The Voice Biometrics market was valued at USD 957.6 million in 2019 and is expected to reach USD 3515.05 million by 2025, at a CAGR of 18.7% over the forecast period 2020 - 2025. The proliferation in the large-scale use of stolen data by professional fraudsters is rendering knowledge-based authentication increasingly inadequate for distinguishing legitimate users from fraudsters. This has led to the proliferation of biometric technologies. Voice biometrics is a versatile technology that finds use in several areas that include Call Center Authentication, Hands–Free Interface, Bank Account Protection, and Mobile Application Development.
- While many other biometric technologies like fingerprint and retina scanning are relatively popular and equally secure, Voice Biometrics remains the only practical means of authenticating any user over a remote channel e.g. a phone or PC. This factor has led to the rapid growth of real-time voice recognition-based biometric solutions.
- Voice recognition is being extensively used in Banks and Call Centers to prevent frauds. Several players like Verint have developed solutions that use voice biometrics to verify callers in real-time passively, without the use of any password making the process of authentication faster, easier, and relatively more secure than the conventional methods.
- Though the voice recognition technology can be used independently many solutions are combining voice recognition with other biometric solutions to provide better security in both private and professional premises. The use of multi-modal systems can resolve any uncertainty end-users such as banks may have in authenticating a customer. Visa recently announced a partnership with Delaware-based Fortress Identity to use its voiceprint technology along with “active and passive biometrics and phone codes” for cardholder authentication in the Latin American and Caribbean region.
- However, the growth of voice recognition will depend on the development of advanced algorithms that can reduce instances of false accepts as well as false rejects. Nuance Communications has developed a solution that analyzes a voice for over 140 factors against a voiceprint making it impossible to spoof or duplicate it.
Scope of the Report
Voice Biometrics is the technology that uses unique vocal attributes to verify a person’s identity. Unique vocal characteristics like pitch, tone and rhythm of speech are used by Voice biometrics to complete the process of verification. The sophisticated algorithms used in the process use compare the voice models provided to the existing voice samples of a connected database to confirm or reject the identity of a user.
Key Market Trends
Banking, Financial Services, Insurance have Emerged as the Leading Field for Voice Biometric Application
- The solutions by banking and financial contact centers currently are inefficient for verifying customers and deterring fraudsters. The Finance Sector has limited device interactions due to inadequate security features. Pindrop Labs, a pioneer in providing Voice Biometrics solutions has stated that there has been a 269% increase in Financial Institution fraud attacks over the last 4 years which is higher than most other industries studied. Account takeover and breaches impact brand reputation and customer trust.
- Moreover, Voice authentication creates a simpler process and non-invasive experience for customers, simultaneously increasing security and making impersonation of customers tougher. It humanizes the process of authentication by eliminating the need to constantly remember passwords and PINs. It is an active and non-invasive technology independent of language, dialect or accent. In addition to offering enhanced security with fewer false rejections, the technology has a simple sign up process that doesn’t require strenuous effort from both customer and agent.
- FinTech analysts predict that the PIN number will become obsolete in the next few years. The Finance sector remains at the forefront of adopting new forms of digital security like Voice Biometrics as there is a greater demand for security than ever before. This is primarily due to the synchronous rise of frauds along with the use of technologies like mobile banking. In 2018, HSBC announced the introduction of voice recognition mobile apps and ATMs to allow customers to complete transactions without the use of passwords or card swipes.
- Going forward voice recognition is expected to be used by the financial Institutions to integrate voice recognition with their speech-recognition applications. This could make checking account balances making transactions as simple as speaking to Alexa. U.S. Bank, TD Bank, and Santander Bank are some of the institutions that have launched voiceprint programs successfully in the past couple of years.
North America is Expected to Hold the Largest Share
- The financial sector has been increasingly affected by the proliferation in the identity thefts related to payment and banking sector in the United States, as noted by the Federal Trade Commission last year. North American Free Trade Agreement (NAFTA), urged banks across the region to use advanced authentication services like Voice Biometrics in order to counter the threat of fraudsters in the industry.
- The lucrative banking sector in the region has experienced the proliferation in the use of biometric technology with the increasing instances of frauds. Many secure and versatile security solutions are being introduced in the region. G+D Mobile Security in collaboration with Samsung SDS has launched its FIDO-compliant Convego Mobile Authentication in North America. The solution uses biometrics such as fingerprint, face, iris, and voice credentials, to deliver security solutions with multi-factor authentication.
- The tech-savvy market of North America is experiencing the innovative use of Voice Biometrics to provide next-generation solutions. Visa and SiriusXM recently announced a partnership to develop a new in-vehicle payment solution secured by biometric authentication. SiriusXM e-wallet has been integrated with SiriusXM’s connected vehicle services for most of the major automotive brands in North America, enabling payments with a registered Visa account activated and authenticated using voice biometrics and touchscreen commands to avoid driver distraction.
- Telmate’s recently introduced biometric solutions for correction centers across United States will use Voice and facial biometrics collected by Telmate’s inmate communications systems from both prisoners and those communicating with them to verify the identity of both parties in inmate communications in order to enforce calling restrictions and develop the capability of confidant attribution of any evidence captured during the communications.
The Voice Biometrics Market remains a highly competitive market with several emerging players that are getting into the biometric ecosystem. The market has witnessed a few mergers and acquisitions in the recent past. With the inflow of massive amounts of fund into the startups operating in this space, we can expect the launch of several new products in the years ahead. Some of the recent developments are as follows:-
- June 2019 - INTELid., announced a development partnership with ValidSoft,. ValidSoft voice biometric DNA will be added to the INTELid private digital identity blockchain, thereby adding a layer of security and identification to the INTELid Digital Identity blockchain.
- Jan 2019 - Pindrop, launched its Voice Identity Platform that extends its enterprise-grade technology beyond the call center space into the Internet of Things (IoT), voice assistants, smart homes and offices, and connected cars. The company aims to enter several crucial new market sectors with its proprietary Deep Voice biometric technology
- May 2018 - Nuance Communications acquired Voicebox Technologies, an early leader in speech recognition and natural language technologies. Voicebox was earlier supplying voice technology for a variety of applications and devices of several key players.
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