Biometric System Market by Authentication Type (Single-Factor Authentication and Multi-Factor Authentication), Offering (Hardware and Software), Functionality Type (Contact, Non-contact, and Combined), End User (Banking & Finance, Consumer Electronics, Healthcare, Automotive, Government, and Military & Defense) - Analysis & Forecast 2019-2030
Report ID : 266 | Published Date : Jun 2020 | Pages : 170 | Region : Global | Report Code : CG-8
Biometric System Market Introduction and Overview
Biometric systems are designed to recognize people based on their biological information such as hand geometry, earlobe geometry, fingerprints, retina, voice waves, DNA, and others. Biometric systems are immensely popular due to the growing adoption of fingerprint-based authentication systems in mobile phones, primarily to unlock them. However, biometric systems have a wide range of applications in the banking & finance industry, especially to make transactions. Hence, key players have been investing heavily in the development of new solutions for the banking & finance industry. For instance, in December 2019, Libya’s Assaraya Trade and Investment Bank (ATIB) launched the e-KYC program based on fingerprint and face recognition.
The increasing adoption of biometric systems in mobile phones for various applications, growing use of biometric systems in the healthcare industry for access control, identification, & workforce management, and increasing application of biometric systems in the automotive industry are the factors that will drive market growth. Moreover, the increasing use of biometric systems at offices to track employees’ attendance and punctuality is likely to supplement market growth. However, security concerns, lack of skilled workforce to operate biometric-as-a-service, and data storage issues are the major factors that will act as restraints for biometric system market growth.
The global biometric system market can be segmented into authentication type, offering, functionality type, end-user, and regions.
Biometric System Market By Authentication Type
Based on authentication type, the market can be segmented into single-factor authentication and multi-factor authentication. Single-factor authentication accounts for the largest market share and is expected to continue its dominance for a few years owing to high adoption rates of single-factor authentication in various end-use industries such as consumer electronics, banking & finance, automotive, and military & defense due to its advantages such as easy to use & install, cost effective, low error rates and others. Also, the increasing use of fingerprint authentication at offices to track attendance and punctuality is one of the major factors driving growth of the single-factor authentication segment.
Biometric System Market By Offering
Based on offering, the market can be segmented into hardware and software. The software segment is expected to grow at the highest CAGR during the forecast period (2019-2030) owing to the increasing adoption of cloud-based biometric systems across the globe, which demands the right software to increase the compatibility of the biometric systems with different applications.
Biometric System Market By Functionality Type
Based on functionality type, the market can be segmented into contact, noncontact, and combined. The contact segment accounts for the largest market share owing to its widespread advantages, such as ease of installation, cost-effectiveness, high durability, and others, when compared with other segments. Additionally, the growing adoption of fingerprint authentication in the banking & finance sector is fueling growth of the contact segment.
Biometric System Market By End User
Based on end-user, the market can be segmented into banking & finance, consumer electronics, healthcare, automotive, government, military & defense, and others. In 2018, the banking & finance segment dominated the global biometric system market. The increasing use of biometric authentication for mobile banking and the growing popularity of mobile wallets across the globe are the major driving factors driving the banking & finance segment.
Biometric System Market By Region
Based on region, the global biometric system market can be segmented into North America, Europe, Asia Pacific, and the Rest of the World (ROW). In 2018, North America accounted for the largest market share and is expected to continue its dominance over the next few years. This growth can be attributed to growing digitalization, increasing acceptance of smart technologies, and rising government initiatives aimed toward public safety.
Biometric System Market Prominent Players
Some of the prominent players in the global electric vehicle market include NEC Corporation, Integrated Biometrics, LLC, HID Global Corporation/ASSA ABLOY AB, SUPREMA, SecuGen Corporation, and FUJITSU, among others