulatory pressures, and the evolving nature of risks are encouraging organizations to seek out specialized services that can enhance their risk management frameworks. As a result, the Risk Analytics Market is witnessing a paradigm shift towards a more integrated approach, blending software tools with tailored services to meet complex client needs.

    Software: Dominant vs. Service: Emerging

    The software segment of the Risk Analytics Market is characterized by its extensive range of functionalities, including predictive analytics, reporting tools, and compliance management systems. These solutions are designed to provide organizations with robust insights into potential risks, enabling proactive decision-making. Conversely, the service segment, although emerging, plays a crucial role in this market landscape. Service providers offer consultancy, implementation, and ongoing support, catering to businesses' unique challenges. This flexibility and customer-centric approach have made services increasingly appealing, allowing firms to leverage advanced analytics effectively without the need for substantial in-house expertise. Together, these segments complement each other, contributing to a holistic risk management strategy that leverages both technology and human insight.

    By Deployment: Cloud (Largest) vs. On-Premise (Fastest-Growing)

    In the Risk Analytics Market, the deployment segment is primarily dominated by cloud solutions, which have gained substantial market share due to their scalability and flexibility. This segment has appealed to organizations looking for cost-effective solutions that can be deployed quickly without extensive infrastructure investment. On-Premise solutions, while historically significant, have seen a decline in market share as businesses shift towards cloud options that provide greater data accessibility and real-time risk assessment capabilities.

    Deployment: Cloud (Dominant) vs. On-Premise (Emerging)

    The Cloud deployment model remains the dominant force within the Risk Analytics Market, primarily due to its ability to provide organizations with a scalable and flexible platform. This model enables businesses to access advanced analytics tools without the burden of maintaining extensive on-site infrastructure. Conversely, the On-Premise deployment option is emerging as companies with stringent regulatory requirements seek to keep sensitive data within their local environments. While On-Premise solutions offer greater control over data security and compliance, their growth is driven by specific industry demands, contrasting with the broader adoption trends favoring Cloud solutions.

    By Vertical: BFSI (Largest) vs. Healthcare (Fastest-Growing)

    The Risk Analytics Market shows a significant distribution of market share across various sectors, with the BFSI sector holding the largest share. This dominance is largely attributed to stringent regulatory requirements and the complex risk landscape in finance, necessitating advanced analytics solutions. In contrast, the healthcare sector is emerging as a rapidly growing segment, driven by the need for compliance and improved patient outcomes, leading to a surge in demand for risk management solutions.

    BFSI (Dominant) vs. Healthcare (Emerging)

    The BFSI sector plays a critical role in the Risk Analytics Market, leveraging sophisticated analytics to mitigate financial risks and ensure compliance with regulations. Banks and financial institutions are investing heavily in robust risk management systems to safeguard their assets and enhance decision-making processes. On the other hand, the healthcare sector is witnessing a rise in the adoption of risk analytics due to increasing concerns over data privacy, regulatory compliance, and patient safety. Healthcare providers are integrating advanced analytics to identify potential risks, optimize patient care, and streamline operations, marking it as an emerging player with substantial growth potential.

    Get more detailed insights about Risk Analytics Market

    Regional Insights

    North America : Market Leader in Risk Analytics

    North America is the largest market for risk analytics, driven by advanced technology adoption, regulatory compliance, and a strong financial sector. The region holds approximately 45% of the global market share, with the United States being the primary contributor. The demand for risk management solutions is further fueled by increasing cyber threats and the need for data-driven decision-making. Key players such as SAS Institute, IBM, and Oracle dominate the competitive landscape, leveraging innovative technologies to enhance their offerings. The presence of major financial institutions and a robust regulatory framework supports the growth of risk analytics solutions. As organizations increasingly prioritize risk management, North America is expected to maintain its leadership position in the market.

    Europe : Emerging Regulatory Frameworks

    Europe is witnessing significant growth in the risk analytics market, primarily driven by stringent regulatory requirements and a focus on data protection. The region accounts for approximately 30% of the global market share, with Germany and the UK being the largest contributors. The implementation of regulations such as GDPR has heightened the demand for risk analytics solutions to ensure compliance and mitigate risks associated with data handling. Leading countries like Germany, the UK, and France are home to key players such as SAP and Aon, who are innovating to meet the evolving needs of businesses. The competitive landscape is characterized by a mix of established firms and emerging startups, all striving to provide comprehensive risk management solutions. As organizations adapt to regulatory changes, the demand for advanced analytics tools is expected to rise significantly.

    Asia-Pacific : Rapidly Growing Market Potential

    Asia-Pacific is rapidly emerging as a significant player in the risk analytics market, driven by increasing digitalization and economic growth. The region holds approximately 20% of the global market share, with China and India leading the charge. The growing awareness of risk management practices among businesses, coupled with government initiatives to enhance financial stability, is propelling market growth in this region. Countries like China, India, and Japan are witnessing a surge in demand for risk analytics solutions, with key players such as IBM and Oracle expanding their presence. The competitive landscape is evolving, with local firms also entering the market, offering tailored solutions to meet regional needs. As businesses increasingly recognize the value of data-driven insights, the risk analytics market in Asia-Pacific is poised for substantial growth.

    Middle East and Africa : Untapped Market Opportunities

    The Middle East and Africa region is gradually recognizing the importance of risk analytics, driven by economic diversification and the need for enhanced risk management practices. This region currently holds about 5% of the global market share, with countries like South Africa and the UAE leading the way. The increasing complexity of financial transactions and regulatory requirements is pushing organizations to adopt risk analytics solutions to safeguard their operations. In South Africa and the UAE, key players are beginning to establish a foothold, with firms like Verisk Analytics and local startups emerging to cater to the growing demand. The competitive landscape is still developing, but there is a clear trend towards investing in technology to improve risk assessment and management capabilities. As awareness grows, the market is expected to expand significantly in the coming years.

    Key Players and Competitive Insights

    The Risk Analytics Market is currently characterized by a dynamic competitive landscape, driven by the increasing need for organizations to manage risks effectively in an ever-evolving global environment. Key players such as SAS Institute (US), IBM (US), and Oracle (US) are at the forefront, leveraging their technological prowess to enhance their offerings. SAS Institute (US) focuses on advanced analytics and machine learning capabilities, positioning itself as a leader in predictive risk management. Meanwhile, IBM (US) emphasizes its cloud-based solutions, integrating AI to provide real-time risk assessments. Oracle (US) is also enhancing its risk analytics portfolio through strategic partnerships, thereby expanding its market reach and operational capabilities. Collectively, these strategies foster a competitive environment that prioritizes innovation and technological advancement.

    In terms of business tactics, companies are increasingly localizing their operations to better serve regional markets, optimizing supply chains to enhance efficiency. The Risk Analytics Market appears moderately fragmented, with a mix of established players and emerging startups. The collective influence of these key players shapes the market structure, as they engage in strategic collaborations and acquisitions to bolster their market positions.

    In August 2025, SAS Institute (US) announced a partnership with a leading financial institution to develop a new risk assessment tool that utilizes AI and machine learning. This collaboration is significant as it not only enhances SAS's product offerings but also demonstrates its commitment to integrating cutting-edge technology into risk management solutions. Such partnerships are likely to strengthen SAS's competitive edge in the market.

    In September 2025, IBM (US) launched a new cloud-based risk analytics platform designed to provide businesses with real-time insights into potential risks. This strategic move underscores IBM's focus on digital transformation and its intent to lead in the cloud computing space. By offering a platform that integrates AI and machine learning, IBM positions itself as a key player in delivering innovative risk management solutions.

    In July 2025, Oracle (US) acquired a startup specializing in cybersecurity risk analytics, enhancing its capabilities in this critical area. This acquisition reflects Oracle's strategy to expand its risk analytics portfolio and address the growing demand for cybersecurity solutions. By integrating these capabilities, Oracle is likely to attract a broader customer base seeking comprehensive risk management solutions.

    As of October 2025, the Risk Analytics Market is witnessing trends such as digitalization, sustainability, and the integration of AI technologies. Strategic alliances among key players are shaping the competitive landscape, fostering innovation and collaboration. Looking ahead, it is anticipated that competitive differentiation will increasingly hinge on technological advancements and supply chain reliability, rather than solely on price. This shift suggests a future where innovation and strategic partnerships will be paramount in defining success in the Risk Analytics Market.

    Key Companies in the Risk Analytics Market market include

    Industry Developments

    April 2024, Parametrix, an organization specializing in cloud monitoring, modeling, and insurance services, introduced Parametrix Analytics. This innovative service enables reinsurers and counterparties to quantify, manage, and transfer cloud risks with unparalleled precision. As stated in the announcement, the proprietary modeling approach of Parametrix Analytics is constructed upon "discovery and analysis of the actual cloud footprint of insured portfolios and historical cloud performance data." This approach utilizes data from the Parametrix Cloud Monitoring System, which has amassed nearly 54 billion data points.

    The newly introduced service by the company is bolstered by state-of-the-art technology and data that Parametrix itself consistently updates. Based on our understanding, Parametrix Analytics utilizes the vast data resources and proprietary cloud monitoring platform that Parametrix has developed through its Lloyd's coverholder business. This novel service will grant reinsurers and insurers detailed visibility into the cloud exposure of their portfolios. Consequently, these revelations will empower accurate evaluation of risk, streamline the process of identifying sites of accumulation and aggregation, and grant reinsurers and insurers the assurance to quantify potential financial and insurance losses.

    October 2023: Riskthinking.AI, a Toronto, Canada-based, award-winning, innovative climate risk startup, has today announced the launch of VELO®. Climate change is no longer a "problem for tomorrow"; governments and enterprises across the globe are already experiencing its consequences. Our reliance on physical, economic, social, and natural assets increases the vulnerability of these resources to disruptions and losses brought about by physical and transitional risk. Companies, financial institutions, and governments must comprehend where, when, how, and why they are exposed to climate risk more than ever before.

    In order to do so, their introduction of VELO simplifies this enormous and complex issue for organizations around the globe. VELO enables governments, corporations, and financial institutions to comprehend, quantify, report, mitigate, and adapt to climate risk with unprecedented speed, accuracy, and cost effectiveness. Delivered in near real-time, VELO is an exclusively stochastic approach for assessing climate-related financial risk. It operates on a dataset comprising 3.5 million assets from more than 250,000 corporations globally, over 100,000 of the most recent climate data sets, and 16 billion multi-factor stress tests.

    The Riskthinking.AI solution solves for integrated physical and transition climate hazards in a consistent manner using science-based methods.

    March 2022: Google unveiled several AI-based improvements to the Workspace office tool and application suite for business teams to collaborate on projects. The business also unveiled Duet AI, which will help with text writing in Gmail and Google Docs and image generation for Slides, a PowerPoint-like slide presentation program. Additionally, it can sum up video conferencing conversations on Google Meet.

    January 2022: AppTek and Expert announced the beginning of a strategic technology partnership to use AI-based text analytics on dynamic audio content available in various languages, by combining the natural language understanding (NLU) capabilities of experts. Ai, with AppTek's industry-leading automatic speech recognition (ASR) and neural machine translation (NMT) technologies, the partnership enables businesses to use audio content in the unstructured data sets they manage for enhancing intelligent automation and enhancing decision-making.

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    Future Outlook

    Risk Analytics Market Future Outlook

    The Risk Analytics Market is projected to grow at a 14.35% CAGR from 2024 to 2035, driven by technological advancements, regulatory changes, and increasing demand for data-driven decision-making.

    New opportunities lie in:

    • Integration of AI-driven predictive analytics tools
    • Development of sector-specific risk assessment frameworks
    • Expansion of cloud-based risk management solutions

    By 2035, the Risk Analytics Market is expected to be robust, reflecting substantial growth and innovation.

    Market Segmentation

    Risk Analytics Market Vertical Outlook

    • BFSI
    • Healthcare
    • Transportation
    • Manufacturing
    • Retail
    • Government

    Risk Analytics Market Component Outlook

    • Software
    • Service

    Risk Analytics Market Deployment Outlook

    • Cloud
    • On-Premise

    Report Scope

    MARKET SIZE 202422.95(USD Billion)
    MARKET SIZE 202526.24(USD Billion)
    MARKET SIZE 2035100.34(USD Billion)
    COMPOUND ANNUAL GROWTH RATE (CAGR)14.35% (2024 - 2035)
    REPORT COVERAGERevenue Forecast, Competitive Landscape, Growth Factors, and Trends
    BASE YEAR2024
    Market Forecast Period2025 - 2035
    Historical Data2019 - 2024
    Market Forecast UnitsUSD Billion
    Key Companies ProfiledMarket analysis in progress
    Segments CoveredMarket segmentation analysis in progress
    Key Market OpportunitiesIntegration of artificial intelligence enhances predictive capabilities in the Risk Analytics Market.
    Key Market DynamicsRising regulatory scrutiny drives demand for advanced risk analytics solutions across various industries.
    Countries CoveredNorth America, Europe, APAC, South America, MEA

    Market Highlights

    Author
    Ankit Gupta
    Senior Research Analyst

    Ankit Gupta is an analyst in market research industry in ICT and SEMI industry. With post-graduation in "Telecom and Marketing Management" and graduation in "Electronics and Telecommunication" vertical he is well versed with recent development in ICT industry as a whole. Having worked on more than 150+ reports including consultation for fortune 500 companies such as Microsoft and Rio Tinto in identifying solutions with respect to business problems his opinions are inclined towards mixture of technical and managerial aspects.

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    FAQs

    What is the current valuation of the Risk Analytics Market as of 2024?

    The Risk Analytics Market was valued at 22.95 USD Billion in 2024.

    What is the projected market size for the Risk Analytics Market in 2035?

    The market is projected to reach 100.34 USD Billion by 2035.

    What is the expected CAGR for the Risk Analytics Market during the forecast period 2025 - 2035?

    The expected CAGR for the Risk Analytics Market during 2025 - 2035 is 14.35%.

    Which companies are considered key players in the Risk Analytics Market?

    Key players include SAS Institute, IBM, Oracle, SAP, FICO, RiskMetrics Group, Moody's Analytics, Palantir Technologies, Aon, and Verisk Analytics.

    What are the main components of the Risk Analytics Market?

    The main components are software, valued at 40.0 USD Billion, and services, valued at 60.34 USD Billion.

    How is the Risk Analytics Market segmented by deployment type?

    The market is segmented into cloud deployment, projected at 45.0 USD Billion, and on-premise deployment, projected at 55.34 USD Billion.

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