Biometric Technology Market Expected to Reach $127.32 Billion by 2030

According to a recent report published by Allied Market Research, titled, “Biometric Technology Market by Component, Type, and End User: Global Opportunity Analysis and Industry Forecast, 2021-2030,”

The global biometric technology market was valued at $34.95 billion in 2020, and is projected to reach $127.32 billion by 2030, growing at a CAGR of 14.1% from 2021 to 2030.

Major players in the biometric technology market have undertaken various strategies to offer the consumers various types of innovative biometric technology based products. In addition, these players have collaborated and partnered with other players to further expand their services in a global level. For instance, on September 2021, Imageware, a leader in biometric identification and authentication, announced a global partnership with TECH5, an innovator in the field of identity management solutions, to become a value-added reseller ("VAR") for its solutions. Through this agreement, all TECH5 offerings are available through integration with the existing Imageware product portfolio.

Moreover, On May 2020, NEC Corporation announced the development of a multimodal biometric authentication terminal incorporating face and iris recognition technologies that have been recognized as the benchmark tests for identification technologies conducted by the U.S. National Institute of Standards and Technology (NIST), and are core technologies of NEC's multimodal biometric authentication brand, "Bio-IDiom". This reinforces NEC's ability to provide high levels of authentication accuracy and convenience for users throughout a wide range of environments.

Furthermore, BIO-key International, Inc., an innovative provider of civil, workforce and customer identity and access management (IAM) solutions featuring Identity-Bound Biometrics, announced the availability of BIO-key MobilePOS Pro, a handheld, biometrically enabled, rugged and powerful Android Point of Sale terminal, incorporating an FBI-certified capacitive fingerprint scanner into an all-in-one form factor featuring a thermal printer, high-resolution 5 megapixel camera, dual SIM 4G/LTE/CDMA/EDGE cellular and 802.11 b/g/n WiFi support, a barcode scanner, NFC scanner, triple-track magnetic stripe reader, long life 5800 mAh battery and large 5.5” touch screen display.

The new device enables self-contained mobile in-person commerce, ideal for banking, social- and aid-workers, healthcare-related transactions, including enrollment, identification, payment transactions, proof of presence/proof of life ID verification for secure, fraud-free transactions, supporting both BIO-key’s fingerprint, and contactless PalmPositive identity verification solutions for absolute confidence about exactly who is participating in a transaction. Therefore, these strategies have enhanced the market competition and offering to the customers, which propels the growth of the biometrics technology market.

Biometric technologies have rapidly become a part of the daily life of people around the world. Through integration with mobile devices, users can interact with some form of biometric authentication daily. Furthermore, the future of biometric technology is rapidly growing in medicine, banking services, marketing research, and many other industries in which personal identification is required. In addition, many biometric services are currently under development and testing. However, in a few years, these biometric technologies will be introduced everywhere. Hence, these factors are expected to create an immense opportunity for the biometric technology market forecast.

The biometric technology market is segmented on the basis of component, type, end user, and region. On the basis of component, it is segmented into hardware and software. By type, it is segmented into physiological biometrics and behavioral biometrics. The physiological biometrics segment is further sub segmented into face recognition, iris recognition, fingerprint recognition, hand geometry and others. The behavioral biometrics segment is further divided into signature recognition, voice recognition and others. By end user, it is bifurcated into public sector, BFSI, healthcare, it and telecommunication and others. By region, it is analyzed across North America, Europe, Asia-Pacific, and LAMEA.

On the basis of type, the behavioral biometric segment is expected to grow at a fastest rate during the forecast period. This is attributed to the fact that very low efforts are required by the users for data collection. Moreover, there is no particular hardware apart from a traditional keyboard for the authentication process by the system.

By region, the biometric technology market is being dominated by North America in 2021, and is expected to maintain this trend during the forecast period. Attributed to the growth in use of web applications and internet has increased the demand for security and verification on account of the increased threat of cyber-attacks and data pilfering. The most vulnerable data is found to be in government databases, large organizations, and the defense sector, where the need for higher security, which act as factors that boost the growth of the biometric technology industry in the region.

The biometric technology market has been moderately impacted by the COVID-19 outbreak. This is attributed to the fact that during the COVID-19 pandemic, people started wearing face masks and avoided touching any surface because of the fear of spread of virus. This resulted in decrease in demand for various devices such as fingerprint biometric, vein recognition and others. However, the demand for other biometric devices such as face recognition, iris recognition, as it involves zero touch and offers accurate authentication without the spread of virus. Therefore, these factors have increased the demand for such devices. Therefore, the COVID-19 had a moderate impact on the biometric technology market size.

Key Findings of the Study

• By component, the hardware segment accounted for the highest biometric technology market share in 2020.
• By type, the physiological biometric segment led the biometric technology market in terms of revenue in 2020.
• By end user, the public sector segment accounted for the highest biometric technology market share in 2020.
• By region, North America generated the highest revenue in 2020.

The key players profiled in the biometric technology market analysis are 3M Company (Congent Systems, Inc.), Fujitsu Frontech Limited, Imageware Systems, Inc., Suprema, Inc., Safran S.A. (IDEMIA), secunet Security Networks AG, Thales S.A., BIO-key International, NEC Corporation and Precise Biometrics. These players have adopted various strategies to increase their market penetration and strengthen their position in the industry.