How Has the Contactless Biometrics Technology Market Evolved Historically and What is its Current Size?
The contactless biometrics technology market has seen considerable growth due to a variety of factors.
• The market for contactless biometrics technology has seen a substantial expansion recently. The projections indicate an increase from $17.09 billion in 2024 to $20.34 billion in 2025, marking a compound annual growth rate (CAGR) of 19.0%.
The historical growth pattern can be traced back to the emergence of mobile technology, stringent demands for retail and hospitality, efficient workforce management and the adoption by the financial sectors.
What Is The Projected Growth Of The Contactless Biometrics Technology Template Market?
The contactless biometrics technology market is expected to maintain its strong growth trajectory in upcoming years.
• The market size for contactless biometrics technology is predicted to undergo swift expansion in the coming years, surging to $40.88 billion by 2029 with a CAGR of 19.1%.
The boost within the forecast period could be tied to factors such as the heightened necessity for security, the uptick in demand for fraud deterrence, the need for effortless transactions, as well as national security worries and geopolitical influences. Key trends expected in the forecast period encompass more convergence with IoT technology, broader application in the healthcare sector, improvements in the precision of facial recognition, and increased intergration with wearable gadgets.
What Are The Key Drivers Fueling Growth In The Contactless Biometrics Technology Market?
The contactless biometrics technology market is anticipated to expand due to rising security concerns. These concerns pertain to the fear of safeguarding assets, data, systems, or individuals from various risks, vulnerabilities, and threats and can manifest on personal, organizational, or societal levels, highlighting an array of potential security problems. These security vulnerabilities are mitigated by contactless biometrics technology, which offers secure and user-friendly authentication techniques that substantially curtail fraud and intensify security in multiple sectors. For instance, as per a study titled Ecommerce fraud trends and statistics 2024, presented by Mastercard, a global payments network based in the U.S., the global ecommerce fraud losses touched $41 billion in 2022 and are anticipated to cross $48 billion in 2023. The most rapidly growing threat being promotional exploitation, causing U.S. retailers a loss of over $89 billion per year. Friendly Fraud is projected to represent 61% of all chargebacks, leading to merchants bearing a cost of over $100 billion in the current year. Also, there has been a surge of 131% in Account Takeover (ATO) towards the end of 2022, posing a significant danger to online retailers. Hence, the driving force behind the contactless biometrics technology market's growth is the intensifying security concerns.
What Are The Principal Market Segments In The Global Contactless Biometrics Technology Industry?
The contactless biometrics technology market covered in this report is segmented –
1) By Type: Face Recognition, Iris Recognition, Voice Recognition, Fingerprint Recognition, Other Types
2) By Component: Hardware, Software, Services
3) By End Use Industry: Healthcare, Defense And Security, Banking Financial Services And Insurance (BFSI), Government, Other End Users
Subsegments:
1) By Face Recognition: 2D Face Recognition, 3D Face Recognition, Thermal Face Recognition, Facial Landmark Recognition, Other Face Recognition Techniques
2) By Iris Recognition: Near Infrared Iris Recognition, Long Range Iris Recognition, Multimodal Iris Recognition, Other Iris Recognition Techniques
3) By Voice Recognition: Speaker Identification, Speaker Verification, Text-independent Voice Recognition, Text-Dependent Voice Recognition, Other Voice Recognition Techniques
4) By Fingerprint Recognition: Optical Fingerprint Recognition, Capacitive Fingerprint Recognition, Ultrasonic Fingerprint Recognition, Thermal Fingerprint Recognition, Other Fingerprint Recognition Methods
5) By Other Types: Hand Geometry Recognition, Vein Recognition, Signature Recognition, Gait Recognition, DNA Recognition, Other Emerging Biometric Technologies
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How Are New Trends Impacting The Size Of The Contactless Biometrics Technology Market?
Prominent organizations in the contactless biometrics technology market, such as Moqi, are turning towards the creation of innovative products like the MOQI A1 Pro contactless biometric scanners to cater to the increasing need for contactless biometrics technology. These scanners are essentially a form of biometric identification or verification that demands no physical contact with the device. Facial recognition, iris identification, and contactless fingerprint detection are some of the techniques used by these technologies to identify people based on their distinctive physical traits. For example, Moqi, a technology company based in China, introduced the MOQI A1 Pro in June 2022. This contactless Livescan solution is engineered to record high-definition fingerprints swiftly and accurately, regardless of whether the fingers are dry, damp, or rough. This scanner can create rolled and flat fingerprints from a single contactless scan, providing a greater capture area and superior image quality compared to traditional contact-based scanners. The key aspect of this procedure is the device's structured lighting system, granting precise and sanitary fingerprint scanning. Moreover, the scanner has a stylish black matte design and boasts an IP64-rating for water and dust resistance, operating effectively in temperatures between 0 and 50°C. The scanner also comes equipped with integrated stereo speakers and status LEDs to help guide the users during the scanning process.
Who Are the Key Players In The Contactless Biometrics Technology Market?
Major companies operating in the contactless biometrics technology market are:
• 3M Cogent Inc.
• Fujitsu Limited
• NEC Corporation
• Thales Group
• BIO-key International Inc.
• Assa Abloy AB
• IDEMIA SAS
• Synaptics Incorporated
• HID Global Corporation
• Zwipe AS
• Fingerprint Cards AB
• Precise Biometrics AB
• Crossmatch Technologies Inc.
• Aware Inc.
• Innovatrics s.r.o.
• nVIAsoft Corporation
• Touchless Biometric Systems AG
• Gemalto N.V.
• FaceFirst Inc.
• CrossCore Biometrics LLC
• M2SYS Technology Inc.
• Cognitec Systems GmbH
• Egis Technology Inc.
• Suprema Inc.
• Veridium Corporation
What Are The Regional Insights Into The Contactless Biometrics Technology Market?
North America was the largest region in the contactless biometrics technology market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the contactless biometrics technology market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
