Fingerprint scanners vital in securing future technology

Since fingerprint readers started becoming a standard feature for smartphones, Fingerprint Cards has done very well for itself. In 2015, it held 45 percent of the market. Some believe this market dominance is unsustainable, but Redeye has released an initiation of coverage report for FPC that shows a brighter future.

Redeye expects FPC to stay competitive and maintain its dominance in the market, which combined with new market opportunities, will lead to sales growth of 167 percent in 2016, according to the report. Growth is projected to slow dramatically after this year, though, with growth of 20 percent and 17 percent in 2017 and 2018, respectively.

In addition, there are many new uses of fingerprint scanners on the horizon as it is the most advanced biometric security technology widely available. Fingerprint scanners are expected to become important security measures for the healthcare industry and the Internet of Things in general.

Mobile devices will continue to lead fingerprint sensors applications, but smart cards are predicted to grow quickly through 2020. Smart cards are pocket-sized cards with embedded integrated circuits. These cards, including personal IDs and payment cards, are expected to become important in industries like healthcare, finance and government.

Redeye reports that 35 billion cards were manufactured in 2014 and shipments were far higher than smartphones. This makes sense given that traditional plastic cards cost less to produce and ubiquitous. Even smart cards are cheaper to produce than a full smartphone, though, and fingerprint scanners can add an additional layer of security for firms or individuals who feel they need it.

Likewise, biometrics can have big implications in the automotive industry. In addition to the added security for car owners, it could help bring down insurance premiums for some who are willing to limit access to their vehicle.

IoT and wearables are also singled out for growth potential. Between 50 billion and 100 billion IoT devices are expected to be shipped in 2020 and the wearables market is expected to grow 800 percent between 2015 and 2018.

Fingerprint scanners are already relevant in the IoT market thanks to smart door locks, fingerprint safes and similar products. Biometrics could have various uses in wearables. Some wearable devices, especially smartwatches like the Apple Watch, are already being used for mobile payments, so fingerprint sensors likely have a good future in this market.