The eDiscovery Market growth is expected to be driven by many factors, such as focus on proactive governance with data analytics and emergence of new content sources, increase in number of litigations across the globe, growth in compliance requirements and data protection regulations, and need to decrease operational budget of legal departments.
In terms of components, the software segment is expected to witness high growth rate over the next 5 years. eDiscovery software helps find, manage, secure, and store relevant data to be presented as evidence during legal or criminal cases across verticals, thereby ensuring a huge reduction in costs. On the basis of software, the eDiscovery market has been segmented into processing, review, and analysis, identification, preservation, and collection, and production and presentation. With the increasing penetration of big data, IoT, cloud, and related technologies, the demand for eDiscovery software among enterprises is expected to gain a huge traction.
Among deployment types, the cloud deployment type is expected to grow at a higher CAGR over the next 5 years. Cloud-based eDiscovery software offers various benefits, such as increased storage, scalability, flexibility, security, portability, and compliance. The cloud deployment offers high-end performance and greater security. Moreover, it is highly scalable, flexible, and cost-efficient as compared to the on-premises deployment.
The Small and Medium-sized Enterprises segment is expected to grow at a higher CAGR in the next 5 years. SMEs have to deal with various challenges, such as the lack of skilled labor, financial issues, and management control. To overcome these issues, the SMEs adopt eDiscovery software to get the desired outcomes faster and efficiently. The SMEs face common issues such as legal cases, tax litigations, dissatisfied customers, copyright and patent issues, and legal disputes. To resolve such issues, the SMEs are rapidly adopting eDiscovery software that enables easy collection of documents, relevant information gathering, information governance, and easy application of the whole Electronic Discovery Reference Model (EDRM) model.
The IT and telecommunications vertical is expected to grow at the highest CAGR over the next 5 years. This vertical faces challenges, such as holding critical customers’ data and complying with certain regulatory frameworks in each region. Additionally, this vertical faces other issues such as patent issues, privacy, and security issues. The growing number of subscribers in this vertical is leading to the increasing data generation; therefore, companies have to deal with huge structured and unstructured data. These complexities are expected to drive the adoption of eDiscovery software and services, which offer benefits such as tracking and recording of complex and diversified data, upgrading on new regulatory compliances, securing data, and reducing operational costs.