NEW
YORK, June 25, 2024 /PRNewswire/ -- The global
anti-money laundering (AML) software market size is estimated
to grow by USD 3.56 billion from
2024-2028, according to Technavio. The market is estimated to grow
at a CAGR of over 16.54% during the forecast
period. Increased need for suspicious activity
reporting is driving market growth, with a trend
towards integration of aml software with visualization tools.
However, high cost of implementation poses a challenge.
Key market players include Abrigo, ACI Worldwide Inc., Acuity
Knowledge Partner, Ascent, BAE Systems Plc, EastNets, Exiger, Fair
Isaac Corp., International Business Machines Corp., Moodys Corp.,
NICE Ltd., OpenText Corp., Oracle Corp., Refinitiv, Sanction
Scanner, SAS Institute Inc., Thomson Reuters Corp., Trulioo
Information Services Inc., Truth Technologies Inc., and Verafin
Inc..
Get a detailed analysis on regions, market
segments, customer landscape, and companies - Click for the
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Forecast
period
|
2024-2028
|
Base Year
|
2023
|
Historic
Data
|
2018 - 2022
|
Segment
Covered
|
Deployment (On-premises
and Cloud-based), Component (Software and Services), and Geography
(North America, Europe, APAC, Middle East and Africa, and South
America)
|
Region
Covered
|
North America, Europe,
APAC, Middle East and Africa, and South America
|
Key companies
profiled
|
Abrigo, ACI Worldwide
Inc., Acuity Knowledge Partner, Ascent, BAE Systems Plc, EastNets,
Exiger, Fair Isaac Corp., International Business Machines Corp.,
Moodys Corp., NICE Ltd., OpenText Corp., Oracle Corp., Refinitiv,
Sanction Scanner, SAS Institute Inc., Thomson Reuters Corp.,
Trulioo Information Services Inc., Truth Technologies Inc., and
Verafin Inc.
|
Key Market Trends Fueling Growth
Anti-Money Laundering (AML) software market growth is driven by
the integration of visualization tools. These tools help identify
suspicious transactions by detecting patterns with specific
keywords. They reduce analysis time, automate suspicious activity
detection, and comply with regulations. Benefits include
understanding customer-account relationships, scenario generation,
and incorporating diverse investigation practices. Advanced
technology adoption positively impacts market growth.
The Anti-Money Laundering (AML) software market is witnessing
significant growth due to the increasing need for financial
institutions to comply with regulations. Policies such as KYC (Know
Your Customer) and AML require institutions to identify and report
suspicious transactions. Solutions like AML software and services
help in preventing money laundering and terrorist financing. These
tools use various techniques like pattern recognition, transaction
monitoring, and customer profiling. Additionally, they provide
real-time alerts and reports to ensure regulatory compliance. The
market is also seeing advancements in machine learning and
artificial intelligence to enhance detection capabilities. Overall,
the AML software market is a crucial component in the financial
industry's efforts to maintain transparency and security.
Research report provides comprehensive data on
impact of trend. For more details- Download a Sample
Report
Market Challenges
- The deployment of Anti-Money Laundering (AML) software involves
significant expenses due to defining requirements and a lengthy
implementation process. Once installed, modifications are costly,
necessitating additional infrastructure, complex programming, and
data integration efforts. Vendors often charge extra for software
updates, which may be mandatory for continued technical support.
Costs vary with company size, with larger firms spending more.
These high expenses may hinder the growth of the AML software
market.
- The Anti-Money Laundering (AML) software market faces several
challenges in ensuring effective compliance. One major challenge is
the complexity of identifying and verifying clients, especially in
large volumes. This requires advanced technology and robust
processes to prevent potential money laundering activities. Another
challenge is the need to stay updated with ever-evolving
regulations and adapt to new compliance requirements. Additionally,
integrating AML software with existing systems and ensuring data
security are significant hurdles. Properly managing these
challenges is crucial for financial institutions to maintain a
strong compliance posture and mitigate financial risks.
For more insights on driver and
challenges - Download a Sample Report
Segment Overview
This anti-money laundering (aml) software market report
extensively covers market segmentation by
- Deployment
- 1.1 On-premises
- 1.2 Cloud-based
- Component
- 2.1 Software
- 2.2 Services
- Geography
- 3.1 North America
- 3.2 Europe
- 3.3 APAC
- 3.4 Middle East and
Africa
- 3.5 South America
1.1 On-premises- The on-premises AML software
market holds a significant share due to its advanced security
features, enterprise-wide monitoring capabilities, and
customization options. However, organizations face additional costs
for maintenance, upgrades, and user support. Despite these
expenses, large financial firms continue to adopt on-premises
solutions for their complex operations due to their robustness and
regulatory compliance. The market is projected to grow steadily
during the forecast period.
For more information on market segmentation with
geographical analysis including forecast (2024-2028) and historic
data (2018 - 2022) - Download a Sample Report
Research Analysis
The Anti-Money Laundering (AML) software market is experiencing
significant growth due to the increasing prevalence of financial
crimes in digital payments and internet banking. Organizations are
implementing cloud-based AML solutions to enhance security measures
and address the sophistication of attacks from cybercriminals.
Technical improvements and customer preferences are driving the
demand for advanced AML skills and security protocols to protect
private client information and ensure transparency in funding
sources. However, the technological complexities of AML systems can
pose challenges for businesses, particularly in identifying and
mitigating risks associated with shell companies, lack of
awareness, and government regulations. Criminal groups continue to
exploit vulnerabilities, employing tactics such as ransomware
attacks, identity theft, and cryptocurrency-related
scams. Expertise in AML technologies and regulations is essential
to safeguard financial systems from these threats.
Market Research Overview
The Anti-Money Laundering (AML) software market refers to the
industry that provides solutions to help businesses and financial
institutions comply with regulations aimed at preventing money
laundering and financing of terrorism. These solutions utilize
advanced technologies such as artificial intelligence, machine
learning, and risk scoring to analyze transactions, identify
suspicious patterns, and ensure regulatory compliance. The market
is driven by increasing global regulations, growing financial
crimes, and the need for automated and efficient compliance
processes. The software assists in tasks like customer due
diligence, transaction monitoring, and reporting to the relevant
authorities. It is a critical component in maintaining the
integrity of financial systems and protecting against financial
crimes.
Table of Contents:
1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation
- Deployment
-
- Component
-
- Geography
-
- North America
- Europe
- APAC
- Middle East And Africa
- South America
7 Customer Landscape
8 Geographic Landscape
9 Drivers, Challenges, and Trends
10 Company Landscape
11 Company Analysis
12 Appendix
About Technavio
Technavio is a leading global technology research and advisory
company. Their research and analysis focuses on emerging market
trends and provides actionable insights to help businesses identify
market opportunities and develop effective strategies to optimize
their market positions.
With over 500 specialized analysts, Technavio's report library
consists of more than 17,000 reports and counting, covering 800
technologies, spanning across 50 countries. Their client base
consists of enterprises of all sizes, including more than 100
Fortune 500 companies. This growing client base relies on
Technavio's comprehensive coverage, extensive research, and
actionable market insights to identify opportunities in existing
and potential markets and assess their competitive positions within
changing market scenarios.
Contacts
Technavio Research
Jesse Maida
Media & Marketing Executive
US: +1 844 364 1100
UK: +44 203 893 3200
Email: media@technavio.com
Website: www.technavio.com/
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