Contactless Biometrics Technology Market Size
| Study Period | 2019 - 2030 |
| Market Size (2025) | USD 20.11 Billion |
| Market Size (2030) | USD 41.06 Billion |
| CAGR (2025 - 2030) | 15.35% |
| Fastest Growing Market | Asia Pacific |
| Largest Market | North America |
| Market Concentration | Low |
Major Players*Disclaimer: Major Players sorted in no particular order |
Contactless Biometrics Technology Market Analysis
The Contactless Biometrics Technology Market size is estimated at USD 20.11 billion in 2025, and is expected to reach USD 41.06 billion by 2030, at a CAGR of 15.35% during the forecast period (2025-2030).
- Biometrics employs unique physical or behavioral characteristics to recognize and verify individuals. These systems compare anindividual's characteristics with templates stored in a database. By confirming a person's asserted identity,biometrics regulate accessto facilities, areas, and devices. A specific sector called contactlessbiometric authentication enables userto verify their identity without any physical contact, including technologies such as iris, facial, and voice recognition.
- Contactless biometric technology offers benefits like quick efficiency, temperature monitoring, adherence to social distancing, storage of health data, and the capability to recognize users while masked. Although conventional biometrics rely exclusively on biological characteristics, contactless options additionally enhance operational hours, minimize consumable requirements, and reduce cleaning efforts, resulting in lower operational expenses.
- As concerns over fraud and unauthorized access rise, so does the demand for robust security solutions, propelling the adoption of contactless biometrics. These advanced, non-intrusive methods are being integrated across diverse sectors. Underlining the urgency, the U.S. Federal Trade Commission highlighted a staggering 45% surge in identity theft cases from 2019 to 2023, with 1.8 million reports in 2023.
- The thriving smartphone market, particularly features like facial and fingerprint recognition, propels this expansion. For perspective, GSMA data indicates North America's smartphone adoption rate was 84% in 2023, with forecasts reaching 89% by 2030. In contrast, regions such as Eurasia and Asia Pacific are poised for even steeper climbs.
- Facial recognition technology is gaining traction in biometric payment systems, lauded for its convenience and security. This technology facilitates swift, contactless transactions, allowing users to pay without direct device interaction. In today's health-conscious climate, this feature significantly reduces contact with shared surfaces.
- Heightened awareness of health and hygiene, especially post-global health crises, is propelling the shift towards contactless biometrics. Designed to minimize physical contact, these systems help mitigate infection spread risks. Supporting this viewpoint, the World Health Organization (WHO) in December 2023, endorsed contactless technologies, including biometrics, as a means to reduce disease transmission in public areas.
- Yet, the path to adopting biometric systems is fraught with challenges. Initial investments can be hefty, encompassing hardware, software, infrastructure integration, and often, specialized personnel training. Additionally, navigating security and regulatory compliance can further escalate these costs. The need for precise biometric sensors, advanced algorithms, and strengthened databases introduces another financial layer, complicating the market's growth trajectory.
Contactless Biometrics Technology Market Trends
BFSI Holds Major Share
- Due to an urgent need for safe and smooth authentication in financial transactions, the Banking, Financial Services, and Insurance (BFSI) sector is at the forefront of the contactless biometrics technology market. The industry's strict security requirements have spurred the broad implementation of these advanced solutions.
- Financial institutions are adopting biometric authentication not only to enhance security and prevent fraud but also to improve the customer experience. The growing incorporation of contactless biometric systems in ATMs, mobile banking apps, and online transactions highlights their dual advantages: strong security alongside user convenience. As evidence of this trend, the Bank of Ghana announced that in 2023, the country's online banking transactions exceeded 13.5 million.
- Multimodal biometric systems, which blend contactless fingerprint recognition with voice or facial recognition, are fortifying identity verification for financial institutions, significantly raising the bar for fraudsters.
- As consumers increasingly prioritize convenience in payments, biometric authentication emerges as a pivotal facilitator. It enables swift, contactless transactions, eliminating the need for physical cards or memorized passwords. This momentum is further highlighted by Visa Inc.'s May 2024 debut of a groundbreaking biometric authentication payment card, set to transform the payment card arena and cater to the evolving needs of merchants, customers, businesses, and financial entities.
North America is Expected to Gain Significant Share
- In the USA and Canada, a surge in demand for advanced technologies is propelling market expansion. These nations boast a robust supply chain, bolstered by numerous providers of contactless biometrics technology and a vast consumer base.
- North America, with its cutting-edge technological infrastructure and significant investments in security solutions, leads the global contactless biometrics technology market. The U.S. contactless biometrics market, valued at USD 3.2 Billion in 2023, as per the U.S. Department of Commerce’s Bureau of Industry and Security, underscores this dominance.
- Industries like banking, healthcare, and government are primary users, cementing the U.S. and Canada as pivotal players. Highlighting this momentum, the American Bankers Association noted in February 2024 that 72% of U.S. banks either adopted or were set to adopt contactless biometric authentication within the year.
- These high adoption rates, combined with a supportive regulatory landscape, propel the region's market growth. For instance, the Canadian government, in January 2024, rolled out the Digital Charter Implementation Act, emphasizing the responsible use of biometric technology for both businesses and consumers.
Contactless Biometrics Technology Industry Overview
To stay ahead of competitors, leading companies are introducing a range of cutting-edge products. The diagram above demonstrates the allocation of income among these elite participants. These industry frontrunners are using a range of tactics designed in order to address the unique needs of various sectors. Importantly, Partnerships, Collaborations, and Agreements emerge as the main strategies.
For example, in February 2024, IDEX Biometrics and KONA announced their partnership to launch biometric payment and access cards in Japan. KONA I and IDEX Biometrics are set to introduce innovative secure ID and biometric payment card technologies. Their smart card system guarantees comprehensive authentication aimed at digital safety, supporting standard protocols such as FIDO2, and designed for enhanced customer experiences and protection.
Improvements in biometric sensors, along with progress in machine learning along with arificial intelligence, are boosting the accuracy, speed, and dependability of contactless biometrics. This advancement is driving market expansion and broadening its scope of uses. Emphasizing this trend, the National Institute of Standards and Technology (NIST) observed in January 2024 that advanced facial recognition algorithms reached a 99.5% accuracy under ideal conditions,a notable increase from the 95.6% benchmark established in 2020.
Contactless Biometrics Technology Market Leaders
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Aware, Inc.
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BIO-key International, Inc.
-
Cognitec Systems
-
FaceFirst
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Fingerprint Cards AB
- *Disclaimer: Major Players sorted in no particular order
Contactless Biometrics Technology Market News
- September 2024: NEC Corporation has launched a state-of-the-art biometric authentication system, utilizing cutting-edge facial recognition technology to quickly identify large groups of individuals on the move. This innovation aims to boost efficiency and reduce congestion, aligning with broader trends observed in the biometric market, especially in AFIS.
- June 2024: Fingerprint Cards AB has partnered with Valid S.A., a Brazilian engraving company, to create a biometric payment card specifically designed for the Brazilian market. Equipped with FPC’s second-generation T-Shape (T2) sensor module and software, this card promises enhanced security, convenience, and hygiene for contactless transactions. Valid will produce these cards, harnessing the proprietary biometric technology from Fingerprint Cards.
Contactless Biometrics Technology Industry Segmentation
Advanced sensors, cameras, and artificial intelligence power contactless biometrics technology, allowing for the authentication or verification of an individual's identity without any physical touch. This innovation presents a cleaner and more efficient alternative to conventional contact-based systems.
The contactless biometrics technology market is segmented by component (hardware, software, service), application (face, fingerprint, voices, other application), end users (government, BFSI, consumer electronics, healthcare, transport & logistics, defense & security, others end users), geography (north America, Europe, Asia Pacific, Latin America, Middle East And Africa). the market size and forecasts are provided in terms of value (USD) for all the above segments.
| By Component | Hardware |
| Software | |
| Service | |
| By Application | Face |
| Fingerprint | |
| Voices | |
| Other Application | |
| By End users | Government |
| BFSI | |
| Consumer Electronics | |
| Healthcare | |
| Transport & Logistics | |
| Defense & Security | |
| Others End users | |
| By Geography*** | North America |
| Europe | |
| Asia | |
| Australia and New Zealand | |
| Latin America | |
| Middle East and Africa |
| Hardware |
| Software |
| Service |
| Face |
| Fingerprint |
| Voices |
| Other Application |
| Government |
| BFSI |
| Consumer Electronics |
| Healthcare |
| Transport & Logistics |
| Defense & Security |
| Others End users |
| North America |
| Europe |
| Asia |
| Australia and New Zealand |
| Latin America |
| Middle East and Africa |
Contactless Biometrics Technology Market Research FAQs
How big is the Contactless Biometrics Technology Market?
The Contactless Biometrics Technology Market size is expected to reach USD 20.11 billion in 2025 and grow at a CAGR of 15.35% to reach USD 41.06 billion by 2030.
What is the current Contactless Biometrics Technology Market size?
In 2025, the Contactless Biometrics Technology Market size is expected to reach USD 20.11 billion.
Who are the key players in Contactless Biometrics Technology Market?
Aware, Inc., BIO-key International, Inc., Cognitec Systems, FaceFirst and Fingerprint Cards AB are the major companies operating in the Contactless Biometrics Technology Market.
Which is the fastest growing region in Contactless Biometrics Technology Market?
Asia Pacific is estimated to grow at the highest CAGR over the forecast period (2025-2030).
Which region has the biggest share in Contactless Biometrics Technology Market?
In 2025, the North America accounts for the largest market share in Contactless Biometrics Technology Market.
What years does this Contactless Biometrics Technology Market cover, and what was the market size in 2024?
In 2024, the Contactless Biometrics Technology Market size was estimated at USD 17.02 billion. The report covers the Contactless Biometrics Technology Market historical market size for years: 2019, 2020, 2021, 2022, 2023 and 2024. The report also forecasts the Contactless Biometrics Technology Market size for years: 2025, 2026, 2027, 2028, 2029 and 2030.
Contactless Biometrics Technology Industry Report
Statistics for the 2025 Contactless Biometrics Technology market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Contactless Biometrics Technology analysis includes a market forecast outlook for 2025 to 2030 and historical overview. Get a sample of this industry analysis as a free report PDF download.
