Behavioral Biometrics Market - Forecasts from 2024 to 2029

Behavioral Biometrics Market - Forecasts from 2024 to 2029

The behavioral biometrics market is evaluated at US$1,284.971 million for the year 2022 and is projected to grow at a CAGR of 21.4% to reach a market size of US$4,993.653 million by the year 2029.

Behavioral biometrics is a field of study that analyses a person’s digital behavior concerning their physical behavior and cognition. This field is usually used for the prevention of fraud or cybercrimes. It legally distinguishes the difference between a cybercriminal and a legitimate user. The identification involves the consideration of a person’s digital behavior instead of information about his physical behavior. This digital behavior includes individual interaction with computer devices, such as smartphones, tablets, keyboards, and mice. Furthermore, behavior biometrics is known to be the new generation of security solutions. The software used for biometrics builds a user profile based on every gesture used by an individual while handling any digital device.

A few benefits of behavioral biometrics include enhanced security (since behavioral patterns are hard to imitate or fake) and better user experience (because authentication may happen automatically in the background without explicit input from the user). However, issues like guaranteeing user privacy and data security, dealing with environmental and device variability, and getting past implementation costs continue to be areas of attention for the advancement and application of behavioral biometrics technology in several sectors, including cybersecurity, healthcare, and finance.

MARKET TRENDS:

The behavioral biometrics market is expanding significantly owing to several important considerations. Firstly, organizations are adopting more sophisticated authentication techniques than just passwords and PINs due to growing worries about identity theft and cybersecurity risks. Behavioral biometrics provide a very safe and intuitive authentication solution by analyzing distinct patterns in user behavior such as touch gestures, mouse movements, and keyboard dynamics.

The requirement for smooth and easy authentication processes has increased due to the widespread use of mobile devices and online transactions, which is fueling the need for behavioral biometrics technology. Moreover, the use of behavioral biometrics solutions is being driven by regulatory compliance requirements, such as the strong customer authentication (SCA) standards of PSD2 and the GDPR in Europe, which are forcing organizations to deploy more stringent identity verification methods.

MARKET DRIVERS:

Rising demand in the baking sector is anticipated to drive the market’s growth.

The banking sector is feeling the surge of behavioral biometric use. They are implementing this service to increase the security of their customer’s data. Many banking sectors are even working on customer security. Preventing customers from fraud and cybercrime is becoming a prime concern for many banks. Various companies, for example, Wells Fargo Company, are planning to implement this technology as well. The company is planning to work on a solution that will make use of the customer’s voice for transaction authentication. Owing to the rise in hacking issues, there is a requirement for the implementation of advanced solutions to prevent these security threats. Even the awareness among the customers has increased in terms of security further fueling the market growth.

Implementation in government services might impact the behavioral biometrics market growth.

The governments of many nations have started to apply biometric systems. Governments are even funding many research and development programs to develop an advanced behavioral biometric system. Many organizations are still unaware of data breach security services. Thus, the government’s enhancement of security services can drive the behavioral biometric market during the forecast period.

Even the market players have come up with various marketing strategies to attract consumers to adopt their behavioral biometric services. For example, Biocatch Ltd. completed its strategic acquisition with AimBrain in 2020 to strengthen its global position in digital identity services. Biocatch promises that its new acquisition, by enhancing its fraud detection capabilities, deepen its cybersecurity solutions and provide a better experience for all its consumers.

RESTRAINTS:

Several obstacles prevent the behavioral biometrics sector from expanding and being widely used. The high There are several obstacles facing the behavioral biometrics sector, despite its enormous development potential. The worry over user privacy and data protection is one of the main obstacles. Behavioral biometrics systems gather private and sensitive data about people's distinct behavioral patterns, which presents moral and legal questions about data privacy laws like the CCPA and GDPR.

For firms, maintaining the efficacy of the technology while adhering to these standards is a difficult problem. Adoption obstacles might also arise from users' opposition since they find it unsettling to think that their actions are being watched over and examined all the time.

North America's behavioral biometrics market is anticipated to grow substantially.

North America is leading in the adaptation and applications of behavioral biometrics in the banking, financing, insurance, and information and communication sectors as well. The advancement in this region is expected to continue in the coming years.

The region has experienced a rise in cybercrime due to an increasing number of hackers, cyber fraud, and many more. This dramatic growth in cybercrime hacker gang activities in the region has increased the cost of biometrics in the countries like US and Canada. This is also predicted to increase investment in the cybersecurity sector. Thus, this attributes to a significant market share of North America in the Behavioural Biometric market globally during the forecast period.

Key Developments:

In December 2023, In Datos Insights' (formerly Aite-Novarica) Global Behavioural Biometrics and Fingerprinting Solutions study, LexisNexis® Risk Solutions was named a leader. In three of the four criterion categories that were evaluated vendor stability, customer strength, and client service received best-in-class ratings. In terms of product characteristics, the analysts said LexisNexis Risk Solutions was a serious competitor that almost reached best-in-class rank.
In August 2023, the next-generation ConnectTM product line was introduced by BioCatch, which is the world leader in behavioral biometric intelligence-powered detection and response to digital fraud and money laundering. A first-of-its-kind, fully integrated fraud, and AML solution portfolio, BioCatch® ConnectTM identifies criminal actors pursuing customers of the biggest companies in the world and proactively detects and expedites targeted interdiction of fraudulent activity.
In March 2022, LexisNexis® Risk Solutions, a division of RELX announced the purchase of BehavioSec®, a supplier of cutting-edge behavioral biometrics technology. BehavioSec's solutions strengthened LexisNexis Risk Solutions' device and digital identity-focused products, including LexisNexis® ThreatMetrix®, by joining the Business Services division.

Segmentation:

By Type
Signature Analysis
Keystroke Dynamics
Voice Recognition
Gait Analysis
Others
By Application
Identity Proofing
Continuous Authentication
Risk and Compliance
Fraud Detection and Prevention
Others
By End-users
BFSI
Retail and E-commerce
Healthcare
Government and Public Sector
Others
By Geography
North America
USA
Canada
Mexico
South America
Brazil
Argentina
Others
Europe
United Kingdom
Germany
France
Spain
Others
Middle East and Africa
Saudi Arabia
UAE
Israel
Others
Asia Pacific
China
Japan
India
South Korea
Taiwan
Thailand
Indonesia
Others