In an age of high-tech scams and identity theft, the market for biometric protection and electronic verification devices continues to expand. Will these technologies become the standard for commercial and personal safety?

Traditional lock-and-key security may soon become a thing of the past. The threat of identity theft, pirated information and even compromised national security has made biometrics a rapidly advancing field. Smart security is a robust industry with expanding appeal in the military, public and private sectors. As these new technologies become cheaper and find more applications in day-to-day life, we can expect to see things like retinal scanners and contact-less ID cards making inroads both at work and at home.

The Biometrics Boom
The biometric security industry has burgeoned in recent years due to a shift from niche technology to more mainstream applications. The use of high-tech recognition devices has expanded from the government sector into providing security for financial firms, transportation companies and other sensitive industries.

The global biometrics market will grow from approximately $3 billion in 2007 to $3.83 billion in 2008, according to estimates from the International Biometric Group. It is forecast to climb by an additional $800 million in 2009.

Much of this growth is driven by the increasing popularity of facial recognition, fingerprinting and iris scanning technology. A recent report published by Research and Markets predicts the biometrics industry will expand by 20 percent through 2012, with these three technologies claiming nearly 80 percent of the market share alone.

Over the next four years, the health care and financial industries are expected to become the largest purchasers of biometric security systems, making these new technologies more visible in public life.

New regulations and mandates by the U.S. government are also expected to increase the reach and breadth of biometrics. Homeland Security recently established nationwide standards for enforcing the 2005 Real ID Act, which is expected to dramatically boost the collection of fingerprint and retinal biometrics data, reports National Journal magazine.

Federally funded “identity-solutions” contracts, such as the billion-dollar biometrics deal between the Justice Department and Lockheed Martin, may nearly double the value of government smart security investment.

Transportation is another potential source of growth for the biometrics industry. In conjunction with the Transportation Security Administration (TSA), Southwest Airlines recently began testing a new smart security program at its terminals.

“We think that it offers a much higher degree of security for our pilots and will allow TSA a greater ability to focus on other areas of the screening process,” Chuck Magill, a Southwest Airlines vice president, said in the Washington Business Journal.

The program will use fingerprint analysis to screen more than 200 pilots. This past March, the TSA also experimented with full-body scanning to check passengers at the security gate, reports the Washington Business Journal.

Similarly, 27 countries in the European Union recently tested a biometric passport system intended to improve airport security screening, reports Silicon.com. These new e-passports carry radio-frequency identification (RFID) chips imprinted with fingerprint data and personal information, as well as self-authentication capabilities to prevent tampering.

Smart Card Advances
While still a relatively small market, smart cards have gained in popularity due to increased efforts to provide secure transactions and streamlined payment methods. Like e-passports, these cards use embedded RFID chips to protect their information and can be formatted to credit cards, debit cards or cell phones. This technology allows the smart card to deliver secure transactions by being in proximity (two to four inches) to a receiving terminal without having to actually touch it.

According to a study funded by the Smart Card Alliance (via Bank Technology News), roughly 9 percent of the U.S. population currently uses contact-less smart cards for financial payments, transit fares and corporate and government ID cards.

In addition, the smart card industry predicts that approximately 34 million cell phones will be used for smart card online banking by 2012, according to a press release on BusinessWire. Smart card manufacturers are also promoting the technology as a possible “solution to the ‘privacy’ and security questions still posed by the Real ID Act,” the article concludes.

Safety Glass and Smart Glass Protection
Reinforced, tempered and flexible glass are forms of security shielding projected to benefit from an increase in consumer demand over the next few years. Various types of safety glass may be used for commercial or personal security, while smart glass caters to a more specific section of the market.

The advanced glass market is forecast to grow by 5 percent annually through 2012, according to a recent report. Rising demand and market penetration for laminated automotive glass, bulletproof and anti-burglary glass will help the American advanced glass industry reach an estimated value of $7.2 billion in the next four years.

“Among the advanced flat glass products which has held out the most promise is ‘smart glass,’” the report claims. This glass is self-adaptable, allowing it to change its light transmission properties based on external conditions. Although smart glass has been used largely for solar control and decorative applications, “it appears that commercialization is finally beginning to materialize.”

According to Laser Focus World, recent advances in smart glass technology, such as a specialized film that reacts to voltage fluctuations, will allow a broader range of smart glass applications for windows, sunroofs, eyewear and many other products.

Smart glass can also be used to reduce energy expenditure and lower structural heat gain. An Australian company recently spent $4 million to install smart glass windows on its building’s exteriors. These windows will help filter ultraviolet light and prevent overheating. The investment is expected to ultimately save money in long-term operating expenses.

Resources

Biometrics Market and Industry Report 2007-2012
The International Biometric Group, January, 2007

Global Biometric Forecast to 2012
RNCOS, August, 2008

The Real ID Act of 2005
National Conference of State Legislatures, 2008

A Growing Market
by Chris Strohm
National Journal Magazine, July 5, 2008

Southwest Airlines Testing Biometric Security at BWI
by Scott Dance
Washington Business Journal, Sept. 17, 2008

“Uncloneable” Biometric Passports Pass the Test
by Nick Heath
Silicon.com, Sept. 22, 2008

Smart Card Alliance Notes Boost in Contactless Use
by Glen Fest
Bank Technology News, October 2008

Cartes & IDentification 2008 Focuses on the Use of Smart Cards in the U.S.
BusinessWire, Sept. 16, 2008

Advanced Flat Glass Market in the USA
The Freedonia Group, January 2008

SmartGlass International Launches Variable-Transmission Windows
Laser Focus World, Sept. 19, 2008

Green Building Makes It Easy
by Anita Maglicic
The Penrith Star, Sept. 15, 2008