Asia-Pacific – The World’s fastest-growing biometrics market (2015-2025)

Asia-Pacific – The World’s fastest-growing biometrics market (2015-2025)

According to “The Global Government Biometric Systems Market 2015-2025” report of MarketResearchReports.biz published last month, due to the increasing concerns over internal and external security and the increasing use in government and private sectors for employee identification and attendance, the global biometrics market is forecasted to rise in the demand and revenue in the next few years. In terms of geography, the biometrics market is expected to be continuously dominated by North America, followed by Asia Pacific and Europe. However, the growth rate of biometric market in the Asia-Pacific region is expected to overtake North America by 2015.

There are many factors that boost the growth of Asia-Pacific biometric market.

Firstly, governments in the Asia-Pacific region have introduced several projects in terms of national identities and border administration. In 2012, China introduced the new China Resident Identity Card Law. Under this new rule, Chinese citizens are required to have their fingerprints scanned and recorded as part of any subsequent administrative transaction involving their resident ID cards. Hence, the expectation of high level of certification will be required for the biometric hardware being leveraged in these enrollment operations.  Moreover, initiatives such as e-KTP electronic ID initiative in Indonesia and the UIDAI project in India using face, fingerprints and iris biometrics for individual identification are also expected to provide new opportunities for the biometrics technology market in Asia-Pacific.

Secondly, the Asia-Pacific region is demonstrated to increase in security and IT spending. According to the Frost & Sullivan Aerospace & Defense and Asia-Pacific consultant, Amartya De, terrorist threats combined with increased air traffic are driving increased aviation security spending in this region. Amartya De also states that overall homeland security spending across Asia-Pacific is asserted to be US$30 billion in 2014. Specifically, airport security market is expected to grow to US$9.23 billion by the end of 2015. Airport security spending in Australia is reported to reach US$640.2 million by the end of 2015, and by which time spending in Singapore will reach US$298 million. This security spending segment is indicated to dominate the security expenditure in the Asia Pacific region, which forces the rapid growth of the biometric-based technologies in this area.

Ultimately, the growth of the Asia-Pacific electronic access control (EAC) systems market is also the key factor fueling the rise of biometric in Asia-Pacific. Due to the concerns over the enhancing security and reducing fraud and identity theft across government and commercial setting, the demand of electronic access control systems in Asia-Pacific continuously increases. Based on “Global Market Study on Electronic Access Control (EAC) Systems: Biometric Systems to Witness Highest Growth by 2019” report, The Asia-Pacific EAC systems market is predicted to record the highest CAGR growth of 16.7% to reach USD 9.6 billion in 2019. The rapid growth rate of EAC systems contributes to the prevailing future of Asia-Pacific biometric market versus North America.

According to the Strategic Defense Intelligence, it is estimated that the biometric market in the Asia-Pacific region to value US$1.1 billion in 2015 and reach US$3.3 billion by 2025, growing at a CAGR of 11.3% during this period. China and India are the biggest contributors to this growth, occupying more than half of the regional market share. Besides, Japan and South Korea are also the prime revenue generating countries in Asia-Pacific biometrics market. Other countries such as Australia, Philippines, Sri Lanka, Bangladesh, Thailand and Malaysia are expected to play vital role in the growth of overall Asia-Pacific biometric market in the forecast period. For example, Sri Lanka and Philippines have been initiating biometrics-based passports since 2014 and 2015, respectively, and encouraging the demand for biometrics devices for identity solutions in these countries.