PUBLISHER: Grand View Research | PRODUCT CODE: 1588339
PUBLISHER: Grand View Research | PRODUCT CODE: 1588339
The global contactless biometrics technology market size is expected to reach USD 46.6 billion by 2030, registering a CAGR of 17.1% from 2025 to 2030, according to a new report by Grand View Research, Inc. Contactless biometrics technology is used for identification and authentication without the need for any physical contact. Contactless biometrics is a safer and more innovative verification mode based on convenience and hygiene. Moreover, owing to the impact of the COVID-19 pandemic, contactless biometrics technology is widely being adopted by key markets for applications such as border control, law enforcement, surveillance, healthcare, and biotechnology. For instance, facial recognition biometric systems in China are being used to detect individuals not wearing facemasks.
The promising growth prospects of the market can be attributed to the vast advantages of contactless biometrics, including a high level of security in the private, public, and commercial sectors. The technology records unique human characteristics, such as the retina, fingerprints, DNA, and voice patterns, for authorization. Furthermore, the increased adoption of biometrics technology across several verticals in the public, private, and commercial sectors for enhancing security is expected to work well for the market.
The rising adoption of Artificial Intelligence (AI) and cloud-based services for biometric devices is anticipated to propel the demand for associated software to fortify the compatibility of operating systems and devices for different applications. Growing demand for fast and secure access controls, queue-less passenger checks, seamless border crossing, and faster identification of individuals for better convenience and security are some of the key factors driving the market's growth. Manufacturers are developing contactless biometric high-tech sensor systems through fast software algorithms and machine-learning methods for fast and secure identity checks.
The rise of digital banking across the globe is the major impetus behind the increased introduction of voice and facial recognition in the banking and financial sectors. For instance, Citigroup Inc. introduced voice biometrics to verify customers' identities. The use of contactless biometrics authentication for banks offers an additional, convenient, and user-friendly way of verifying their customers, thus delivering a consistent and superior user experience with strong and secure authentication across channels. The demand is steadily increasing amid the COVID-19 outbreak. The pandemic has also influenced various digital businesses, which are now developing facial recognition systems to secure their online platforms.
The implementation of biometrics technology can be a costly affair for any enterprise. The high cost associated with the hardware, software, and support services required to implement a biometrics system is presently one of the main challenges for the market. However, technological advancements and the increasing use of these technologies may gradually reduce the overall implementation cost. The demand for biometrics technology is expected to grow significantly in the healthcare sector, owing to the rapid technological advancements and use of biometrics for protecting patient privacy, curbing false insurance claims, and other healthcare frauds.