Just within the past couple of years, the biometrics market has become firmly established as advances in technology and improved mobile devices enable use cases that were previously thought impossible, or in some cases never imagined. According to a new report from Tractica, biometrics use cases split into two distinct threads: consumer-facing use cases are typically high-volume at a low price, while enterprise-facing use cases (including government and defense) are typically much smaller volumes but utilize more expensive devices.
Tractica forecasts that the global biometrics market will increase from $2.0 billion in 2015 to $14.9 billion by 2024, with a compound annual growth rate (CAGR) of 25.3% and cumulative revenue for the 10-year period totaling $67.8 billion.
“The biometrics market is finally here to stay,” says principal analyst Bob Lockhart. “After a long wait, use cases that were once a gleam in the eye are reality. Biometric voter registration removes barriers of poverty and illiteracy, and it can run on a tablet. Consumers can authenticate financial transactions with a fingerprint, voice, eyes, or even an electrocardiogram, all with far lower risk than passwords that can be stolen and used on the other side of the world.”
The market intelligence firm anticipates that key industries in the biometrics market over the next decade are likely to be finance, consumer devices, healthcare, and government, followed by enterprise applications, defense, education, law enforcement, and non-government organizations. Key use cases that are likely to drive biometrics revenue over the next decade include consumer device authentication, mobile banking, automated teller machines (cashpoints), government IT systems, point-of-sale transactions, pharmacy dispensing, and wearable device authentication. Biometric modalities that are likely to generate the most revenue include fingerprint, iris image, and voice recognition.
Tractica’s report, “Biometrics Market Forecasts”, is based on a comprehensive and detailed 10-year market forecast for biometrics hardware and software during the period from 2015 through 2024. The forecasts are based upon analysis of 142 distinct use cases, each of which is forecast by world region and derived from separate forecasts for each OECD income level within a region. Biometrics revenue and device shipment forecasts are further segmented by industry, modality, device type, and use case. An Executive Summary of the report is available for free download on the firm’s website.