Passwordless Authentication Market by Component (Hardware and Software), by Type (Fingerprint Recognition, Palm Print Recognition, Iris Recognition, Face Recognition, Voice Analysis, and Smart Card), by Authentication Type (Single-factor Authentication, a

Passwordless Authentication Market by Component (Hardware and Software), by Type (Fingerprint Recognition, Palm Print Recognition, Iris Recognition, Face Recognition, Voice Analysis, and Smart Card), by Authentication Type (Single-factor Authentication, and Multi-factor Authentication), by Motility (Fixed and Mobile), by End-user Industry (BFSI, Logistics, Public Sector, Aerospace & Defense, Healthcare, Retail, and Others) – Global Opportunity Analysis and Industry Forecast, 2024–2030

The Passwordless Authentication Market size was valued at USD 16.66 billion in 2023 and is predicted to reach USD 50.91 billion by 2030, with a CAGR of 17.3% from 2024 to 2030.

The increasing occurrence of cyber-attacks worldwide has driven the expansion of the passwordless authentication market. Prominent data breaches emphasize the critical necessity for stronger authentication methods. Passwordless authentication effectively tackles this issue by removing the dependence on vulnerable passwords and employing advanced methods such as biometrics, token-based authentication, or cryptographic keys to securely verify user identities. This heightened level of security is especially vital in industries bound by strict regulatory compliance standards, prioritizing data safeguarding. Consequently, the passwordless authentication market is experiencing rapid growth, fueled by the urgent need for robust cybersecurity measures amidst the digital transformation.

However, the high initial cost of implementing passwordless authentication solutions presents a substantial barrier to market growth. On the contrary the introduction of mobile device authentication represents a significant advancement in authentication methods, paving the way for a passwordless future.

In a groundbreaking announcement, Zumigo, Inc., a leader in mobile identity authentication, has introduced an industry-first functionality in the Zumigo Assure Authentication product. This innovation enables the seamless transfer of verified trust from a user's mobile phone to various other devices, including desktops, laptops, and tablets.

By leveraging the versatility and ubiquity of QR codes, Zumigo Assure Authentication sets a new standard for passwordless authentication solutions, providing users with unparalleled convenience and security in their online interactions.

Segment Overview

The global passwordless authentication market is segmented on the basis of component, type, authentication type, motility, end user, and region.
 By type, the market is classified into fingerprint recognition, palm print recognition, iris recognition, face recognition, voice analysis, and smart card.
 By component, the market is segmented into hardware and software.
 By authentication type, the market is categorized into single-factor authentication, and multi-factor authentication.
 By motility, the market is divided into fixed and mobile.
 By end user industry, the market is classified into BFSI, logistics, public sector, aerospace & defence, healthcare, retail, and others.
 Region-wise, the market is segmented into North America, Europe, Asia-Pacific, and the rest of the world (RoW).

Regional Analysis

North America is projected to hold a dominant share of the market by 2030

The escalating threat landscape of cyber-attacks, including phishing, credential stuffing, and data breaches, has exposed the vulnerabilities inherent in traditional password-based authentication methods. Consequently, organizations in North America are gravitating towards the Passwordless Authentication market, seeking advanced solutions to fortify their security posture and mitigate the risks associated with unauthorized access and data breaches. For instance, in September 2022, Hackers targeted the Mexican Defense Ministry and accessed six terabytes of data, including internal communications and criminal data. Thus, the rise in incidences of cyberattacks in Mexico increases demand for safe and secure cyber solutions, boosting the growth of market.

The presence of key market players such as Beyond Identity, Inc., Stytch, Inc., Trusona, Inc., and Wink Passwordless, Inc., underscores the competitive landscape and innovation within the passwordless authentication market. These companies contribute significantly to the advancement and adoption of passwordless authentication technologies, driving the market growth with their innovative solutions and services. For instance, in August 2023, Beyond Identity, a leading provider of passwordless, phishing-resistant Multi-Factor Authentication (MFA) solutions, introduced the Passkey Journey. This new tool, which is offered free and complies with GDPR regulations, is aimed at assisting development and user experience (UX) teams in understanding, planning, and optimizing various end-user authentication experiences.

Key Market Players

The key players in the passwordless authentication market include companies such as:
• Okta, Inc.
• Yubico AB
• 1Kosmos, Inc.
• Beyond Identity, Inc.
• Stytch, Inc.
• Trusona, Inc.
• Wink Passwordless, Inc.
• Getidee, Inc.
• Thales
• Axiad, Inc.

Recent Developments

October 2023

Thales introduced the SafeNet IDPrime FIDO Bio Smart Card, a contactless smart card enabling users to securely access devices, applications, and cloud services through fingerprint authentication, eliminating the need for passwords.

February 2022

Wink partnered with Brainvire to utilize Brainvire’s distinctive digital transformation agency approach in implementing Wink’s biometric authentication, payment, and checkout solutions across prominent e-commerce platforms and merchant networks. Through this partnership, secure biometric payment and checkout plugins will be integrated, ensuring widespread availability and accessibility on major e-commerce platforms. This collaboration marks the beginning of a transformative era in online payments, promising fraud-free transactions for merchants operating in the digital space.

May 2022

Trusona, launched Trusona Authentication Cloud, the industry's first app-less passwordless MFA solution designed to improve business growth and profitability with a ""tap and go"" sign-in experience. It delivers a simple sign-in experience that is multi-factor, does not require an app and delivers rapid time-to-value at low cost when deploying FIDO and WebAuthn.

KEY BENEFITS
• The passwordless authentication market report provides a quantitative analysis of the current market and estimations from 2024 to 2030. This analysis assists in identifying the prevailing market opportunities to capistalize on.
• The study comprises a comprehensive analysis of the passwordless authentication market trends, including current and future trends to depict prevalent investment pockets in the market.
• The information related to key drivers, restraints, and opportunities and their impact on the passwordless authentication market is provided in the report.
• The competitive analysis of the market players along with their market share in the passwordless authentication market is provided in the report.
• The SWOT analysis and Porter’s Five Forces model are elaborated in the report.
• The value chain analysis in the market study provides a clear picture of the roles of stakeholders.