Allied Market Research (AMR) believes that the demand for fingerprint recognition technology will explode over the course of the current decade, octupling from $8.4 billion in 2020 to a phenomenal $68 billion in 2030. Those figures represent a stellar CAGR of 23.3 percent.
The new report specifically concerns Automated Fingerprint Identification Systems (AFIS), and suggests that the fingerprint recognition market will rebound from its downturn during the pandemic. AMR attributed the dip to disrupted supply chains and production shortfalls, but expects growth to resume at a breakneck pace once the world starts to stabilize.
Much of the demand will come from the government sector, which accounted for a quarter of the AFIS market in 2020. Many government agencies use fingerprint authentication for security, while law enforcement agencies create databases to aid their investigations. However, the technology is becoming increasingly popular in the financial sector, where it is being integrated into smartphones and ATMs to facilitate transactions online and in-person. The hospitality segment, meanwhile, is expected to display the highest CAGR during the forecast period.
North America produces roughly a third of the revenue in the AFIS market, though the Asia Pacific region will have a higher CAGR of 26.6 percent. Hardware accounts for more than half of the market by component, due in large part to the use of AFIS tech in law enforcement. In that regard, the new report supplements a previous AMR report that predicted that the market for fingerprint sensors would hit $9.41 billion in 2027. The software segment will nevertheless grow at a faster rate, even as the hardware segment retains its leading status.
AMR listed Thales, IDEMIA, SecuGen, HID Global, Precise, Innovatrics, Suprema, and Aware as some of the key players in the AFIS space. In reports that were published before the pandemic, Grand View predicted that the AFIS market would reach $12.46 billion in 2025, while Stratistics claimed that it would climb to $26.55 billion in 2026.
February 17, 2022 – by Eric Weiss