Fingerprint Sensor Market Size, Share & Growth

Updated on : October 23, 2024

Fingerprint Sensor Market Size 

[251 Pages Report] The global fingerprint sensor market size is projected to grow from USD 4.2 billion in 2024 and is expected to reach USD 5.9 billion by 2029, growing at a CAGR of 7.0% from 2024 to 2029. Implementing biometric technology-based time and attendance registering systems has simplified tracking employees' time and attendance and is driving the market. Fingerprint technology-based systems are user-friendly and easy to install, aiding management in tracking and analyzing employee data. One of their main advantages is preventing employees from logging in for one another, a common issue with older methods like time clocks, sign-in sheets, and ID card swiping. Fingerprint sensors have significantly reduced attendance fraud.

The objective of the report is to define, describe, and forecast the fingerprint sensor market share based on technology, sensor technology, type, end-use application, and region.

Fingerprint Sensor Market Forecast to 2029

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Fingerprint Sensor Market Trends & Dynamics

Drivers: Rise in number of identity threats leading to emergence of fingerprint technologies

Identity theft refers to the illegal acquisition of an individual's personal or financial details to perpetrate fraud, including unauthorized transactions. It occurs through various methods and inflicts harm on victims' credit, finances, and reputation. Recently, there has been an increase in identity threats. According to the Aite Group, 33% of consumers between the ages of 25 to 34 years old experienced identity theft in 2022. On the other hand, according to the Consumer Sentinel Network, maintained by the Federal Trade Commission (FTC), there was a 23% decrease in identity theft in 2022 from 2021. In 2022, 1,108,609 reports were filed for identity theft, down from 1,434,693 in 2021.

Numerous identity theft protection services aid individuals in preventing and mitigating the repercussions of identity theft. These services offer guidance on safeguarding personal information, monitor public and private records such as credit reports for suspicious activity, and aid victims in resolving identity theft issues. Additionally, government agencies and nonprofit organizations offer similar assistance through websites equipped with tools and information to prevent, address, and report identity theft incidents. Similarly, financial institutions and government agencies utilize fingerprints and other biometric technologies to enhance identity verification and protect individuals from identity theft.

Restraint: Increased adoption of substitute technologies, such as face and iris scanning

The rise in substitute technologies such as facial and iris scanning challenges the dominance of fingerprint recognition, the most popular form of biometric security. While fingerprint recognition is well-established, other biometric parameters like iris/retina, voice, pulse, DNA, and vein offer enhanced security levels. Facial recognition and iris scanning are increasingly favored and may eventually replace fingerprint sensing. Facial recognition systems analyze facial features for identification, making them suitable for remote recognition. Similarly, iris scanning captures unique iris characteristics, which are encrypted for security. Iris scanning, particularly using infrared light, is recognized for its high security standards. For instance, JetBlue is exploring the use of facial recognition technology as an alternative to traditional boarding passes for authentication. Meanwhile, in sectors like banking and finance where security is of utmost importance, institutions such as Bank of America, HSBC, Chase, and Apple's FaceID are leveraging facial recognition technology to verify customers' identities, access mobile banking applications, and execute transactions securely.

Opportunity: Increased adoption of IoT-based biometric technology

The advent of IoT has revolutionized automation systems by connecting smart objects to the internet, facilitating seamless data exchange. However, the increasing number of connected devices heightens the risk of information loss or breaches. Biometrics offers a solution for ensuring secure connections within the IoT network, protecting against fraud and theft. Currently, passwords or PINs safeguard devices and transaction processes, but unsecured connections are vulnerable to malware attacks. Implementing biometric identification systems, such as fingerprint solutions, enhances device security.

Biometric security measures can be integrated at different points in the IoT data pathway, from device authentication using fingerprint sensors to individual identity verification via smartcards. These security measures ensure the smooth flow of data between points while safeguarding data integrity. Continuous technological advancements are expected to further enhance fingerprint technology, given its widespread deployment across various devices.

Challenge: Sensor performance limitations

Sensor performance limitations represent a significant hurdle in the fingerprint sensor industy size , impacting the broader adoption and effectiveness of this technology across various industries. It can be hampered by various factors, including environmental conditions and user physiology.  For instance, dry, sweaty, or dirty fingers can impede the sensor's ability to capture a clear and accurate fingerprint image.  This can lead to failed recognition attempts, frustration for users, and ultimately, a weakened security posture. Additionally, certain professions or activities can lead to damaged or worn fingerprints, further reducing sensor effectiveness.

Fingerprint Sensor Map/Ecosystem:

Fingerprint Sensor Market Share

Market for area & touch sensor segment is expected to witness higher CAGR during the forecast period.

An area or touch sensor is a type of sensor that simply requires users to press their finger against a designated area, often situated beneath the Home button, as seen in devices like the iPhone. The differentiation between touch and area sensors lies not in technology but in their intended applications. Touch sensors activate upon physical contact with an object or individual and are more sensitive compared to traditional buttons or manual controls.

Market for consumer electronics segment in the end-use application is expected to witness fastest growth in the fingerprint sensor market during the forecast period.

The fingerprint sensor market share  in consumer electronics is experiencing exponential growth, fueled by increasing demand for secure authentication solutions in smartphones, tablets, laptops, and wearable devices. These sensors are utilized for unlocking devices, authorizing payments, and securing personal data, enhancing user convenience and data security. As consumers become more conscious of privacy and security concerns, the adoption of fingerprint sensors is expected to surge further.

Optical segment in the technology of fingerprint sensor market is expected to hold the second largest market share by 2029.

Optical sensors function by utilizing light and converting it into electrical signals to create fingerprint images. These sensors employ optical lenses, such as charge-coupled devices (CCD) and complementary metal-oxide-semiconductor (CMOS), along with light-emitting diodes (LEDs) for illumination. Using a light-emitting phosphor layer, the technology captures fingerprints through total internal reflection by illuminating the surface. The resulting image is then captured and stored.

Fingerprint Sensor Market Regional Analysis

Fingerprint sensor market in the Asia Pacific is estimated to grow at the fastest rate and CAGR during the forecast period.

Asia Pacific accounted for the largest share of the overall fingerprint sensor market share  in terms of value in 2023 and is also expected to witness highest growth during the forecast period. The region's large population is driving the market growth and the increasing demand for secure authentication solutions, causing the market to soar.Fuelled by the widespread adoption of smartphones and the booming digital payments industry in countries like India, China, and Japan, the fingerprint sensor market share is primed for unprecedented expansion. In December 2023, the Ministry of Finance, Government of India, announced that the total volume of digital payment transactions in India has surged from USD 252.5 million in 2017-18 to USD 1,643.4 million in 2022-23, registering a remarkable CAGR rate of 45%. The growing digital payment industry is expected to fuel the exponential expansion of the fingerprint sensor market in the region.

Fingerprint Sensor Market Size by Region

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Top Fingerprint Sensor Companies - Key Market Players:

Major vendors in the fingerprint sensor companies include

• Shenzhen Goodix Technology Co., Ltd. (China),
• Fingerprints (Sweden),
• Synaptics Incorporated (US),
• Apple Inc. (US)
• NEXT Biometrics (Norway),
• Novatek Microelectronics Corp. (Taiwan),
• Qualcomm Technologies, Inc. (US) among others.

Fingerprint Sensor Market Report Scope : 

Fingerprint Sensor Market Growth Highlights

This research report categorizes the fingerprint sensor market size based on technology, sensor technology, Trends ,  type, end-use application and Region.

Recent Developments in Fingerprint Sensor Industry :

• In March 2023, Shenzhen Goodix Technology Co., Ltd. (China) launched an ultra-narrow side key capacitive fingerprint sensor, integrated with an OLED touch controller and light sensor, power up the Lenovo Tab. This innovative combination enhances security and usability, ensuring a seamless user experience.
• In October 2023, Fingerprints (Sweden) partnered with Ansal Component (Turkey), a leading provider of component supply services. This collaboration streamlines the region's efforts in developing secure devices incorporating cutting-edge fingerprint sensors and software technologies.
• In May 2023, Synaptics Incorporated. (US) partnered with Boréas Technologies (Canada) and integrated its S9A0H NIST SP800-193 firmware qualified touch controller with Boréas Technologies piezo haptics technology. This collaboration yields a high-performance trackpad module offering OEMs force sensing and top-tier haptic feedback, facilitating thin and lightweight trackpads with consistent click sensations across the entire active surface.

Critical questions answered by this report:

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