Welcome Message

twitter

Follow on Tweets

Passive Authentication Market - Industry Analysis, Market Size, Share, Trends,Application Analysis, Growth and Forecast 2021 - 2026

Posted in

 

Passive Authentication Market Overview

Passive Authentication Market size is estimated to reach 3.03 billion by 2026 and is projected to grow at a CAGR of 25.5% during the forecast period 2021-2026. Increasing penetration of IoTs and related digital age technologies such as Artificial intelligence, Big Data, Machine Learning is estimated to fuel the market. With the increasing transition towards digitalization in BFSI, the retail sector the growing demand for protecting digital data from cyber breaches to optimize compliance management and risk management is set to drive the market. The increasing adoption of online transactions has significantly triggered the demand for real-time passive authentication platforms. Adoption of passive authentication eliminating the need for password-based security models enables the organizations to verify and validate users analyzing precisely the behavioral authentication pattern to prevent forgery and such seamless, frictionless authentication techniques are analyzed to boost the market during 2021-2026. In October 2020, big banks such as Barclays, Citi, HSBC, National Australia Bank invested $20 Million in BioCatch to expand its behavioral biometric business and thus accelerating the market growth.

Report Coverage

The report: “Passive Authentication Market – Forecast (2021-2026)”, by IndustryARC covers an in-depth analysis of the following segments of the Passive Authentication market

By process: Biometric authentication (passive voice authentication, face recognition, iris recognition, fingerprint/palm-print recognition, key-stroke pattern recognition, gait recognition, others), Device authentication, certificate based authentication, Multi-factor authentication, others.
By offering: Solution (Hardware, Software), Services(Managed, Professional).
By Deployment: Cloud, on-premise.
By Organization Size: Micro/Small & Medium-Sized Enterprises, Large Enterprises.
By Application: Digital transaction, Smart doorbell, Government ID recognition, Digital lock, others.
By End User: Industrial (Banking, Financial Services and Insurance (BFSI), Telecommunications and IT, Healthcare, Logistics & Transportation, Retail& e-commerce, Government and Public Sector, Others), Commercial (Shopping Malls, Media, Entertainment, Stadiums, Others), Residential.
By Geography: North America (U.S, Canada, Mexico), Europe(Germany, UK, France, Italy, Spain, Russia, Rest of Europe), APAC(China, Japan India, South Korea, Australia, Rest of APAC), and South America(Brazil, Argentina, Rest of South America), RoW (Middle East and Africa).

Key Takeaways

  • Cloud the segment is analyzed to be the fastest-growing market during 2021-2026 due to reduced operational costs and hassle-free systems to fulfill digital business strategies.
  • BFSI the sector is estimated to hold the largest market share during the forecast period 2021-2026 due to the rapid penetration of digitalization in this sector.
  • North America is estimated to dominate the market during 2021-2026 owing to high investments towards advanced security platforms.
  • Increasing penetration of digital banking and rising demand for preventing forgery are estimated to drive the market between 2021 and 2026.
  • Biometric data security issues are one of the challenges impeding the growth of the market.

    Global Passive Authentication Market Share, By Region, 2020 (%)

    Global Passive Authentication Market Share

    For More Details on This Report - Request for Sample

Passive Authentication Market Segment Analysis – By Deployment 

By deployment, Passive Authentication Market has been segmented under cloud and on-premise. Cloud Segment and is estimated to be the fastest-growing market during the forecast period 2021-2026 owing to reduced operational cost and higher scalability. The increasing adoption of cloud infrastructure in various business organizations has significantly triggered the growth of the market. Cloud-based deployment removes the hassle of maintaining and updating systems to fulfill business strategies. In cloud deployment, data synchronization can be done seamlessly from multiple sources as it provides the ability to communicate and share data more easily than on-premise. Moreover, advanced benefits of cloud deployment such as ease of deployment, and pay per usage model are analyzed to drive the market. In February 2021, Ping Identity launched biometric face-based onboarding solutions to secure account creation for remote users. Such developments are anticipated to boost the market during the forecast period 2021-2026. 

Passive Authentication Market Segment Analysis – By End User 

By end-user, Passive Authentication Market has been segmented under industrial, commercial, and residential sectors. The industrial sector is anticipated to account for the largest market share of 48% by 2026 due to the rising demand for verifying users to protect against sophisticated cyber-attacks. Among industrial sectors, BFSI sector is estimated to hold the major market share of 18% by 2026 owing to increasing demand for validating and verifying users to facilitate digital banking solutions. The increasing number of data breaches and sophisticated cyber-attacks have contributed to the growth of the market. Increasing penetration of remote workforce and BYOD trend are anticipated to boost the market. Retail and e-commerce is analyzed to be the fastest-growing market owing to a growing demand for authenticating users to protect their financial information by leveraging biometric solutions to enhance the consumer experience. In January 2021, South Korean bank Daegu bank announced to open checking and saving accounts through a fully digital process by leveraging Facephi’s facial recognition software. Such developments are anticipated to propel market growth during 2021-2026. 

Passive Authentication Market Segment Analysis – By Geography

By geography, Passive Authentication Market has been segmented under North America, Europe, APAC, South America and RoW. North America dominated the market acquiring a share of 36% in 2020 and is estimated to hold the major market share with a CAGR 14.67% during 2021-2026 owing to high investment towards advanced security techniques and early adoption of biometrics and behavioral analysis. In December 2020, Mexico passed a new law to enable creating a database with the personal data including biometrics for the entire population of the country. APAC is estimated to be the fastest growing market during the forecast period 2021-2026 with a CAGR 16.3% owing to the shift towards digitalization and growing demand for the prevention of digital forgery and cyber-crime. For instance, from December 2020 onwards, Singapore citizens can use facial recognition authentication to access online Government services. In December 2020, Malaysia based eKYC firm Wise AI announced to raise a fund of an undisclosed amount to expand the digital identity solution based on face recognition technology in South-East Asia. Such developments and investments are analyzed to drive the market during 2021-2026 in this region.

Passive Authentication Market Drivers

Growing demand for quick and secure digital transaction

The increasing convergence of BFSI sector with digitalization to deliver reliable, secure, and seamless services to achieve enhanced customer experience is estimated to drive the market during the forecast period 2021-2026. The banking sector holds a large volume of sensitive and confidential financial data that must be protected to avoid data breaches and cyber-attacks. Combining Behavioral Biometrics with Machine Learning and Risk Assessment, the passive authentication platforms enable connected customers to experience a robust and convenient digital banking operation. Rising demand for correlative authentication has contributed to the growth of the market. Increasing security concerns among the banks and the consumers regarding information leakage or false data injection have significantly triggered the growth of the market. In October, 2020 Elco Federal Credit Union announced to deploy Enacommpassive biometric voice recognition technology for personalized and intelligent customer interaction to verify and validate their users. Such developments are set to drive the market during 2021-2026.

Increasing adoption of Biometric System for forgery prevention

Increasing penetration of biometric authentication using biological characteristics to verify and validate users’ identity to prevent cyber-crimes such as identity theft, data breaches are set to drive the market during the forecast period2021-2026. Growing demand for behavioral biometric pattern analysis in online baking, the e-commerce sector has contributed to the growth of passive authentication market.With the advancements in biometric authentication such as the development of gait recognition, mouse biometrics, keystroke dynamics the demand for passive authentication is analyzed to gain huge traction during 2021-2026. In February 2020, Mastercard announced to work with transport organizations to develop a gait authentication system for developing digital transit fares as an alternative to physical transit fares.

Passive Authentication Market Challenges

Biometric data security concerns

Enterprises that adopt biometric authentication lead to data breaches owing to misconfigured databases and services and thus hampering the adoption. Collection or storage of biometrics should be under strict and stringent regulations as databases of biometric information have become targets for cyber-terrorists or hackers. Various incidents of unauthorized access or identity thefts such as fingerprint cloning are analyzed to impede the market growth during the forecast period 2021-2026. However, significant investments in cybersecurity is set to offset this challenge and promote healthy growth during the later stages of the forecast period 2021-2026.

Passive Authentication Market Landscape

Technology launches, acquisitions, Partnerships, and R&D activities are key strategies adopted by players in the Passive Authentication market. In 2020, the market of Passive Authentication industry outlook has been fragmented by several companies. Passive Authentication top 10 companies include Cisco Systems Inc., BioCatch Ltd., NEC Corporation, IBM Corporation, Aware Inc., Equifax Inc., Truststamp Inc., Jumio, RSA Security LLC, Typing DNA among others.

Acquisitions/Technology Launches

  • In December 2020, NEC completed the acquisition of Avaloq to expand digital business solutions and wealth management platforms.
  • In February 2020, BioCatch announced the completion of acquisition Aimbrain’s multi modal biometric authentication platform.
  • In September 2019, NEC Corporation announced to start working with Japanese banks for deployment of biometric authentication at ATMs.

Comments (0)

Post a Comment