New York, NY -- (SBWIRE) -- 10/25/2017 -- According to this report analysis, increasing demand for smart cards in telecommunication, government, and transportation sectors, and for payment applications are key factors fueling growth of the global smart card market. The global smart card market value is anticipated to increase from US$ 7,894.2 Mn in 2015 to US$ 15,050.2 Mn by 2024, expanding at a CAGR of 8.4% during the forecast period (2016–2024). Increasing number of online transactions is raising associated risks of security breach, identity and data theft etc. Smart cards such as EMV (Europay, MasterCard, and Visa) offer enhanced security and help in limiting security risk associated with online payments. Growth of the global smart card market is majorly driven by increasing adoption of cellular subscriber identity module (SIMs) in the telecom industry. Growth of the global smart card market is also expected to be driven by increased penetration of mobile phones in emerging economies in the Middle East and Asia Pacific.
One of the major restraints for growth of the smart card market is high cost for migration to smart cards. Reluctance in adoption of capital-intensive Point of Sale (PoS) terminals is impacting adoption of smart cards, especially for payment and financial applications. Restraints for growth of the global smart card market include the presence and development of alternate payment technologies such as contactless and near field communication (NFC) based devices.
Request Sample: https://www.persistencemarketresearch.com/samples/11149
In 2015, among the different card type segments, contact-based card segment is expected to contribute highest in terms of revenue. The segment was valued at US$ 5,049.7 Mn and is estimated to reach a market value of US$ 8,124.4 Mn by the end of 2024. The micro-controller card segment was valued at US$ 5,626.1 Mn in 2015 and expected to expand at CAGR 8.8% to reach value of US$11,108.0 Mn by 2024 end. In 2015, the telecommunication segment accounted for 48.7% value share of the overall smart card market in 2015, which is expected to increase to 53.5% by the end of 2024.
Smart card demand is escalating owing to high volume of adoption for government identity cards. In addition, increasing adoption of EMV chip technology as the global standard for credit card and debit card payments is projected to boost global sales of smart cards.
Contact cards will continue to be the largest card segment in 2016 as well, representing 64.0% revenue share of the global market. Contactless card – another key card type segment – is expected to account for US$ 1,735.0 Mn in 2016, which is an increase of 13.3% over 2015.
Among all smart card component types, micro-controller cards segment is expected to continue to account for highest value contribution, representing 71.5% revenue share of the global market in 2016.
Asia Pacific will continue to lead, with revenue share increasing to 47.9% in 2016. Increasing adoption of SIMs, EMV cards for banking applications, and increasing adoption of multi-use e-IDs for transportation and government sectors is anticipated to fuel growth of the smart card market in the region over the forecast period.
Download TOC: https://www.persistencemarketresearch.com/market-research/smart-cards-market/toc
Gemalto N.V., Giesecke Devrient GmbH, Oberthur Technologies, and Morpho S.A (Safran) are some of the leaders in the global smart card market. The global smart card market is highly fragmented, with the top three players accounting for around 59.0% revenue share in 2015. Leading companies are looking to expand their production capacity, especially in Asia Pacific, which is one of the major smart card markets. Companies are also focussing on launching new smart card products for government and transportation applications, in a bid to cater to the growing demand for smart cards in emerging economies. The escalating demand for SIMs for telecom application is anticipated to boost growth of the smart card market. Developing economies are expected to remain key target markets for smart card manufacturers in 2016 and beyond.