January 8, 2015
The biometrics market’s value is expected to reach $24.59 Bn in the next six years, according to Grand View Research. This is attributed to numerous organizations adopting biometric technology for additional security. Moreover, there is increasing demand in consumer electronics to enhance the customer experience which is further expected to drive the biometrics technology market over the next six years. A report published by Grand View Research predicts that government security programs in North America and Asia Pacific will fuel biometric investments through 2020.
According to Biometrics Research Group, mobile commerce adoption will accelerate due to impending wide-scale integration of biometric technology into smartphones. It’s only after Apple brought its fingerprint tech to iPhones that biometrics received attention again. Apple Pay is becoming a highly popular consumer application changing the way to pay using its biometrics feature i.e. Touch ID. Recent years have witnessed a number of emerging biometric technology based solutions. Companies such as Bionym, Zwipe and PulseWallet have come up with innovative solutions around biometrics, especially for payments authentication.
Some practical applications of biometric technologies not only include fingerprint scanning but also facial recognition, vein pattern scanning, voice recognition and even digital tattoos. Biometric technology is being implemented in various domains in the public, private and commercial sectors in order to overcome security threats. Findings from the report suggest that the US was the largest regional market for biometrics in 2013 and is expected to grow at a marginal rate over the next few years. Biometric technologies are being used in various federal government departments in the US to keep up with the strict security standards.
The Asia Pacific market will also contribute to the market growth of biometric technology, especially countries such as India, China and Indonesia. In order to maintain internal and external security, regional government initiatives will help fuel the growth. The report also highlights that transportation and logistics was an emerging sector in the adoption of biometrics in 2013. The sector accounted for 25% of the overall biometrics technology market in 2013. In this particular sector, biometrics technology found wide usage in ePassport programs and to counter illegal migrations.
Considering the application segments, the Automated Fingerprint Identification System (AFIS) is expected to grow significantly given the wide usage of fingerprint and palm identification in many civil applications. By the end of this decade, biometrics will further find extensive usage in banking, finance and e-commerce applications. But it all depends on the extent to which governments are willing to support such technologies, especially from an investment perspective.