Contactless Biometrics Technology Market

Contactless Biometrics Technology Market to Hit $30.12 Billion By 2027


The global Contactless Biometrics Technology market size is expected to be worth around US$ 30.12 billion by 2027, according to a new report by Vision Research Reports.

The global Contactless Biometrics Technology market size was valued at US$ 6.91 billion in 2019 and is anticipated to grow at a CAGR of 20.2% during forecast period 2020 to 2027.

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Growth Factors

The technology offers an innovative and much safer mode based on hygiene and convenience, amid the COVID-19 outbreak, which will boost the demand. Furthermore, rising demand for high level of security in commercial, public, and private sector is expected to drive the market growth. Growing usage of Automatic Identification and Data Capture (AIDC) technology in e-commerce and retail industry, BFSI sector, border control applications, and increasing support from government legislation to encourage the use of touchless authentication technology is further expected to drive the market growth.

Rising demand for security and surveillance owing to the increasing threats of terrorist attack and penetration of contactless biometrics solutions in enterprise applications is anticipated to propel the market growth. The demand is steadily increasing amid the COVID-19 outbreak. This pandemic has also influenced various digital businesses, which are now developing facial recognition systems to secure their online platforms.

Report Highlights

The software segment dominated the market with a share of over 45% in 2019 and is expected to maintain its dominance over the forecast period. Growing adoption of cloud-based services, Artificial Intelligence (AI), and Machine Learning (ML) for contactless biometrics solutions are expected to drive the demand for software to strengthen the compatibility of device for different applications. On the basis of component, the market is segmented into hardware, software, and service. The service segment is further segmented into professional services and managed services.

Growing demand for fast and secure access controls, queue-less passenger checks, seamless border crossing, and fast identification of individuals for better convenience and security is accelerating the market demand. Through fast software algorithms and machine-learning methods, manufacturers are developing contactless biometric high-tech sensor systems for fast and secure identity checks. Software also allows users to integrate the latest add-on features by just updating the software/application. Furthermore, various e-commerce companies such as, Inc. is also developing and marketing image recognition software, Amazon Rekognition, for users of Prime Photos service. The software allows users to detect faces, objects, and scenes to organize and filter their photos.

The iris segment is expected register significant growth over the forecast period. An iris-based system is accurate, fast, and convenient while eliminating payroll frauds such as buddy punching. The growing demand for iris biometrics technology within an organizations to process payroll and calculate other benefits such as disability, health, and vacation is expected to drive the demand for iris segment.

Growing COVID-19 pandemic across the globe is pushing everyone to minimize physical contact with common surface. Iris identification provides authentication solutions in national and civil ID programs, access control, and time attendance, among others. Furthermore, increasing adoption of iris technology by state and local agencies for border security is further expected to drive the growth. For instance, in April 2017, El Paso Police Department, U.S. started using biometrics technology which combines iris-scanning, facial recognition, and fingerprint identification capabilities to increase border security.

Government segment dominated the market 2019 and is expected to maintain its dominance over the forecast period. Governments across the globe started adopting contactless biometrics technology to minimize and control criminal activities. For instance, in November 2019, National Crime Records Bureau (NCRB), India, gathered bids from private companies to develop a centralized facial recognition surveillance system. The new system allowed police force for criminal identification and verifications process across the country.

The healthcare sector is expected to register considerable growth over the forecast period. The rapid technological advancements and AI-powered face and iris identification system allow hospital facilities to track patients without using physical tracking devices. Furthermore, emergence of real-time emotion detection, which is an application of face recognition in healthcare is also gaining popularity. It is used to detect emotions that patients exhibit during their stay in the facility. The data is used to determine how patients are feeling and also helps to identify where the patients need more attention in case, they’re in pain.

Regional Insights

North America dominated the market with a share of over 31% in 2019. This dominance can be attributed to presence of technology providers such as nVIAsoft Corporation, HID Global, M2SYS Technology, and BioConnect, in the region. Increasing demand for contactless biometrics solutions by payment solution providers to offer secure transactions to their customers in the region is further expected to drive the regional growth. For instance, in October 2019, SnapPay, Inc., a provider of payment solutions, announced the availability of facial recognition based payment technology for merchants in North America.

Rising adoption of contactless biometrics solutions in defense and government application is also expected to drive the demand for the market in North America. Furthermore, increasing government initiatives to implement contactless biometrics solutions to deal with increasing number of travelers and to increase security at airport facilities is expected to drive the regional demand. For instance, in 2018, the Canadian Border Services Agency installed kiosks, which utilize facial recognition technology at airports. The new technology utilized both facial recognition and fingerprint biometrics to facilitate clearance procedures to the travelers at airports in Canada.

Key Players

  • Aware Inc.
  • Fingerprint Cards AB
  • Fujitsu Limited
  • Gemalto N.V.
  • HID Global
  • M2SYS Technology
  • NEC Corporation
  • nViaSoft
  • Touchless Biometric Systems AG

Market Segmentation

Contactless Biometrics Technology Component Outlook 

  • Hardware
  • Software
  • Service
    • Professional Services
    • Managed Services

Contactless Biometrics Technology Application Outlook 

  • Face
  • Fingerprint
  • Hand Geometry
  • Iris
  • Voice
  • Others

Contactless Biometrics Technology End-use Outlook

  • Government
  • Banking & Finance
  • Consumer Electronics
  • Healthcare
  • Transport & Logistics
  • Defense & Security
  • Others

Contactless Biometrics Technology Regional Outlook 

  • North America
    • U.S.
    • Canada
  • Europe
    • U.K.
    • Germany
  • Asia Pacific
    • China
    • India
    • Japan
  • Latin America
    • Brazil
  • Middle East & Africa

The study objectives of this report are:

  • To analyze and study the global market capacity, production, value, consumption, status (2016-2019) and forecast (2020-2027);
  • Focuses on the key manufacturers, to study the capacity, production, value, market share and development plans in future.
  • Comprehensive company profiles covering the product offerings, key financial information, recent developments, SWOT analysis, and strategies employed by the major market players
  • To define, describe and forecast the market by type, application and region.
  • To analyze the global and key regions market potential and advantage, opportunity and challenge, restraints and risks.
  • To identify significant trends and factors driving or inhibiting the market growth.
  • To analyze the opportunities in the market for stakeholders by identifying the high growth segments.
  • To strategically analyze each submarket with respect to individual growth trend and their contribution to the market
  • To analyze competitive developments such as expansions, agreements, new product launches, and acquisitions in the market
  • To strategically profile the key players and comprehensively analyze their growth strategies.

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