Biometric Systems Market to Be Worth $84.5 Billion by 2029

Research firm MarketsandMarkets values the global biometric systems marke at $47.2 billion now and expects it to reach $84.5 billion by 2029, growing at a compound annual rate of 12.3 percent.

MarketsandMarkets found that single-factor authentication holds the largest market share in the biometric systems market because of its wide acceptance, simplicity, and cost-effectiveness, noting that fingerprint, iris, face, and voice recognition technologies are among the most popular applications. Improvements to these technologies in recent years have significantly improved their accuracy and speed, while broader applicability, established reliability, and lower complexity contribute to their market dominance.

But that could change soon. Fellow research firm Technavio expects the market for multi-factor authentication (MFA) solutions to grow by $38.97 billion through 2028, at a CAGR of 28.83 percent, largely due to the sharp increase in the volume of online transactions and increasing cyber threats in business environments.

However, the lack of awareness and inconvenience associated with MFA implementation can be a challenge for some businesses, Technavio said. Other challenges it found include high costs, difficulties maintaining and managing MFA systems in heterogeneous IT environments, and heavy support requirements as ensuring interoperability between different technologies can be complex

MarketsandMarkets also expects the healthcare industry to grow the most in the biometric system market, with an increase in demand for a secure and efficient patient identification and data management method. Biometric systems provide higher security and compliance with regulatory standards in access control to sensitive data, electronic health records, and medication-dispensing units, it said. At the same time, it has seen the increasing adoption of telemedicine and remote patient monitoring accelerate the demand for biometric authentication to protect patient information.

MarketsandMarkets identified Thales Group, IDEMIA, NEC, ASSA ABLOY, Fujitsu, Precise Biometrics, secunet Security Networks, Anviz Global, Aware, and Cognitec Systems as the leading biometric systems vendors.

And when it comes to MFA technologies, Technavio's key market players include Beyond Identity, Broadcom, Duo Security, Entrust, FEITIAN Technologies, Frontegg, Fujitsu, FusionAuth, Giesecke Devrient, HID Global, Microsoft, NEC, Okta, OneSpan, Quest Software, RSA Security, SecureAuth, Thales Group, TransUnion, and Yubico.