Behavioral Biometrics Market

Market Overview

Behavioral Biometrics is a technology that analyzes measurable patterns in human activities. Those patterns include mouse activity, keystroke movement, touchscreen behavior and device movement.Behavioral Biometrics identifies interactive gestures like how a person types on a keyboard, how they use their mouse, how they move the device and how they touch the screen. Physical biometrics involves fingerprints or iris patterns whereas behavioral biometrics continuously evaluates a user’s ongoing interaction with their devices. Behavioral Biometrics discriminates between a legitimate user and a cybercriminal by identifying unique patterns in human activities. Financial institutions, businesses, and government facilities are using behavioral biometrics for payments, online banking, e-commerce andsecure authentication. Behavioral biometrics is one of the high-end technology used for fraud prevention.

For cyber-attacks, cybercriminals steal data as email, physical addresses, phone numbers, birthdates and other personal details to open a fraudulent account. According to Plurilock Security research, 2016 and 2017 marked 82,000 and 1,60,000 cyberattacks respectively.Behavioral biometrics technology solves these problems by using machine learning to analyze patterns. This need to prevent cyber-attacks has driven the need for high adoption of behavioral biometrics.

What are the Key Trends impacting Growth of the Behavioral Biometrics Market?

There is an increase in number of mobile phone users with bank accounts and so does the rise in mobile banking. Fraudsters are targeting digital transactions and this is one of the key factor driving the global behavioral biometrics market. Mobile phone users have been confirming their identity with password and pin at first, then with biometrics such as fingerprints and faces. Now, behavioral biometrics is emerging as a multi-layered security approach technology in identity verification. An extra layer of security to prevent cyber-attacks has driven the need for adoption of behavioral biometrics.

Behavioral biometrics is widely getting preferred among the key end-use industries such as BFSI, healthcare, government, defense, telecommunication, and retail sectors.The demand for more developments in machine learning and artificial intelligence for advanced digital security have further led to the rise behavioral biometrics. Behavioral biometrics’ technology has the unique ability, which bridges the gap between security and user experience and this significant factor is further impelling the need for behavioral biometrics.

Behavioral Biometrics Market: Drivers for Market Demand

With more and more banks using behavioural biometrics technology to monitor visitors to their websites and apps, the global behavioral biometrics is likely to see immense potential for growth in coming years. Banks like Royal Bank of Scotland and U.K.-based bank have already started to use this technology for its wealth clients to record 2,000-plus movements on the keyboard, mobile apps and website. BioCatch, an Israel-based digital identity company is providing bank’s authentication tools for building profiles based on customers’ gestures. The adoption of such software made by digital identity companies is further impelling the need for behavioral biometrics.

Users are sharing a large amount of personal data online and now passwords or pins are the standard protection method. Therefore, to combat identity frauds, solutions like behavioral biometrics continue to be developed. Emergence of such solutions is likely to garner demand in the global behavioral biometrics market.

• According to BioCatch, the company has profiles on about 7 crore individuals and monitors 600 crore transactions a month.
• American Express is also using its technology on new account applications.

What are the Key Challenges that may Restrain Growth of the Behavioral Biometrics Market?

However, the behavioral biometrics is also impacted significantly when the challenges given below hamper the growth of behavioral biometrics-

• High cost of implementing behavioral biometrics software
• Less budget availability for cyber security
• A challenge to move from passwords/pin to behavioral biometrics

These challenges have impacted the market growth and has hindered the adoption of Behavioral Biometrics solutions across various industries such as BFSI, Telecom, Government, and others

Competition Landscape

Key players such as

• BioCatch Ltd.
• Nuance Communications Inc.
• MasterCard Incorporated
• ThreatMark s.r.o.
• Plurilock Security Solutions Inc.
• ZIGHRA INC.
• Secured Touch
• GetSmart Solutions Ltd.
• Akiyama
• NuData Security
• G2 Data Technologies
• Nexgen Technologies
• Net Com SAS
• UnifyID
• SecureAuth Corporation
• Fair Issac Corporation
• BehavioSec Inc.
• Others

are actively involved in offering behavioral biometrics solutions for different applications.

What strategies are the Key Players adopting for Increasing their Market Share in the Behavioral Biometrics Market?

The companies involved in the services and software of behavioral biometrics are continuously focusing on research and development for increasing their market share in the global behavioral biometrics market.

• In February 2020, BioCatch, the global leader in behavioral biometrics acquired Aimbrain to enhance fraud detection, delivering seamless and secure digital experience to organizations and users.
• In February 2019, Plurilock Security Solutions Inc. introduced its new product ADAPT MFA to provide next-generation multi-factor authentication for enterprise environments.
• In August2018,NuData Security, a behavioral biometrics company introduced a 3-D secure authentication protocol(EMV 3DS), which will help partners to increase transaction approvals. 

What are the Key Opportunities for Behavioral Biometrics industries?

Biometric technologies such as behavioral biometric is in great demand as specially banks and other sectors are facing cyber-crimes with depressing regularity. It has been a top agenda of banks to prevent customers from being exposed to risk. Consumers don’t want to compromise on convenience with a demand to optimize security from banks and other financials as they think that there are gaps in banking security. Key solutions such as account opening protection and authentication identity are of great demand to mitigate the risks.

Further, whenever a user logs into their account, the solution with physical biometrics, passwords and pins can become more accurate at identifying them by combining behavioral biometrics with deep learning. Due to an increase in the number of internet users, people have found their digital journey painful as they are losing their security trust in online activities and privacy. This need to protect sensitive data from cyber intrusions with modern security has driven the need for high adoption of behavioral biometrics technology. 

Why is the United States a Big Market for Behavioral Biometrics?

United States has majority of the key vendors of behavioral biometrics and payments industry. This is one of the major driving factor behavioral biometrics market. All the major companies in finance, retail and IT & Telecom are moving towards the adoption of behavioral biometrics technology for fraud prevention. Government of United States has shown a keen interest in implementing behavioral biometrics technology and they are spending millions and dollars to develop advanced behavioral biometrics applications in public sector departments.

The growing demand for data security in United States through behavioral biometrics has opened new growth avenues for behavioral biometrics technology. Most of the states in US are making strides and tops in the implementation of behavioral biometrics technology.

Further, most of the end-use industries such as BFSI, government, and IT and telecom in the United States are shifting towards behavioral biometric for an extra layer of security to protect their customer data. Cyber-attacks made providers to opt for secured authentication solutions in the field of finance based on behavioral biometrics technology.

Intelligence Advanced Research Projects Activity (IARPA) introduced the Odin program in United States in October 2017, which will prevent cyberattacks and will develop sensors, algorithms and technologies. Behavioral biometrics technology has moved far beyond its initial use case as an identity verification tool in United States and this leads the way for growth of behavioral biometrics.

What is the Repercussion of the COVID-19 Pandemic on the Growth of the Behavioral Biometrics Market?

Healthcare, banking and retail are the top industries, adopting contactless biometric technologies for enhanced safety. Due to COVID-19, many of the public and private sectors are implementing behavioral biometrics technology for ensuring modern security. After multiple months of lockdown, COVID-19virus is playing a role of catalyst for healing the economy through biometric technology implementation.

The world has seen the demand for secure, hygienic and convenient authentication systems during this pandemic. It has been difficult for users to touch card readers, keypads and devices for identity authentication. This need has further impelled the implementation of behavioral biometrics technology in businesses and industries for identifying people in-person and online and do not contribute to the spread of COVID-19.

On the other side, this pandemic has forced most companies to halt manufacturing operations on temporary basis in order to obey government rules and due to adverse impact of disruption of supply chains, revenue of companies have been affected.The COVID-19 pandemic has impacted the entire global economy in unprecedented ways.

Various companies or industries have asked their staff to work from home and this has intensified the need for digital solutions. With the outbreak of COVID 19, behavioral biometrics market is expected to witness significant growth due to increasing cyber-attacks and data breaches across the globe.