July 24, 2015 -
Research analyst group IndustryArc announced it has published a new report entitled “Next Generation Biometrics Market Analysis (2014 – 2020)“, which explores the market by authentication type, biometric type, and by application.
Perhaps one of the report’s most significant findings is that the biometrics market is forecast to reach $19.7 billion by 2020.
This significant growth in the biometrics market is driven by an increasing demand for data protection in electronic devices, financial services and government documents.
The report states that fingerprint technology is the dominant segment of the biometrics market, accounting for 55% market share in 2014.
And while fingerprint sensors and fingerprint biometric devices are deployed for government operations, physical access, patient management, POS terminals and many others, its inclusion into consumer electronics, particularly smartphones, is the biggest driving factor for the market.
As the market continues to grow, convenience will become the major factor in driving the adoption of biometrics.
Recognizing this, companies have responded by releasing products to suit the requirement, such as NEC Corporation launch of the thinnest and lightest multi-finger print capture device named NeoScan 45.
The report also finds that by 2020, 92% of the biometric devices employed in enterprises will be multi-factor authentication methods.
Additionally, more acquisitions will occur in the next five to ten years as major companies set out to acquire strong and emerging players with an innovative product portfolio to expand their market share, according to the report.
The market is hugely profitable for biometric sensors in terms of volume, with shipments expected to increase as a result of fingerprint sensors being integrated into smartphones.
Although the market is characterized by established brands with high revenue, high R&D capital reserves and well instituted distribution channels, it is also being disrupted by firms offering an innovative solution to solve specific tasks, states the report.