Global Voice Biometrics Market - 2022-2029

Global Voice Biometrics Market - 2022-2029

Market Overview

Voice Biometrics Market size is estimated to reach USD million by 2029, growing at a CAGR of 20.6% during the forecast period (2022-2029).

Voice biometrics is the science that uses a person's voice profile as a unique biological trait for identity authentication. Voice biometrics enables fast and secure authentication for critical applications. The voice biometrics system is much more secure than other methods such as text or numerical passwords and fingerprint scanners.

Advancements in technology allow voice biometrics to deter fraudsters and criminals by differentiating impersonation and recorded voices instead of the real person's voice. Voice biometrics can be integrated with existing digital security architectures with minimum interference.

Market Dynamics

The voice biometrics demand is mainly driven by the increasing frequency of the increasing demand for robust digital security measures. The security and privacy concerns about voice biometrics are key factors limiting this market's growth.

The increasing demand for robust digital security measures

The frequency and intensity of cybercrimes have risen with the proliferation of digitization across industries. Identity thefts and data thefts are becoming increasingly common. Cybercrimes have resulted in financial losses and loss of intellectual property. The cybersecurity company McAfee, LLC estimated that the world loses more than US$ 1 trillion annually to cybercrime. It has led to a growing demand for robust security measures to prevent and deter cybercrimes.

Companies are increasingly opting for voice biometrics to provide an additional layer of security along with traditional text-based passwords. Unlike text passwords, an individual's voice profile is unique, making it even more secure. Voice biometrics are being adapted for customer and employee authentication and payment processing. Technology advancements such as artificial intelligence (AI) allow the measurement of minute changes in pitch and tone, thereby detecting coercion or impersonation. The rising demand for robust digital security measures is a key driver for the global voice biometrics market.

Security and privacy concerns about voice biometrics

The rapid proliferation of voice biometrics in recent years has led to growing questions about privacy and security. Companies use generic security architecture for storing employee or customer voice records. Unlike text-based passwords, a voice signature is unique to each person and the breaching of voice signatures by cybercriminals can lead to troubles for the affected consumer.

Since voice biometrics are mainly used for employee or customer authentication, a breach of voice biometrics might lead to unauthorized access to the system. If unauthorized access occurs in a government or military network, it can escalate to a national security crisis, which has grave implications.

Privacy is another major factor that worries the public. Government regulations have not evolved to catch up with advances in technology. It, therefore, leaves people with fewer protections if there is misappropriation of voice biometrics by companies. Therefore, security and privacy concerns about voice biometrics are a key challenge for the growth of the global market.

COVID-19 impact analysis

The COVID-19 pandemic had a positive impact on the global voice biometrics market. Normal work routines were disrupted, and companies across various industries were forced to institute work from home (WFH) and remote work to ensure operational continuity. The reliance on IT services and technology led to a global rise in cybercrimes during the pandemic.

Email phishing, identity thefts, impersonation and data breaches increased during the pandemic period as nearly all major business functions migrated online. Companies started installing voice biometric software to increase security. Some companies were even adopting facial recognition and voice authentication via laptop microphones and webcams for work attendance during the pandemic of remote work.

Healthcare, manufacturing, banking, and financial services saw major increases in the adoption of voice biometrics. Due to social distancing regulations and staffing shortages, manufacturing industries instituted voice biometrics for work attendance. The healthcare industry used a similar approach in hospitals and clinics to prevent contact and maintain social distancing. Banks and financial institutions increased the usage of voice biometrics for payment processing and customer authentication due to rising cyber thefts and identity impersonation.

The long-term impact of the pandemic has been negligible on the voice biometrics market since cybersecurity concerns will only increase in the coming years. The pandemic is likely to accelerate the adoption of voice biometrics. The demand for voice biometrics s remains strong and is expected to grow gradually in the coming years.

Segment Analysis

The global voice biometrics market is segmented into type, authentication process, application, end-user and region. The voice biometrics market by end-user is further segmented into BFSI, retail and e-commerce, manufacturing, IT and telecom, healthcare, transportation and logistics, government and defense, energy and utilities and others.

BFSI is leading this segmentation since voice biometrics provide an additional layer of security. Due to rising incidences of cybercrimes and the vulnerability of text passwords, banks and other financial institutions have adopted voice biometrics for payment processing and customer authentication. The voice signature, unique to every individual, provides maximum security against unauthorized access, thereby preventing customer financial losses.

Geographical Analysis

North America is leading in the global voice biometrics market. The region's leading position is primarily due to the presence of U.S., a high-income, developed country. It is also home to a well-developed IT industry that develops and markets new types of voice biometric software and services. Due to its culture of innovation and entrepreneurship, U.S. is generally first in commercializing emerging technologies.

Due to the widespread adoption of cloud computing and other associated technologies, voice biometrics for security has increased across various industrial domains. The usage of voice authentication is primarily prevalent across banking and financial services, healthcare, government and defense.

The U.S. government and U.S. military are major users of voice biometrics for authentication and security, given the country's prominence as a global superpower. With rising cyberattacks and data breaches, the adoption of voice biometrics is likely to increase across various industries. Therefore, North America generates massive demand for voice biometrics. North America will continue to have the largest market share in the global voice biometrics market in the coming years.

Competitive Landscape

The global voice biometrics market is competitive due to various voice biometrics software and services that cater to different end-use applications. Some major players contributing to growth in the market are Nuance Communications, Inc., NICE, Verint Systems Inc., Pindrop Security, LexisNexis Risk Solutions Group, Voice Biometrics Group, Aculab, Phonexia, Auraya Inc. and OneVault. The major players in the market adopt several growth strategies such as new product launches, upgradation of existing products, cybersecurity research, collaborations and government tie-ups to contribute to the growth of the global industry.

Nuance Communications, Inc.

Overview: Nuance Communications, Inc. is a major multinational company developing and markets speech recognition and artificial intelligence software. The company is adapting its proprietary speech recognition software for various industrial verticals. In 2021, Nuance Communications, Inc. announced an acquisition offer from Microsoft. The acquisition was completed in March 2022. Nuance Communications, Inc. was established in 1992 and is headquartered in Burlington, Massachusetts, U.S.

Product Portfolio:

Nuance Dragon is the company's proprietary voice biometric and speech recognition software. It is mainly intended for professional, legal and law enforcement applications. The software is cloud-hosted and has dynamic artificial intelligence (AI) support. The software detects voice with up to 99% accuracy and can be integrated with other cloud-based applications. Nuance Dragon complies with all major U.S. privacy and digital laws.

Key Developments:

• In May 2022, Deutsche Telekom signed an agreement with Nuance Communications, Inc. to use the Nuance Gatekeeper voice recognition software for customer authentication.

Why Purchase the Report?
• Visualize the composition of the voice biometrics market segmentation by the type, authentication process, application, end-user and region, highlighting the critical commercial assets and players.
• Identify commercial opportunities in the Voice biometrics market by analyzing trends and co-development deals.
• Excel data sheet with thousands of global Voice biometrics market-level 4/5 segmentation data points.
• PDF report with the most relevant analysis cogently put together after exhaustive qualitative interviews and in-depth market study.
• Product mapping in excel for the critical product of all major market players

The global voice biometrics market report would provide approximately 65 market data tables, 78 figures and 250 pages.

Target Audience 2022
• Voice biometrics service providers
• Cybersecurity think tanks
• Commercial enterprises
• Industry Investors/Investment Bankers
• Education & Research Institutes
• Research Professionals