The facial recognition market is slated to witness considerable growth over the coming time period due to various ongoing technological advancements, increasing smartphone penetration, and rising demand for security and surveillance. Face recognition is a secure way of identifying or verifying the identity of an individual based on facial features.
The system utilizes biometrics mapping techniques to map out and store facial features from a video or photograph. The facial recognition systems are used by law enforcement agencies more often in routine policing activities and to identify criminals. The police officers generally collect mugshots from arrestees comparing them against federal, state, and local face recognition databases.
Facial recognition is also emerging as an important security feature in smartphones as it makes unlocking phones much quicker than other biometric and pin/pattern based unlocking features. With smartphone penetration increasing across emerging economies, the market for facial recognition through smartphones is expected to witness considerable revenue growth.
The facial recognition market is bifurcated in terms of component, end-use, application, and regional landscape.
Based on component, the facial recognition market is classified into software and services. The software segment is further classified into 3D facial recognition, facial analytics, and 2D facial recognition. The 2D facial recognition technology is widely used for online identification or verification procedure and is likely to witness considerable rate of adoption.
Service segment is expected to witness a significant demand owing to the growing implementation of modern solutions to improve performance.
With respect to end-use, the facial recognition market is categorized into physical security; photo indexing and sorting; intelligent signage; ID management, attendance tracking & monitoring; homeland security; criminal investigation; and others. The facial recognition technology is widely used by homeland security at airports to avoid terrorist activities. Photo indexing and sorting segment is slated register tremendous gains as it provides fast & convenient photo sorting capabilities, resulting in the increasing demand for technology in various applications.
In terms of application, the market is segmented into retail & e-commerce, healthcare, government, education, BFSI, automotive, aerospace & defense, and others. The others segment includes consumer electronics and entertainment. The aerospace & defense segment is forecast to witness substantial revenue growth as facial recognition, in combination with advanced technologies such as artificial Intelligence (AI), deep learning, and natural language processing, is widely used to enhance the responsiveness of aircraft manufacturers.
The automotive application segment is projected to depict a significant rate of adoption as automobile OEMs are integrating advanced face identification systems in vehicles to offer an added level of security.
From a regional frame of reference, the Latin America facial recognition market is set to register remunerative growth owing to the increasing adoption of the technology by several governments to in the region to reduce the crimes rates.
The rise in demand for physical security and surveillance across the UAE, Saudi Arabia, Qatar, and South Africa will increase the product demand in the MEA facial recognition market in the coming years. The introduction of SADAD payment system by the Saudi Arabian Monetary Agency (SAMA) is also creating product demand by banking customers as it enables E-commerce transactions from local and international vendors on a 24/7 basis.