Indian digital forensics market to hit $1.39 bn by 2030: Deloitte-DSCI

Business Standard

05-06-2025

The Indian digital forensics market is projected to reach $1.39 billion in the next five years, growing at a compounded annual growth rate (CAGR) of 40 per cent, compared to the global market size of $14.5 billion over the same period.
The market for digital forensics is recorded at $265.9 million as of financial year 2025 (FY25). In comparison, the global market is valued at $6.5 billion during the same period, according to a joint report by Deloitte and the Data Security Council of India (DSCI).
Major drivers for the sector's growth in India include regulatory requirements guided by apex regulators such as the Reserve Bank of India (RBI), the Securities and Exchange Board of India (Sebi), and cybersecurity agency CERT-In.
Compliance with key legislations such as the Digital Personal Data Protection (DPDP) Act — which requires strict privacy safeguards, data protection measures, and breach notification protocols — is expected to further drive adoption.
Broadly, factors leading to growing adoption of digital forensics include cybercrime, advancements across segments such as artificial intelligence (AI) and machine learning (ML), regulatory compliance, and digital transformation across sectors such as banking, financial services and insurance (BFSI), healthcare, and government.
The Indian market, however, continues to face challenges such as a shortage of skilled staff to handle digital forensics. High costs and limited understanding deter small and medium enterprises (SMEs) from adopting in-house solutions, the report added.
'The sector presents a significant opportunity for growth, driven by rising enterprise demand, regulatory scrutiny and technological advancement. The way forward lies in accelerating capacity building, fostering innovation in indigenous tools, and embedding forensic readiness into the core of digital transformation strategies across sectors,' said Nikhil Bedi, Leader, Risk, Regulatory & Forensic, Deloitte India.
The report added that the Centre, in 2024, introduced a scheme to improve forensic capabilities with a financial outlay of ₹2,254 crore by 2029. It is aimed at modernising forensic labs, training staff, and integrating the stream into law enforcement practices.
It noted that government agencies lack standardised methodologies, tools and procedures, affecting the reliability and admissibility of digital evidence in court, while recommending domestic standards customised to local requirements.
'Investing in updated forensic tools tailored to handle emerging technologies, such as cloud and mobile forensics, is crucial. This includes leveraging AI and ML to streamline data analysis, automate processes and improve the accuracy and speed of forensic investigations,' it recommended.