Global biometrics market to surpass $45B by 2024, reports Frost & Sullivan
The market for global biometrics is forecast to reach $45.96 billion in 2024, based on a compound annual growth rate of 19.6 percent, due largely to growing investment by the public sector in eGovernance and an enhanced number of opportunities created by partnerships between tech and biometric companies, says Frost & Sullivan’s report Global Biometrics Market, Forecast to 2024.
Advanced technologies such as IoT, along with smartphones and the pervasiveness of mobile biometrics have been the main drivers of biometric identity authentication demand. Border management is identified as an area expected to drive market growth over the forecast period to meet operational efficiency and customer experience goals.
“Rapid developments in eCommerce, Artificial Intelligence (AI), and blockchain are prompting biometric vendors to constantly innovate and make the most of the market demand for advanced biometrics,” said Nandini Bhattacharya, Industry Manager for Industrial at Frost & Sullivan, in a prepared statement. “Therefore, there is likely to be a spurt in the number of partnerships between biometric vendors and emerging technology companies.”
The report takes a closer look at top trends that will affect market growth both regionally and technologically by making a deep dive analysis of major competitors and their solution portfolios which include biometric technologies such as fingerprint, face, iris, vein, voice, DNA, palm prints, hand geometry, signature and behavioral features.
“Investments by governments are a major source of revenue for biometric vendors globally. The rising implementation and adoption of biometric border management, ePassports, and facial surveillance in cross-border applications are expanding the market for biometric technologies, especially fingerprint and face,” noted Bhattacharya. “Regionally, Asia-Pacific will experience the highest growth due to increased government spending on biometric-authorized applications.”
To take advantage of opportunities in the growing market, biometric vendors will have to come up with behavioral and multimodal biometrics technologies, enter strategic partnerships with vendors to make sure their solutions are in line with market demands, make Biometric-as-a-Service available for government and commercial applications, add an AI engine or introduce an IoT strategy to meet demand in commerce, automotive and finance. Frost & Sullivan analysts also recommend biometrics vendors focus on interoperability and deployment details to ensure maximum usability.
Global Biometrics Market, Forecast to 2024 is part of Frost & Sullivan’s global Automatic Identification & Security Growth Partnership Service program.
Grand View Research forecasts the global market to reach $59.3 billion by 2025 on a nearly identical growth rate in a report published last year, and according to market research by Pitchbook, VCs invested $900 million in authentication and identity last year. A BIS Research report available from ResearchAndMarkets.com estimates the market for biometric authentication and identification at nearly $52 billion by 2023.
Biometrics Research Group estimates the market will reach $55.5 billion by 2025.
Growth in biometric hardware such as access control equipment, body-worn cameras, and surveillance cameras will drive global revenues from hardware alone to $19 billion by 2024, according to ABI Research. Electronic identity and document verification (eIDV) and digital identity will also register tremendous growth, as Goode Intelligence predicts it to be a $27.38 billion market opportunity by 2024.