Global Biometrics Technology Market: Snapshot

Biometrics helps in verifying the identity of a person based on physiological or behavioral characteristics. Specifically, traditional authentication methods such as magnetic cards, personal identification cards, passwords or keys are vulnerable to attacks and can be easily stolen. Biometrics technology identifies an individual on the basis of their fingerprints, face, signature, DNA, iris, typing rhythms and provides convenient and secure authentication. With the thriving Internet-based commerce such as online banking and rising need for precise verification while accessing accounts, biometrics technology is considered to be the most convenient and simplest solution.

Biometric systems are designed with a storage component for biometric data samples of individuals and are linked to the information on their identity. Traditional methods could be compromised; for instance, a PIN or password could be forgotten or a key could be lost, but biometric traits are difficult to steal or forget.

Thanks to these factors, the biometrics technology market is expected to expand with impressive CAGR of 20.80% over the forecast period from 2013 to 2019 to reach up to the value of US$23.3 bn by 2019, TMR observes. The report, titled “Biometrics Technology Market - Global Industry Analysis Size Share Growth Trends and Forecast 2013 - 2019”, is available on the company website.

Cost Effectiveness and User Friendliness to Propel Growth

On the basis of type, the global biometrics technology market is categorized into non-AFIs, IRIs, hand geometry, signature, voice, AFIs, and others. Of these, in 2012, the non-AFIS segment dominated the biometrics market. This was due to its cost effectiveness and user friendliness. Additionally, non-AFIS systems are more flexible and convenient as compared to other recognition systems and require low maintenance.

On the basis of end-user, the global biometrics technology market is categorized into banking and finance, government, consumer electronics, defense services, healthcare, commercial safety and security, transport/ visa/ logistics, home safety and security, and others. Of these, transport/visa/logistics end use segment accounted for the largest market share in 2012. This was due to the increasing need for inspecting traveler’s credentials in order to establish their identity which is a part of border security. The banking end use segment is expected to grow at the highest growth rate in the upcoming years.

Rising Security Concerns to Boost Growth in North America

On the basis of region, the global biometrics technology market is segmented into North America, Europe, Asia Pacific, Latin America, and Middle East and Africa. The biometrics technology market in North America and Europe is relatively developed. Rising security concerns due to the terror attacks and crimes and rising government projects such as national identification programs, e-passports etc. are primarily responsible for the growth of biometrics technology in Asia Pacific region. Some of the countries which have implemented such programs include India, China, Indonesia, Israel and South Korea among others.

Some of the key players operating in the global biometrics technology market are Safran Morpho, 3M Cogent, NEC Corporation, BIO-Key International and DigitalPersona. These companies aim to expand their customer base with the aid of strategic alliances, development of innovative products and capitalizing more in research and development activities. Such business strategies would help the companies to uphold a stable position in the global market.

Biometrics technology is the preferred security system of modern times due to the high level of security it provides against crime and terror attacks. Biometrics technology uses an individual’s unique physiological traits for identification. It is considered failsafe because these traits, such as fingerprints or iris patterns, cannot be duplicated. The conventional means of authentication such as passwords are susceptible to attacks and have a high probability of being lost or forgotten. For such reasons, biometrics technology has extensive application in government initiatives such as e-passports, national identity programs, and border control programs.
The widespread use of biometrics technology is visible in its extensive application in developed nations. As much as 1.2 billion people from developing nations have also received identification through biometrics.
The biometrics technology report makes use of industry-centric tools for business planning and scope of expansion, investment proposition, financial modeling, and competitive analysis. 
Overview of the Biometrics Technology Market
As per estimates from experienced analysts, rising national security concerns will help the global biometrics technology market reach US$23.3 billion by 2019. Currently, North America leads the global biometrics technology market, followed by Europe. Together, these two developed regions account for 57.7% of the total revenue of the market. Among other regions, Asia Pacific and Rest of the World (RoW) are growing the fastest and this hierarchy is anticipated to continue.
Flourishing internet-based services such as online banking and e-commerce require precise identification and will thus propel the biometrics technology market. Further, biometrics technology offers permanent, universal, quantifiable, and unique features that will contribute to the growth of the market by 2019.
Among the many applications of biometrics technology, the non-Afis segment led the market in 2012 owing to its cost benefits and ease of use. Moreover, the non-Afis application segment offers flexibility and requires lower maintenance than other recognition systems. However, the iris application segment has massive untapped potential as an emerging technology in areas of high-end security and access control. This is attributed to its unobtrusive, contact-free and safe identification method. This application segment offers extensive security by carrying out one-to-many identification. Systems that employ iris recognition are robust yet small and thus integrate easily into large electronic systems.
The growth of iris biometrics technology systems is further enhanced by their increased use for national ID drives, control for access to networks, and banking services. Thus, iris recognition systems are anticipated to grow the fastest within the global biometrics technology market in the coming years. However, the high cost associated with biometric recognition systems and the unreliability of some types may challenge the growth of the market.
Major Companies in the Biometrics Technology Market
The report discusses business verticals, recent developments, financial overview, and SWOTs for the key players in the biometrics technology market, namely NEC Corporation, Bio-Key International Inc., Safran Morpho, 3M Cogent Inc., and Cognitec Systems Gmbh.
Major Application Type Segments of Biometrics Technology Market
  • Non-Afis
  • Iris
  • Hand Geometry
  • Signature
  • Voice
  • Afis
  • Others
Major End-User Segments of Biometrics Technology Market
  • Banking and Finance
  • Government
  • Consumer Electronics
  • Defense Services
  • Healthcare
  • Commercial Safety and Security
  • Transport/ Visa/ Logistics
  • Home Safety and Security
  • Others (hospitality, retail, gaming, and automobile)
Major Geographical Segmentation of Biometrics Technology Market
  • Asia Pacific
  • North America
  • Rest of World (RoW)
  • Europe
This report gives you access to decisive data such as:
  • Market growth drivers
  • Factors limiting market growth
  • Current market trends
  • Market structure
  • Market projections for the coming years
Key highlights 
  • Overview of key market forces propelling and restraining market growth
  • Up-to-date analyses of market trends and technological improvements
  • Pin-point analyses of market competition dynamics to offer you a competitive edge
  • An analysis of strategies of major competitors
  • An array of graphics and SWOT analysis of major industry segments
  • Detailed analyses of industry trends
  • A well-defined technological growth map with an impact-analysis
  • A clear understanding of the competitive landscape and key product segments