PUBLISHER: MarketsandMarkets | PRODUCT CODE: 1583646
PUBLISHER: MarketsandMarkets | PRODUCT CODE: 1583646
The global NFC market was valued at USD 21.69 billion in 2024 and is projected to reach USD 30.55 billion by 2029; it is expected to register a CAGR of 7.1% during the forecast period. NFC technology is widely used in industries such as retail, transportation, automotive, consumer electronics, banking & finance, and hospitality. Some of the most common use cases of NFC in these verticals include product identification, inventory management, access control, payments & transactions, and data transfer, among others. Benefits such as easy and secure contactless payments and data transfer will boost the demand for NFC technology in the coming years. Mobile payment applications, both online and in-store, are expected to drive the NFC market in the future.
Scope of the Report | |
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Years Considered for the Study | 2020-2029 |
Base Year | 2023 |
Forecast Period | 2024-2029 |
Units Considered | Value (USD Billion) |
Segments | By Offering, Operating Mode, Use Cases and Region |
Regions covered | North America, Europe, APAC, RoW |
"Peer-to-peer segment is expected to grow at the impressive CAGR during the forecast period."
The peer-to-peer segment is projected to grow significantly during the forecast period as this mode allows direct communication between two NFC devices. The demand for secure and efficient payment solutions and data transfer options in sectors like retail and healthcare is driving the growth in this mode. Further, ongoing advancements in NFC technology and its integration with other technologies such as IoT and blockchain, are expected to further boost this segment. The peer-to-peer mode also offers several key benefits, like ease of use, quick data transfer, and reduced risk of unauthorized access. Additionally, it supports various other functions such as sharing contact information and transferring files.
"Retail segment is likely to hold the second largest market in 2024."
The NFC application has shown tremendous growth in the retail industry, owing to the production of NFC-enabled smartphones. These phones have an embedded NFC chip; the consumers only have to wave the mobile phone in front of the NFC tag, and the required balance gets deducted from their account with the help of banking gateways and trusted service managers. The purchasing of the goods and services and their payment is done either online or at the point-of-sale. In the retail industry, NFC technology is used for access control, product identification, and transaction applications.
"The North America segment is likely to grow at the second highest CAGR during the forecast period."
The US is one of the leading adopters of advanced technologies such as AI and IoT, and consistently pushing the implementation of automation across various industry verticals ranging from retail to automotive. US also ranks among the top three nations in terms of expenditure on smart city initiatives that include the implementation of contactless technologies such as NFC for access control and ticketing. Additionally, government support for technological development and favorable regulatory frameworks to develop and implement technologies such as NFC, AI, and IoT to accelerate the growth of NFC market in the country.
Breakdown of primaries
The NFC market is dominated by a few globally established players such as NXP Semiconductors (Netherlands), Broadcom (US), Qualcomm Technologies, Inc. (US), Texas Instruments Incorporated (US), STMicroelectronics (Switzerland), Renesas Electronics Corporation (Japan), ams-OSRAM AG (Austria), Thales (France), and Infineon Technologies AG (Germany). The study includes an in-depth competitive analysis of these key players in the NFC market, with their company profiles, recent developments, and key market strategies.
The report segments the NFC market and forecasts its size by signaling technology, offering, type, operating mode, vertical, and region. The report also discusses the drivers, restraints, opportunities, and challenges pertaining to the market. It gives a detailed view of the market across four main regions-North America, Europe, Asia Pacific, and RoW. Supply chain analysis has been included in the report, along with the key players and their competitive analysis in the NFC ecosystem.