eMudhra's Digital Security Blog: Insights and Innovations

PKI in Europe: Importance, Uses, and Market Trends

Written by eMudhra Limited | Dec 17, 2024 11:37:42 AM

What is Public Key Infrastructure (PKI)? 

Public Key Infrastructure or PKI refers to a set of tools or solutions that are responsible for the creation and management of public keys. These public keys are used for encryption which is a method used to secure data transmission through digital networks or the Internet. Public Key Infrastructure is built in every web browser that is functioning today. It is a catalyst for securing internet traffic. If you want a clearer answer to the question, “What is PKI infrastructure?”, then the best answer is that it is a digital solution used by organizations to secure their electronic communications that are sent back and forth in their digital ecosystem. It also helps in the secure connection of all electronic devices and networks in an organization.

Importance of PKI in European countries

European organizations depend on PKI because it manages both encryption and authentication facilitating secure online communication among different departments, browsers, networks, devices, etc. In the case of an enterprise, PKI can identify an intruder trying to gain access to the digital system, therefore, saving the enterprise from a potential threat.

 

How does PKI work?

PKI works due to the implementation of two electronic technologies - keys and certificates. A key is a lengthy number that is used to encrypt data. Every single component of a message is encrypted with the help of a key formula. Let’s say, for example, if you have written a message, then each alphabet will be replaced by the alphabet next to it. This means A will turn into B, C will turn into D, and so on. So even if someone gets this key he will see a confusing message. To read that message correctly, he will have to decrypt it. 

In the case of PKI, the keys use advanced and more complicated mathematical concepts. In light of the above alphabetical example, there is a single key which when the recipient receives it, he can easily decrypt the message with it. On the other hand, in the case of PKI, two keys are involved, one is the private key and the other is the public key.

Anyone who wants access to the public key can acquire it. It is used to encode any message that the sender wants to transmit. A private key is one which is used to decrypt the message after receiving it. Both keys are interconnected using a complicated mathematical equation. This makes it extremely difficult to figure out the private key with the help of data from the public key. 

Certificate Authority or CA issues a certificate that helps to identify the device or person trying to communicate with you. It allows you to figure out whether the entity trying to communicate is actually the one it is claiming to be. When a device is connected with a proper certificate, the device is considered as authentic. There is a system deployed to check the validity of the certificate and see if it is real or not.

 

PKI certificate- A detailed analysis

As already discussed, a PKI certificate is a document that allows an entity, particularly a person or a device, to engage in the transfer of PKI keys. PKI certificates are just like passports that convey the unique identity of the holder. In the absence of the passport, no entity can take part in the PKI-encrypted data exchange.

A certificate consists of the public key which is distributed between two parties. The certificate also comprises the official attestation from a reliable source. This helps confirm the identity of the entity that is taking part in the digital communication. The CA issues the digital certificate.

The Registration Authority or RA receives the signing requests for the digital certificates. These requests accelerate the certificate issuance as well as renewal while they are allotted to individuals, applications, or things. 

A certificate database stores the certificates. This is on a server hosting the Certificate Authority. The information about the CA is also stored on the local computer or device that is used in the communication process. The certificate storage is known as the certificate database, on the other hand, the local storage on the computer or device is referred to as the certificate store.

Certificate policy is yet another crucial aspect of PKI certificates. A certificate policy is a document that is responsible for the identification of each entity associated with the PKI interaction. It also defines the roles of each of these identities. The certificate policy is published along with a PKI perimeter. In cases related to X.509 certificates, a link is involved in a specific field within the PKI perimeter, and this link is related to the certificate policy.

 

Popular uses of PKI certificates

Let us learn about the popular uses of PKI certificates:

Hypertext Transfer Protocol Secure (HTTPS)

In the case of Hypertext Transfer Protocol Secure (HTTPS), the PKI certificate identifies each website that the user tries to reach. It does so to ensure that the messages exchanged are not modified or intercepted. If someone tries to gain unauthorized access, he can get involved in malicious activity like sending fake wire transmissions or acquiring the credit card information of an individual.

HTTPS is highly effective in preventing various man-in-the-middle attacks as the hacker needs to know the procedure of decrypting the information to properly intercept and then steal or change the data that is being transferred between two entities. When the communicating entities need to encrypt the data, both the message and the passwords along with other crucial data are kept secure so that no hacker can invade it.

Secure Shell (SSH)

SSH offers authentication facilities to users and devices. It uses X.509 certificates and different SSH protocols use different certificate formats. However, it is seen that despite using different certificate formats, they perform the same function, and that is to authenticate user identity which ensures that any entity trying to interact with the system is the one who they claim to be.

Signing and Encrypting Emails

Whenever you have to ensure the security of your email communications, PKI certificates come into action. In SSH, there are various options for PKI certificate implementation for sending emails. The main task that they are involved in is securing those emails while ensuring that the sender and receiver of those emails are who they claim to be.

 

Market analysis of PKI infrastructure in European countries

Recent research has revealed that the Europe PKI market is set to witness a massive growth of 18% by the year 2027. PKI is required for activities where authentication through mere passwords is not enough. Stricter evidence is required to authenticate the identity of the entities involved in the communication process. It is also needed to authenticate the data being transmitted across the network. 

PKI is a proof of electronic advancement that is much needed in the current era of digitization. It is used to achieve the goal of a device as well as user authentication in electronic communication in organizations driven by information technology. Apart from that, it provides proof of digital identification. PKI is a technology widely used in the IT industry, financial services, telecom industry, e-commerce, retail, and various other fields. 

With the increase in cyber attacks, businesses are adopting PKI solutions in huge numbers in European countries. Companies are greatly inclined towards investing in building a secure and stringent digital ecosystem for the betterment of their organization and clients. This aspect is mainly responsible for the mammoth increase in the PKI market in the European region.

With the expansive investment of several companies in adopting the PKI technology, there has been a huge surge in the important market players in this region. Also, the massive demand for PKI solutions by both small and medium-scale businesses has encouraged key market players to introduce improved and advanced solutions to fulfill such huge demand in the market. 

The German market is dominated by the Europe Cloud Public Key Infrastructure Market and is set to achieve a market value of $337.1 million by the year 2027. On the other hand, the UK market is showcasing a CAGR of 20.8% by the year 2027. Also, France is all set to witness a CAGR of 22.6% by 2027.

 

PKI Best Practices

If you want to reduce the risks that come along with operational inefficiencies, security vulnerabilities, and non-adherence to industry standards and regulations, then implement these PKI best practices!

Be Agile

The cybersecurity landscape is undergoing advancements and changes on a continuous basis. This means that organizations must be vigilant enough to simultaneously adapt to the changing technologies and keep updating their PKI standards accordingly. This is much needed to keep their digital infrastructure updated. Make sure your organizational procedures and policies are flexible to encourage updates whenever needed. Make sure that you use automation facilities to deploy rule-based enforcement, provide rapid response to incidents, and quickly respond to regulatory modifications.

Implement Clear Policies and Procedures

Establish clearly defined procedures and policies if you want to stay agile and ensure that every entity involved in PKI and certificate management follows and understands those rules. Maintain control over your PKI to build a holistic PKI management strategy and remain proactive in mitigating risks, and adjust your approach through automation.

Conduct Regular Audits

Make sure to conduct annual audits on each PKI element for accurate implementation and compliance with your procedures and policies. Create an audit trail to facilitate monitoring, reporting, and compliance. While auditing, try to detect unauthorized and suspicious events including illicit changes to CA security settings, changes to the audit filter settings, or revocation of a large number of certificates within a short period.

Hire Skilled IT Professionals

Hire skilled IT professionals with the required knowledge and skill sets for effective PKI management. They will be highly active in accurately mitigating risks, optimizing performance, and ensuring compliance. Also, expert IT staff is required to train other employees on the best practices for PKI management. 

Protect CA and Private Keys

Ensure that both CA and private keys are well-protected to maintain the trustworthiness and security of your PKI. As PKI is a series of trusts, if any element is compromised, such as the CA, then that means that every single certificate in the series is compromised. In case of any such compromise, action must be taken to promptly revoke and reissue the compromised certificate.

On the other hand, compromised private keys cause encrypted data vulnerable to decryption by unauthorized users or devices. It is best to store private keys in HSM and automate regular key rotation every 90 days for an added layer of security. 

 

Bottomline

If you want to prevent data breaches, operational inefficiencies, security vulnerabilities, service disruptions, and financial and legal repercussions due to regulatory violations then make sure you have a proper PKI management system in place. Now that you know what is PKI infrastructure, you must adopt a dynamic PKI management system to streamline your operations and secure data transmission across your organizational network. 

eMudhra’s powerful PKI solutions support the most robust form of end-to-end authentication and help organizations deploy private PKI for issuing and managing trusted certificates throughout the enterprise. If you want to know more about our PKI services, then contact our team today!