Global biometric authentication and identification market 2020-2026, by end user
In 2020, the global biometric authentication and identification market was valued at over 3.5 billion U.S. dollars, with the most valuable end users being government bodies and border management bodies. By 2026, the global authentication and identification market is forecast to reach nearly 8.8 billion U.S. dollars, with banking and financial institutions' end users exceeding two billion U.S. dollars.
Biometrics, which refers to the measurement and analysis of people's unique physical characteristics, was considered the best form of passwordless authentication method in 2022. Such methods reduce the risk of dangerous password management practices and decrease the number of ways attackers can hack into accounts. Additionally, users no longer have to deal with password fatigue or remember the answers to security questions. Examples of biometric technologies include facial, voice, and iris recognition, as well as automated fingerprint identification and signature verification. Automated fingerprint identification systems recorded a market revenue of nearly nine billion U.S. dollars in 2022, with forecasts suggesting this will reach around 20 billion U.S. dollars by 2027. However, face recognition is expected to be the biometrics segment with the highest increase in usage in the upcoming years.
Despite its advantages, biometric technology is facing serious concerns, ranging from privacy and data protection to a lack of legislation and governance. In 2022, 62 percent of respondents from Europe considered the existing legislation on the use of biometrics to be strict enough, against only 30 percent of respondents from the Americas. To address these concerns, educating users about the benefits and risks of biometrics while ensuring that these systems are secure and transparent is essential.
A more secure alternative to passwords
Biometrics, which refers to the measurement and analysis of people's unique physical characteristics, was considered the best form of passwordless authentication method in 2022. Such methods reduce the risk of dangerous password management practices and decrease the number of ways attackers can hack into accounts. Additionally, users no longer have to deal with password fatigue or remember the answers to security questions. Examples of biometric technologies include facial, voice, and iris recognition, as well as automated fingerprint identification and signature verification. Automated fingerprint identification systems recorded a market revenue of nearly nine billion U.S. dollars in 2022, with forecasts suggesting this will reach around 20 billion U.S. dollars by 2027. However, face recognition is expected to be the biometrics segment with the highest increase in usage in the upcoming years.
Addressing privacy concerns
Despite its advantages, biometric technology is facing serious concerns, ranging from privacy and data protection to a lack of legislation and governance. In 2022, 62 percent of respondents from Europe considered the existing legislation on the use of biometrics to be strict enough, against only 30 percent of respondents from the Americas. To address these concerns, educating users about the benefits and risks of biometrics while ensuring that these systems are secure and transparent is essential.
