According to an article in Markets and Markets, the vehicle security system market is dominated by remote keyless entry systems in terms of value. In details, over 70% of vehicles manufactured today are equipped with a remote keyless entry system, either as a standard or an optional feature. And although this is wonderful, the fact of the matter is – it remains steeped in risk – because the technology can be hacked. Police forces all over the UK are reporting that keyless car entry system can be hacked easily, causing a rise in keyless car thefts. Therefore, the presence of numerous vulnerabilities in the existing keyless entry system is a critical factor driving the growth of automotive biometric vehicle access system market.
To illustrate, Technavio reported that in the past, vehicles were equipped with conventional mechanical keys to lock or unlock vehicle doors. However, these manual keys can cause vehicle theft because they are easily to be stolen or misplaced by the driver inside the vehicle. With the advent of electronic keyless entry systems, the situation changed drastically because vehicle access is now linked to electromagnetic frequency and communication wavelengths. Although keyless entry system is perceived to be secure, certain loopholes in this technology leave the vehicles vulnerable to theft. Andy, police liaison officer at Tracker, explained that every keyless car have attached the microchips, in which thieves can intercept and copy the signal emitted by the key to start the car. Consequently, the demand for biometric vehicle access systems will rise significantly over the next few years.
Moreover, the issues with keyless entry systems have raised the doubt not only among the consumers, but also among insurance providers. Insurance companies have begun refusing coverage to drivers who own keyless vehicles but don’t stash their car in underground parking lots or other secure locations, says an article in The Guardian. This is because the incidents of vehicle theft by hacking into keyless systems drastically climbed during 2013 – 2014 due to easy availability of tools and devices that can break into this system, according to the U.S. National Insurance Crime Bureau. In other words, customers need to equip themselves with higher secure methods such as biometric to prevent these issues.
Based on the vulnerabilities of keyless entry systems mentioned above, the vehicle company and customers have a tendency to move to products integrating biometrics. According to the report uploaded on Business Wire, the global automotive biometric vehicle access system market is expected to grow at a CAGR of 19.55% during the period 2016-2020, in which these devices will be equipped with voice, fingerprint and iris. Beside the vehicle access and anti-theft systems utilities, the application of biometric technologies in the automotive also includes ignition permissions, and on-board communication program.
Based on the report ‘Vehicle Security System Market’, Asia Pacific accounted for the largest share of the global vehicle security system market, due to the demand of customer and leading production of automobiles in the world. Following regions are North America and Europe. Some of the major vendors mentioned like Robert Bosch GmbH (Germany), Continental AG (Germany), Lear Corporation (U.S.), Delphi Automotive (U.K.), and Valeo SA (France), along with numerous local players.