Fingerprint Firms Take Digital Payments Beyond Phones

Companies that specialize in the use of biometrics, particularly fingerprints, are employing the security technology to work in a variety of new use cases.

Fingerprint Cards (FPC), a Sweden-based biometric smartcard technology provider, told Reuters its sector will become the fastest-growing market as early as 2018. Though the supplier market for providing fingerprint sensors is a crowded one, FPC remains optimistic about its ability to hold onto its market leader position.

While some are skeptical about the expectation of how the market will realistically take off in coming years, Reuters reported on Thursday (April 14) that the fingerprint sensor business continued to reap the benefits of the technology being popularized through Apple devices.

FPC Chief Executive Jorgen Lantto told Reuters that beyond being used to authorize or verify payments, biometric smartcards have the potential to also secure access to buildings and IT systems. The company identified keyless entry for vehicles as another potential major market, as well as wearable products, such as wristbands and watches, that may act as substitute forms of identity authentication.

According to Reuters, FPC forecasts that the total addressable market for the “other segments” part of its business will reach nearly 100 million sensors next year and approximately 500 million in 2018.

Late last year, FPC experienced a massive demand increase once it began outfitting China’s Huawei smartphone with its fingerprint sensors. In fact, in 2015 alone, its shares jumped more than 1,000 percent.

“We talk to a lot of players, and companies come to us. There is substance behind our numbers,” Lantto explained.