Global Palm Vein Biometrics Market - 2023-2030

Global Palm Vein Biometrics Market - 2023-2030

Global Palm Vein Biometrics Market reached US$ 0.6 billion in 2022 and is expected to reach US$ 2.3 billion by 2030, growing with a CAGR of 23.1% during the forecast period 2023-2030.

The need to limit access to sites and systems has expanded throughout time. Many organisations currently rely on passwords or cards to validate people's identities for access. The typical technique, however, presents significant obstacles. Card loss or theft, for example, poses security problems. Anyone with the correct PIN and card combination could gain access to restricted areas or data. As a result, the increased use of biometrics for security purposes is likely to drive market growth.

In Japan, vein biometrics have already been utilised as a digital ID in place of ATM cards in banks. Banks have realised that the technology is highly precise and handy for clients because they don't need to carry ATM cards or memorise PINs. Currently, around 80% of Japanese banks have some type of biometric authentication, the most frequent being vein recognition.

With so many biometric identification solutions available, businesses may opt for multifactor authentication to further limit the likelihood of fraud. Such changes are also expected to have an impact on market growth. Fujitsu, for example, intends to merge its palm vein scanning technology with a facial recognition system in a new access control authentication approach.

In 2022, Asia-Pacific is expected to be the fastest growing region having about 1/4th of the global palm vein biometrics market. Rising biometric technology awareness, a growing population base and an expanding number of industrial enterprises are driving growth in demand for palm vein biometric market. Furthermore, a high amount of disposable income has a beneficial impact on market expansion.

Dynamics

Growing Technological Advancements

The epidemic of COVID-19 has accelerated the deployment of contactless technologies. Palm vein identification is non-contact, making it a sanitary and secure method of verification in a variety of areas such as healthcare, finance and access control. Palm vein recognition systems are becoming faster and more accurate as a result of ongoing research and development activities. Continuous advancement increases the competitiveness of technology and broadens its potential uses.

Sensors in traditional palm vein authentication must employ near-infrared light. In 2023, Fujitsu has made a significant leap with the launch of a new technology that can extract a person's vein pattern merely by photographing their palm using a normal phone camera. It is comparable to the vein pattern obtained by the physical sensor. Users can register on their smartphones from anywhere and quickly use biometric authentication services while entering offices, stores or venues.

Rising Awareness and Demand for Security

Privacy concerns, including both physical access control and digital authorization, have been a major driver of palm vein biometrics growth. Organisations are looking for more robust and secure ways of identity verification as old techniques such as PINs and passwords prove prone to security breaches and fraud. Palm vein recognition technology can identify people with great accuracy and reliability.

For example, Keyo announced the Keyo Wave+ handheld palm vein scanner in 2023, which has a smartphone-sized screen, SOC2-compliant encryption of data and the ability to handle bespoke applications. According to the statement, it may also be installed on a countertop or wall and scaled to billions of people. The company also provides no-code integration tools to assist customers that do not have significant technical teams in adopting palm vein biometrics.

Privacy Concerns and Costs of Product

Concerns about privacy are a major impediment in the palm vein biometric industry. Individuals are becoming more wary about the gathering and use of their biometric data. Concerns regarding data breaches and identity theft arise from the storing and potential exploitation of palm vein data. Biometric data cannot be replaced and if it is compromised, it can cause long-term privacy and security problems.

Companies and organisations that use palm vein biometric devices must address these concerns by having strong security measures and clear data handling practises. The expense of adopting palm vein biometric devices, particularly for small and medium-sized organisations (SMEs), can be a substantial obstacle to adoption.

The technology necessitates the purchase of specialised devices, software and infrastructure. Furthermore, continuous maintenance and support charges might increase the total cost of ownership. As a result of budget constraints, many organisations may be hesitant to employ palm vein biometrics.

Segment Analysis

The global palm vein biometrics market is segmented based on component, type, technique, application, end-user and region.

Rising Awareness of Security and Verfifcation

BFSI is expected to be the dominant segment with about 1/3rd of the global palm vein biometrics market during the forecast period 2023-2030. With the increasing number of security breaches, the BFSI sector has seen a growth in the demand for highly secure verification and identity systems. Several banks and financial institutions have combined biometrics technologies to enable secure access to customers. For example, Bank of Tokyo-Mitsubishi, a Japanese commercial bank, deployed a palm vein biometric system to provide its customers with a secure and cost-effective option.

Many BFSI organisations are implementing palm vein biometrics, which is driving the market demand. For example, Gesa Credit Union, a financial services institution, is collaborating with financial technology company Fiserv to use palm recognition technology. Fiserv is a provider of financial services technology solutions that includes Verifast: a DNA account management platform and integrated services. Biometric verification using palm authentication.

Geographical Penetration

Rising Technology Advancements and Product Innovations in North America

In 2022, North America is among the growing regions in the global palm vein biometrics market covering more than 35% of the market. Organisations in the region are also showing an increasing interest in implementing systems that employ biometric traits to identify persons. For example, Atlantic Health System in New Jersey uses Patient Secure's biometric palm vein scanning solution to speed up patient intake and improve record accuracy.

Many BFSI organisations are implementing palm vein biometrics, which is supporting the region's market expansion. For example, Gesa Credit Union, a financial services organisation established in U.S., is collaborating with financial technology company Fiserv to use palm recognition technology. Fiserv is a provider of financial services technology solutions that includes Verifast: a DNA account processing platform and integrated services, including biometric verification using palm authentication.

Competitive Landscape

The major global players in the market include Fujitsu Limited, M2SYS Technology, Hitachi, Ltd., NEC Corporation, Safran, Mantra Infotech, IDLink Systems, BioEnable, Matrix Security Solutions and IdentyTech Solutions America Inc.

COVID-19 Impact Analysis

The COVID-19 pandemic, driven by the new coronavirus SARS-CoV-2, has significantly impacted the global landscape. Among its numerous consequences, the pandemic has had a profound impact on the use and growth of biometric technologies such as palm vein biometrics. Biometrics has been critical in delivering seamless authentication for remote workers, decreasing dependency on traditional authentication techniques like as passwords.

Cyberattacks and fraud attempts have increased as a result of the pandemic. By analyzing user vein for abnormalities or suspect patterns, palm vein biometrics has been used to detect fraudulent activities such as account takeovers and phishing assaults. During the epidemic, some organizations have investigated the use of palm vein biometrics for health monitoring.

AI Impact

AI systems can accurately analyze and interpret patterns of palm vein of the user. Machine learning and deep learning approaches allow computers to recognize subtle patterns and variations in user behavior, lowering the number of false positives and false negatives. As AI allows for real-time processing of palm vein biometric data, user authentication and fraud detection may happen instantly, offering quick security actions when anomalies or suspicious activity are found.

Artificial intelligence-powered palm vein biometrics systems can continuously learn and adapt to changing user vein pattern, as well as recognize modifications or departures from established patterns, making them useful in detecting fraudulent activities that may alter over time. Palm vein biometric systems powered by AI can adapt to variances in the user's palm vein patterns over time. The self-learning algorithms increase accuracy while decreasing false rejection rates.

Russia- Ukraine War Impact

Cyberattacks and cyber dangers frequently increase during times of geopolitical crisis. Palm vein biometrics, which examine user veins for signs of hazardous activity, can be immensely valuable in identifying and mitigating such dangers. Conflict-affected areas are more conscious of security risks and the importance of protecting personal information.

As a result of the disruption created by conflict and security concerns, more people work remotely and perform digital transactions. Palm vein biometrics, which provide continuous authentication without the use of physical tokens or passwords, can help protect remote access and online transactions. Concerns have been raised concerning government surveillance and the privacy of individuals' digital activity in countries directly affected by conflict or political instability.

By Component
• Hardware
• Software

By Type
• Palm Print
• Palm Vein Biometrics

By Technique
• Line-based
• Subspace-based
• Texture-based

By Application
• Security
• User Authentication
• Time and Attendance
• Others

By End-User
• Home Security
• Healthcare
• BFSI
• Military and Defense
• Education
• Government
• Others

By Region
• North America
U.S.
Canada
Mexico
• Europe
Germany
UK
France
Italy
Russia
Rest of Europe
• South America
Brazil
Argentina
Rest of South America
• Asia-Pacific
China
India
Japan
Australia
Rest of Asia-Pacific
• Middle East and Africa

Key Developments
• In 2023, Imprivata, the premier digital ID firm in healthcare, for example, developed PatientSecure, a biometric palm vein authentication product that healthcare relies on for positive patient identification. Imprivata required a contactless solution for their device in the midst of the pandemic, so they collaborated with Keyo on a design that supports the patient identification routines that HDOs have grown to rely on while lowering the danger of transmission.

Why Purchase the Report?
• To visualize the global palm vein biometrics market segmentation based on component, type, technique, application, end-user and region, as well as understand key commercial assets and players.
• Identify commercial opportunities by analyzing trends and co-development.
• Excel data sheet with numerous data points of palm vein biometrics market-level with all segments.
• PDF report consists of a comprehensive analysis after exhaustive qualitative interviews and an in-depth study.
• Product mapping available as excel consisting of key products of all the major players.

The global palm vein biometrics market report would provide approximately 61 tables, 58 figures and 203 pages.

Target Audience 2023
• Manufacturers/ Buyers
• Industry Investors/Investment Bankers
• Research Professionals
• Emerging Companies