(I-BusinessNews.Com, July 29, 2022 ) According to a new market research report titled, “Biometric System Market by Offering, Biometrics Type (Fingerprint Recognition, Voice Recognition), Contact Type, Authentication Type, Platform, Application, End User (Government, Military & Law Enforcement, and Others)– Global Forecast to 2029”, the global biometric system market is expected to grow at a CAGR of 12.4% from 2022 to 2029 to reach USD 51.6 billion by 2029.
Biometrics refers to the measurement and statistical analysis of an individual’s unique physical and behavioral characteristics. It is mainly used for identification and access control or for identifying individuals who are under surveillance. It is a widely adopted technology for perceiving identity thefts, unauthorized access, or documentary fraud.
Several industries and organizations, including government, BFSI, military, and healthcare, are deploying this technology on a considerable scale. Growing demand for mobile biometrics devices, rising government initiatives for biometrics technology, increasing use of biometric technology in consumer electronics for authentication and identification applications, and growing need for security measures are the key factors driving the growth of the biometric systems market. However, the substantial costs associated with biometric systems and misconceptions and lack of knowledge pertaining to biometric systems are notable restraints affecting the growth of this market.
Impact of COVID-19 on the Biometric System Market
The COVID-19 pandemic adversely impacted the global economy. Nationwide lockdowns and social distancing norms were imposed across several countries, negatively affecting multiple industries, including the biometrics industry. Uncertainty regarding the duration of the lockdowns made it difficult for the key market players to anticipate the recovery of the biometric systems market. Numerous biometrics providers were under immense pressure across various fronts due to the COVID-19 pandemic.
However, economies are shifting their focus from responding to the pandemic to economic recovery, and hence, various growth opportunities are expected to emerge for the biometric systems market players due to the growing demand for biometric technology-based surveillance and security solutions and the rising need for contactless biometric systems.
Government and private sector organizations started undertaking initiatives to keep people safe and combat the spread of COVID-19. Contactless biometrics systems emerged as vital solutions as social distancing became a new norm globally. Biometrics technology companies viewed this crisis as a new opportunity to restructure and revisit existing strategies and product portfolios. The current scenario has created tremendous demand for biometric technologies in the healthcare sector due to their capacity to be easily integrated with various healthcare devices & platforms to enhance patient safety and support staff & patient workflows. Increased investments in the healthcare sector have also contributed to the growing demand for biometric technologies. Organizations in the BFSI sector were also focused on running essential business operations during the pandemic, which helped biometric companies bring revenues back on track.
The global biometric system market study presents historical market data in terms of value and volume (2020 and 2021), estimated current data (2022), and forecasts for 2029. The market is segmented based on offering (hardware and software), biometric type, (fingerprint recognition, face recognition, voice recognition, iris recognition, signature recognition, vein recognition, palm print recognition, and other biometrics types), authentication type (single-factor authentication and multi-factor authentication), contact type (contact-based and contactless, hybrid), platform (on-site, mobile devices, PC’s, & wearable devices), application (digital identification, access control & authentication, security & surveillance, and other application), end user (IT & telecom, government, finance & insurance, retail, military & law enforcement, healthcare, recreation, education, transportation/warehousing, and other end users), and geography (North America, Europe, Asia-Pacific, Latin America, and the Middle East & Africa). The study also evaluates industry competitors and analyses the market at a country level.
Based on offering, the hardware segment is expected to account for the largest share of the biometric system market in 2022. The large share of this segment is mainly attributed to the growing demand for mobile biometrics devices and the increasing focus on hardware-centric security capabilities. In addition, the benefits associated with biometrics hardware, such as accurate identification, high performance, accountability, reliability, and high security & assurance, further augment the growth of this segment. Several providers are investing in R&D to improve the hardware capabilities and make them more affordable for small and medium-scale enterprises.
Based on authentication type, the single-factor authentication segment is expected to account for the largest share of the biometric systems market in 2022. The large share of this segment is mainly attributed to the growing volume of online transactions, the rising need to prevent fraudulent activities, and the growing significance of single-factor authentication in the telecom sector. However, the multi-factor authentication segment is expected to record the fastest growth over the forecast period. The growing adoption of BYOD, rising cyber security incidents and identity thefts, and high demand for cloud-based MFA solutions and services are expected to support the growth of this segment.
Based on contact type, the contact-based segment is expected to account for a larger share of the biometric system market. The large market share of this segment is mainly attributed to the rising demand for advanced access control solutions, increasing usage of smartphones, and the rising need for easy & swift biometric security in smartphones. However, the contactless segment is expected to grow at the highest CAGR during the forecast period. The rising security concerns and hygiene issues among users due to touch-based systems are driving the faster growth of this segment. Also, the growing adoption of face recognition in the public and commercial sector, strong government initiatives, and the increasing adoption of contactless biometrics technology post the pandemic are expected to support the growth of this segment.
Based on application, the digital identification segment is expected to account for the largest share of the biometric systems market in 2022. The large share of this segment is mainly attributed to the rise in identity and authentication frauds, integration of biometrics in smartphones, growing focus on enhancing end-to-end customer experience, and growing adoption of cloud-based digital identity solutions.
Geographically, the Asia-Pacific region is expected to account for the largest share of the global biometric systems market in 2022. The presence of prominent players offering advanced biometrics solutions to various sectors in the region is one of the major factors driving the growth of this regional segment. For instance, in 2022, the Ministry of Public Security (MOPS), a public agency under the Government of Vietnam, selected NEC’s Automated Biometric Identification System (ABIS) to upgrade Vietnam’s existing national ID system with the latest in biometric technologies. Hence, favorable government initiatives across the region and investments by major biometrics companies are further accelerating the growth of this regional segment.
Besides, the infrastructural growth in APAC, especially in China, South Korea, Australia, Singapore, Japan, and India, and growing digital transformation and rising trends of e-commerce and virtual payment create huge opportunities for the biometric systems market. Also, the Asia-Pacific region is projected to register the highest CAGR during the forecast period.
The report also includes an extensive assessment of the key strategic developments adopted by the leading market participants in the industry over the past four years (2019–2022). The biometric systems market has witnessed a number of product launches in recent years. For instance, in 2021, HID Global introduced its HID Signo Biometric Reader 25B, designed to capture and read fingerprints in real-world applications and conditions. Similarly, in 2020, Suprema, Inc. (South Korea) introduced its FaceStation F2 Fusion Multimodal Terminal. It delivers exceptional authentication accuracy and anti-spoofing performance by the fusion of visual and infrared face recognition technology.
The key players operating in the biometric system market are NEC Corporation (Japan), CardLogix Corporation (U.S.), Fujitsu Limited (Japan), Thales Group (France), Integrated Biometrics LLC (U.S.), Iris ID, Inc. (U.S.), Suprema, Inc. (South Korea), HID Global Corporation (U.S.), Precise Biometrics (Sweden), Aware, Inc. (U.S.), Daon, Inc. (U.S.), M2SYS Technology (U.S.), BIO-key International (U.S.), Cognitec Systems GmbH (Germany), BioRugged (South Africa), DERMALOG Identification Systems GmbH (Germany), IDEMIA (France), and ImageWare Systems, Inc. (U.S.).
Hardware Scanners Cameras Software Biometric System Market, by Biometric Type
Fingerprint Recognition Face Recognition Voice Recognition Iris Recognition Signature Recognition Vein Recognition Palm Print Recognition Other Biometric Types (Heartbeat Reader and Hand Geometry) Biometric System Market, by Authentication Type
Single-factor Authentication Multi-factor Authentication Biometric System Market, by Contact Type
Contact-based Contactless Hybrid Biometric System Market, by Platform
On-site PC Mobile Devices Wearable Devices Biometric System Market, by Application
Digital Identification Access Control & Authentication Security & Surveillance Other Applications (Border Control and Law & Enforcement) Biometric System Market, by End User
Information Technology & Telecom Government Retail Finance & Insurance Healthcare Military /Law Enforcement Recreation Education Transportation & Warehousing Other End Users (Hotel & Food Services and Constructions) Biometric System Market, by Region
North America U.S. Canada Europe U.K. Germany France Italy Spain Rest of Europe Asia-Pacific China Japan India South Korea Singapore Vietnam Indonesia Rest of Asia-Pacific Latin America Brazil Mexico Rest of Latin America Middle East & Africa Request Free Customization of Report @ https://www.meticulousresearch.com/request-customization/cp_id=5309
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