Global Contactless Biometrics Technology Market Size By Offering, By Software, By Application, By End- User, By Geographic Scope And Forecast

Contactless Biometrics Technology Market Size And Forecast

Contactless Biometrics Technology Market size was valued at USD 20 Billion in 2024 and is projected to reach USD 54.1 Billion by 2032, growing at a CAGR of 14.61% from 2026 to 2032.

Contactless biometrics technology uses advanced sensors, cameras, and artificial intelligence to authenticate or verify an individual's identity without physical contact, offering a hygienic and efficient alternative to traditional contact-based systems.

Contactless biometrics technology is widely used across various sectors for enhanced security and user convenience. In the public sector, it is employed for border control, law enforcement, and national identification systems.

In the private sector, applications include secure access to buildings, devices, and sensitive information, as well as facilitating seamless customer experiences in banking, retail, and transportation.

The technology is also increasingly adopted in healthcare for patient identification and in educational institutions for secure access and attendance tracking.

Global Contactless Biometrics Technology Market Dynamics

The key market dynamics that are shaping the global contactless biometrics technology market include:

Key Market Drivers

Rising Demand for Security and Authentication: The increasing need for robust security solutions to combat fraud and unauthorized access drives the adoption of contactless biometrics, offering advanced, non-intrusive authentication methods for various applications. According to the U.S. Federal Trade Commission, identity theft reports increased by 45% from 2019 to 2023, reaching 1.8 million cases in 2023.

Growth in Smart Devices and IoT: The proliferation of smart devices and Internet of Things (IoT) technology boosts the demand for seamless, contactless biometric authentication, enabling secure access and transactions across interconnected systems. The International Data Corporation (IDC) reported in March 2024 that the global number of IoT-connected devices is expected to reach 55.7 billion by 2025, with a 12% CAGR from 2021 to 2025.

Health and Hygiene Considerations: Enhanced focus on health and hygiene, particularly in the wake of global health crises, accelerates the adoption of contactless biometrics, as it eliminates the need for physical contact and reduces the risk of spreading infections. The World Health Organization (WHO) released guidelines in December 2023 recommending contactless technologies, including biometrics, to minimize disease transmission in public spaces.

Advancements in Technology: Continuous advancements in biometric sensors, machine learning algorithms, and artificial intelligence improve the accuracy, speed, and reliability of contactless biometrics, driving market growth and broadening application areas. The National Institute of Standards and Technology (NIST) reported in January 2024 that the latest facial recognition algorithms achieved a 99.5% accuracy rate in ideal conditions, up from 95.6% in 2020.

Key Challenges:

Privacy and Data Security Concerns: Ensuring the secure handling and storage of sensitive biometric data is a major challenge, as breaches could lead to privacy violations and misuse of personal information.

Accuracy and Reliability Issues: Variability in environmental conditions and user factors can affect the accuracy and reliability of contactless biometric systems, leading to potential authentication errors and user frustration.

High Implementation Costs: The initial cost of deploying advanced contactless biometric systems, including hardware and software, can be prohibitive for some organizations, hindering widespread adoption.

Regulatory Compliance Challenges: Navigating complex and evolving regulations related to biometric data usage and privacy can be difficult, potentially leading to compliance issues and legal risks.

Integration with Existing Systems: Integrating contactless biometric technology with existing infrastructure and legacy systems can be complex and resource-intensive, posing a barrier to seamless adoption and implementation.

Key Trends

Integration with AI and Machine Learning: The integration of artificial intelligence and machine learning enhances the accuracy and efficiency of contactless biometric systems by improving real-time data analysis and adaptive recognition capabilities. The International Biometrics + Identity Association (IBIA) reported in January 2024 that 78% of biometric system vendors had integrated AI and machine learning capabilities into their contactless solutions, up from 45% in 2021.

Expansion into Mobile and Wearable Devices: Increasing adoption of contactless biometrics in mobile and wearable devices is driving market growth, offering convenient and secure authentication solutions for personal and professional use. The Wearable Technologies Conference in April 2024 reported that 65% of new smartwatches and fitness trackers released in the past year included at least one form of contactless biometric authentication.

Enhanced Multi-Modal Systems: The development of multi-modal biometric systems that combine various biometric methods, such as facial recognition and voice analysis, is gaining traction, providing more robust and versatile security solutions. A survey by Gartner in December 2023 found that 55% of enterprises planned to implement multi-modal biometric systems within the next two years, citing improved security and flexibility as key drivers.

Global Contactless Biometrics Technology Market Regional Analysis

Here is a more detailed regional analysis of the global contactless biometrics technology market:

North America

North America dominating the global contactless biometrics technology market, driven by advanced technological infrastructure, significant investments in security solutions, and a strong focus on innovation. The U.S. Department of Commerce's Bureau of Industry and Security reported in March 2024 that the U.S. contactless biometrics market was valued at USD 3.2 Billion in 2023 and was projected to grow at a CAGR of 14.5% from 2024 to 2030.

The United States and Canada are key contributors, with extensive applications in sectors such as banking, healthcare, and government. The American Bankers Association reported in February 2024 that 72% of U.S. banks had implemented or were planning to implement contactless biometric authentication within the next 12 months.

High adoption rates and favorable regulatory environments further support market growth in this region. The Canadian government introduced the Digital Charter Implementation Act in January 2024, which included provisions for the responsible use of biometric technologies, providing clarity for businesses and consumers.

Asia Pacific

The Asia-Pacific region is experiencing rapid growth in the contactless biometrics market, fueled by rising urbanization, increasing investments in smart technologies, and a growing focus on security and convenience. According to the United Nations, the urban population in Asia is projected to grow from 2.2 billion in 2020 to 3.5 billion by 2050.

Countries such as China, Japan, and India are leading the adoption of contactless biometric systems, driven by expanding digital infrastructure and a large consumer base. For instance, in April 2024, Suprema introduced a new facial recognition terminal with enhanced liveness detection for the Asia-Pacific market. The International Data Corporation (IDC) forecasts that Asia-Pacific spending on smart cities initiatives will reach USD 39 Billion in 2025.

Global Contactless Biometrics Technology Market Segmentation Analysis

The Global Contactless Biometrics Technology Market is segmented based on Offering, Software, Application, End-User, and Geography.

Contactless Biometrics Technology Market, By Offering

• Multimodal Biometrics Solution
• Software
• Hardware
• Services

Based on Offering, the Global Contactless Biometrics Technology Market is bifurcated into Multimodal Biometrics Solution, Hardware, Software, and Services. Multimodal biometrics solutions dominate the contactless biometrics technology market, as they provide enhanced accuracy and security by combining multiple biometric methods, such as facial recognition and voice analysis, to verify identity. These solutions are preferred for their comprehensive and reliable authentication capabilities across various applications. The rapidly growing segment is Services, driven by the increasing demand for installation, maintenance, and support services that ensure the optimal performance and integration of contactless biometric systems within diverse organizational environments.

Contactless Biometrics Technology Market, By Software

• Contactless Fingerprint Recognition
• Face Recognition
• Iris Recognition
• Palm Vein Recognition
• Voice Recognition
• Contactless Biometric Cards

Based on Software, the Global Contactless Biometrics Technology Market is bifurcated into Face Recognition, Iris Recognition, Palm Vein Recognition, Voice Recognition, and Contactless Biometric Cards. Face recognition dominates the contactless biometrics technology market due to its widespread adoption and effectiveness in various applications, including security, mobile devices, and access control. The face recognition technology is preferred for its ease of use and non-intrusive nature. The rapidly growing segment is contactless biometric cards, driven by their convenience and enhanced security features, offering a seamless and secure method for identification and authentication in various settings, including financial transactions and access control.

Contactless Biometrics Technology Market, By Application

• Access Control
• Onboarding & KYC
• Criminal Identification & Forensics

Based on Application, the Global Contactless Biometrics Technology Market is bifurcated into Access Control, Onboarding & KYC, and Criminal Identification & Forensics. Access control dominates the contactless biometrics technology market, as it is widely used for securing physical and digital entry points, providing efficient and non-intrusive authentication in various settings, including offices, airports, and residential buildings. The onboarding & KYC (know your customer) segment is the second rapidly growing area, driven by increasing demand for streamlined, secure customer verification processes in banking, financial services, and other sectors, facilitating faster and more reliable identity checks.

Contactless Biometrics Technology Market, By End-User

• Banking, Financial Services and Insurances (BFSI)
• Government & Law Enforcement.
• Healthcare
• Retail & e-commerce
• Travel & Tourism

Based on End-User, the Global Contactless Biometrics Technology Market is bifurcated into Banking, Financial Services and Insurances (BFSI), Government & Law Enforcement, Healthcare, Retail & E-commerce, and Travel & Tourism. The Banking, Financial Services, and Insurance (BFSI) sector dominates the contactless biometrics technology market due to its high demand for secure and seamless authentication methods for financial transactions and customer access. The sector's need for stringent security measures drives widespread adoption of contactless biometric solutions. The healthcare sector is the second rapidly growing segment, with increasing implementation of contactless biometrics for patient identification, access control, and enhanced security, driven by the need for efficient and non-intrusive solutions in medical environments.

Contactless Biometrics Technology Market, By Geography

• North America
• Europe
• Asia Pacific
• Rest of the World

Based on Geography, the Global Contactless Biometrics Technology Market is classified into North America, Europe, Asia Pacific, and the Rest of the World. North America dominates the contactless biometrics technology market, driven by its advanced technological infrastructure, high adoption rates of security solutions, and significant investments in innovation. The United States and Canada lead in deploying contactless biometric systems across various sectors, including banking, healthcare, and government. Asia-Pacific is the second rapidly growing segment, propelled by rising urbanization, expanding digital infrastructure, and increasing investments in smart technologies, with countries like China, Japan, and India driving substantial market growth.

Key Players

The "Global Contactless Biometrics Technology Market" study report will provide valuable insight with an emphasis on the global market. The major players in the market are Aware, Inc., Fingerprint Cards AB, Fujitsu Limited, Gemalto N.V., HID Global, IDEMIA, M2SYS Technology, NEC Corporation, nViaSoft, Touchless Biometric Systems AG.

Our market analysis also entails a section solely dedicated to such major players wherein our analysts provide an insight into the financial statements of all the major players, along with its product benchmarking and SWOT analysis. The competitive landscape section also includes key development strategies, market share, and market ranking analysis of the above-mentioned players globally.

• Contactless Biometrics Technology Market Recent Developments
• In January 2023, Fingerprint Cards AB launched its new FPC T-Shape biometric sensor. This advanced sensor features improved accuracy and faster response times, enhancing the security and convenience of contactless biometric authentication for mobile devices.
• In April 2023, IDEMIA announced the rollout of its latest contactless facial recognition technology, IDEMIA VisionPass. This technology offers enhanced performance in various lighting conditions and is designed for seamless integration into access control systems for secure entry.