Security needs push up smart card adoption

New analysis from Frost & Sullivan, World Corporate Se­cu­rity (Logical and Physical Access Control) Markets, reveals that the revenue in the smart card market totaled $94.7 million in 2004 and projects to reach $149.9 million in 2010.

"Growing security needs of businesses across the world are expec­ted to continue to push the adoption of smart card-based corporate ID system," explained Jafizwaty Ishahak, Karthik Nagarajan and Anoop Ubhey, Senior Analysts, Frost & Sullivan. 

Smart cards have greater data storage capabili­ties. Moreover, the WLAN con­sortium defines the speci­fications for worldwide ac­cess to wireless LAN networks with smart card security and related ca­pa­bilities ac­ross market segments. 

Recently, it released a complete set of specifications that allows telecom opera­tors to easily extend subs­criber identity module (SIM)-based authentication for use in hotspots. Despite such beneficial features, organiza­tions shy away from intensive adoption of smart cards due to high investment costs. Smart card-based access control systems are more expensive compared to magnetic stripe, proximity cards and barcodes.

With a revenue forecast compound annual growth rate of eight percent, the future of the smart cards market is secure due to the high level of privacy it assu­res, its multi-application appeal, heightened need for security in businesses glo­bally and increased num­ber of mobile users in the cor­porate networks.

CyberMedia News

Mumbai