Dublin, Sept. 10, 2024 (GLOBE NEWSWIRE) -- The "Biometric System Market by Authentication Type (Fingerprint, Iris, Face, Voice, Vein, Signature, Multi-factor), Offering (Sensor, Camera, Reader & Scanner, Software), Type (Contact, Contactless, Hybrid), Mobility, Deployment - Global Forecast to 2029" report has been added to ResearchAndMarkets.com's offering.
The global biometric system market is expected to be valued at USD 47.2 billion in 2024 and is projected to reach USD 84.5 billion by 2029; it is expected to grow at a CAGR of 12.3% from 2024 to 2029.
Increasing adoption of consumer electronics enhances security and user convenience, therefore driving the demand for the systems. On the other hand, increased adoption of Biometric-as-a-Service is an opportunity since it offers scaled solutions at less cost without heavy upfront investments. However, data security concerns and a lack of technical expertise are major issues since organizations struggle to protect sensitive data and manage complex systems effectively.
The key players operating in the biometric system market are Thales (France), IDEMIA (France), NEC Corporation (Japan), ASSA ABLOY (Sweden), and Fujitsu (Japan) among others.
Single-factor authentication segment accounts for the largest share in the biometric system market
Single-Factor Authentication dominates the biometric system market because of its usage, simplicity, and cost-effectiveness. Of all single-factor authentication methods, fingerprint recognition occupies the largest share. This dominance is attributed to its high reliability and ease of use, integration into a myriad of devices and applications ranging from smartphones to access control systems.
Fingerprint recognition technology is within a hair's breadth of becoming ubiquitous in consumer electronics, banking, and government ID programs because of its accuracy and quick response time. On the other hand, improvements to fingerprint sensors and algorithms have increased security and efficiency, holding their position at the top of the single-factor authentication type in the biometric system market.
Fixed biometric systems based on mobility to hold the largest share in the biometric system market
Fixed biometric systems occupy the largest market share in the biometric system market because of their enhanced security and reliability in high-traffic environments. They include devices installed in one fixed position, usually for access control, surveillance, and identity verification in several locations such as offices, airports, and government facilities.
This is made possible because they have the ability to ensure constant performance and high accuracy. The stability and durability of fixed systems make them ideally suited for a host of environments where it is paramount to have constant and reliable biometric authentication. The reason they dominate this market is that they can easily be integrated into the existing security structure and support a large number of users. Nevertheless, fixed systems continue to become preferred applications by a lot of sectors due to their history of high performance and depth of features, even amidst growing interest in portable biometric solutions.
Based on vertical, the BFSI to hold second largest the biometric system market
The Banking, Financial Services, and Insurance (BFSI) has the second largest market share in the global biometric system market because of its nature as a backbone sector for secure and efficient customer authentication as well as fraud prevention. Biometric systems with fingerprint, facial, and voice recognition are being applied more and more in banking and financial transactions to improve security and ease of use.
These systems bring down cases of identity theft, secure transactions, and enhance access control to online and in-branch services. It is expected to capture a substantial market share in the BFSI sector with its increasing adoption of biometric technologies within ATMs, mobile banking applications, and customer verification procedures. The high market share of the sector in terms of biometric systems is also supported by the strong emphasis on security and compliance with regulations.
On-premises deployment segment to hold the largest share in the biometric system market
On-premises deployment has the largest market share of the biometric system market due to improved control, security, and customization. This is a preferred solution for organizations, especially in the government, healthcare, and financial sectors that require full control over infrastructure and data in view of tight regulations and privacy requirements. This mode of deployment allows for more personalization to meet specific organizational needs and more enhanced security by keeping information that is sensitive in biometrics within the premises.
In addition, on-premises systems provide more reliable performance and faster response times, which are critical in high-security applications. As much as interest in cloud versions has widely taken over, demand for the on-premise version has still remained quite strong due to these advantages, thereby maintaining its top position in the marketplace.
Asia Pacific region to exhibit highest growth rate in the biometric system market
The increasing growth in the biometric system market is likely to be established in the Asia Pacific region, driven by rapid urbanization, technological advancement, and increasing government initiatives. India and China are the two fast-paced countries having large-scale biometric projects; for example, Aadhaar in India has enrolled more than one billion citizens.
Additionally, the boom in the tech industry in the region and the wide acceptance of smartphones that integrate biometric features act as fuel for the market. The increasingly strict demands from the financial transaction side, healthcare, and border control drive demand for biometric systems. Together with the rise of the middle class, escalating investment in smart city projects, and proactive regulatory support, this provides a fertile environment for an accelerated expansion of the biometric market in Asia Pacific region.
Research Coverage
The scope of the report covers detailed information regarding the major factors, such as drivers, restraints, challenges, and opportunities, influencing the growth of the biometric system market. A thorough analysis of the key industry players has been done to provide insights into their business overviews, products, key strategies, contracts, partnerships, and agreements. New product launches, mergers and acquisitions, and recent biometric system market developments. This report covers a competitive analysis of upcoming biometric system market ecosystem startups.
Key Attributes
| Report Attribute | Details |
| No. of Pages | 306 |
| Forecast Period | 2024-2029 |
| Estimated Market Value (USD) in 2024 | $47.2 Billion |
| Forecasted Market Value (USD) by 2029 | $84.5 Billion |
| Compound Annual Growth Rate | 12.3% |
| Regions Covered | Global |
Market Dynamics
- Drivers
- Surging Demand for Biometric Technology-Enabled Consumer Electronics
- Elevating Use of Biometrics in Government Projects to Enhance Security and Efficiency
- Escalating Deployment of Biometrics in Security and Surveillance Applications due to Increasing Terrorism
- Rising Focus of Automakers on Enhancing Vehicle Safety
- Pressing Need to Protect Smart Infrastructure from Cyber Threats
- Restraints
- High Costs Associated with Biometric Systems
- Stringent Regulations Related to Biometric Data Collection, Storage, and Processing
- Opportunities
- Development of AI- and ML-based Biometric Solutions
- Collaborative Strategies Among Participants in Supply Chain
- Increasing Number of Subscribers for BaaS
- Transition of Businesses Towards IoT and Cloud Technologies
- Challenges
- Data Security Concerns and Shortage of Technical Knowledge
- Detecting Authorized and Unauthorized Users
- System Integration-Related Challenges
Value Chain Analysis
Ecosystem Analysis
Investment and Funding Scenario
Trends/Disruptions Impacting Customer Business
Pricing Analysis
- Average Selling Price of Key Players, by Fingerprint Sensor Technology
- Average Selling Price Trend of Iris Scanners, by Key Player
- Average Selling Price Trend of Fingerprint Sensor Technologies, by Region
Technology Analysis
- Key Technologies
- Cloud-based Biometric System
- Finger-Vein Recognition
- 3D Face Recognition
- Fingerprint Recognition
- Complementary Technologies
- Liveness Detection
- Multimodal Biometrics
- Adjacent Technologies
- Internet of Things (IoT)
- Artificial Intelligence (AI) and Machine Learning (ML)
Impact of Gen/AI on Biometric System Market
- Top Use Cases and Market Potential
- Facial Recognition
- Iris Recognition
- Palm Recognition
- Vein Recognition
- Signature Recognition
- Best Practices
- Case Study
- Interconnect Adjacent Ecosystem
- Adoption of AI by Clients/Readiness to Adopt AI
Key Stakeholders and Buying Criteria
- Key Stakeholders in Buying Process
- Buying Criteria
Case Study Analysis
- European Union Deploys SBMs to Enhance Border Security
- UAE Facilitates Multi-Biometric Entry/Exit Programs to Ensure Smooth Border Crossings
- Thales and Gemalto Implement Advanced Biometric Solutions to Enhance Electoral Integrity
- NEC Implements Facial Recognition System at Headquarters to Secure Entry
Trade Analysis
- Import Data (HS Code 847190)
- Export Data (HS Code 847190)
Tariff and Regulatory Landscape
- Tariff Analysis
- Regulatory Bodies, Government Agencies, and Other Organizations
- Regulations
- Standards
Patent Analysis
Key Conferences and Events, 2024-2025
Companies Featured
- Thales
- IDEMIA
- NEC Corporation
- ASSA ABLOY
- Fujitsu
- Precise Biometrics Ab
- Secunet Security Networks AG
- Aware Inc.
- Cognitec Systems GmbH
- Anviz Global Inc.
- Daon, Inc.
- Dermalog Identification Systems GmbH
- Neurotechnology
- Innovatrics
- Veridos GmbH
- Zetes
- Jumio
- Onfido
- iProov
- Facetec, Inc.
- ID R&D Inc.
- Beijing Kuangshi Technology Co. Ltd. (Megvii)
- Sensetime
- Facebanx
- David-Link Corporation
- Bio-Key International
- Securiport
- M2SYS Technology
- Suprema Inc.
- Fulcrum Biometrics
- Onespan
- Qualcomm Technologies, Inc.
- Integrated Biometrics
- Leidos
- Imageware
- Papillon
- Nuance Communications, Inc.
For more information about this report visit https://www.researchandmarkets.com/r/8xtqnx
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