For encryption security on USB flash drives, hard drives and solid state drives, two types of encryption methods are available: Software Encryption or Hardware Encryption.  Software Encryption is software based, where the encryption of a drive is provided by external software to secure the data. Software encryption options are available on the market as a cheaper alternative to hardware encryption, but the disadvantages tend to outweigh the benefits. It often requires numerous updates to keep up with hacking techniques, could be quite slow, and may require complex driver and software installations. Software encryption also may not provide the full security that businesses are expecting, to keep sensitive information from falling into the wrong hands. Though software encryption is better than having no encryption at all, it may still be vulnerable to user error, leaving data to fall through the cracks and be susceptible to potential thieves. Since software encryption requires users to follow certain procedures in order to secure the data, users may forget - or choose to ignore certain aspects of the encryption process.
With hardware encryption on secure USB drives, the AES encryption process is handled automatically, built right in with a small chip inside the drive itself. Once original data is encrypted, it becomes undecipherable in the background and is locked away under encrypted storage within the drive. If a thief were to try to gain access to the data without the password, the attempt is by all practical means impossible. But once the user enters their private password, the data is decrypted instantly, and made fully available to the user.