The smart cards market will likely grow at a compound annual growth rate (CAGR) of 9.0% until 2020 says forecaster RAM Research. The Asia Pacific smart cards market is estimated to grow at a CAGR of 10.1% from 2014 to 2020.
According to a new market report published by Transparency Market Research, “Smart Cards Market – Global Industry Analysis, Size, Share, Growth, Trends and Forecast, 2014 – 2020,” Asia Pacific was the largest revenue contributor in 2013, accounting for almost 50% of the global smart card market revenue. Asia Pacific is expected to retain its dominant position and is analyzed to be the fastest growing market for smart cards during the forecast period.
China, India, South Korea, and Japan are expected to be the major contributors to the market in the near term.
Smart cards are classified based on components as memory based smart cards and microcontrollers based smart cards. Memory based smart cards are powered by card readers and are mainly used in low-end and mid-end SIM cards. Microcontrollers based card usage is driven by the added functionality such as security and intellectual data processing capabilities. Based on incorporation of the components, different smart card types are available in the market, which include contact smart cards, contactless smart cards, dual interface smart cards and hybrid smart cards.
Of these smart card types, contact smart cards are expected lose market share to contactless and other card types. Contactless smart cards provide a technology platform for adding new applications to access control systems and facilitate more secure identity verification for both physical and logical access. Additional security features provided by contactless and dual interface smart cards is driving their adoption in ATM/credit/debit cards and eIDs, and transportation IDs among others.
Contactless smart cards accounted for 16.5% of the total smart cards market revenue in 2013.
For data, background and forecasts on Smart Cards: Search CardWeb.com’s CardFlash® Library of more than 58,000 archived articles; Access CardWeb.com’s CardData® for current and historical Performance, Portfolios, Profiles, etc. Visit RAM Research® (ramresearch.com) for quarterly and annual forecasts covering more than 150 metrics. [complimentary or deeply discounted access to CardWeb.com subscribers].
Additional database resources include CardWeb.com’s CardExecs® – comings & goings of payments movers & shakers; CardWeb.com’s CardWatch® – ears & eyes on marketing globally (57K items); and CardWeb.com’s CardPixes® – form & function of card design (7K items).