The market for NFC chips is expected to grow from its estimated US$ 1.9 billion in 2023 to US$ 7.6 billion by the end of 2033, at a compound annual growth rate of 15%.
Devices may communicate with one another when they are brought close to one another, usually within a few centimeters, thanks to a short-range wireless technology called near field communication (NFC). Operating at a frequency of 13.56 MHz, NFC technology is based on RFID (Radio Frequency Identification) technology.
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A tiny integrated circuit known as an NFC chip enables wireless communication between devices that implement NFC technology. It may be found integrated in a number of gadgets, including credit cards, tablets, smartphones, and smartwatches.
Numerous uses are made possible by NFC technology, such as data transfer, access control, contactless payments, and many more. For instance, a smartphone with an NFC chip may be used to make payments by only touching it against a terminal or application that supports NFC payments. NFC may also be used to pair Bluetooth devices, open doors, and get access to protected locations in addition to transferring files between devices. All things considered, NFC chip technology has promise for improving and streamlining everyday interactions with items and gadgets.
There are two further categories for NFC chip technology: auxiliary and non-auxiliary NFC goods. NFC readers, tags, and antennae are a few examples of non-auxiliary NFC product kinds.
Key Companies Profiled
- Broadcom Inc.
- HID Global
- Intel Corporation
- Infineon Technologies AG
- Marvell Technology, Inc.
- MediaTek Inc.
- Nordic Semiconductor
- NXP Semiconductors N.V.
- Qualcomm Technologies, Inc.
- Renesas Electronics Corporation
- Samsung Electronics Co., Ltd.
- Sony Corporation
- STMicroelectronics N.V.
- Texas Instruments Incorporated
Non-auxiliary NFC products are stand-alone items that employ NFC technology as their main purpose rather than being supplementary or secondary to another product or device. These goods are made to use NFC technology's special qualities in order to offer fresh, creative solutions.
NFC tags are one type of non-auxiliary NFC product. These tiny, passive gadgets are information-programmable and may be fastened to surfaces or objects. When a smartphone is brought close to an NFC tag, it can read data from the tag. NFC tags can be used for interactive marketing, access control, and inventory monitoring.
Mobile gadgets such as cellphones facilitate near field communication. NFC card chips are safe and easy to use. NFC is utilized in e-ticketing and contactless payment systems. Retailers in the personal care sector may use NFC and radio frequency identification (RFID) to improve the pre-, during-, and post-sale experiences of their consumers. These technologies, along with the wider application of analytics, enable a more thorough understanding of consumer behavior.
The retail and public transportation industries are seeing an increase in the use of NFC-enabled technologies, such as contactless ticketing systems. The use of NFC in e-ticketing reduces the cost of supplying tickets and maintaining the ticketing infrastructure.
Mobile Devices Leading Data Transfer with NFC-Capable Point of Sale Systems
The mobile commerce IT sector is expected to develop rapidly over the next 10 years. Owners of smartphones may execute online purchases thanks to NFC technology. Additionally, mobile devices have become essential tools for data transfer with the advent of NFC-enabled point-of-sale (POS) systems. Mobile application developers are collaborating with certain financial institutions to produce applications that enable users to execute business transactions.
Because of the growing demand from the access control and payment industries, NFC tags and readers are expected to be utilized more extensively during the next ten years. The method that integrates SD cards with near field communication has helped manufacturers save infrastructure costs, which has increased the market for NFC chips. During the projection period, it is expected that the demand for NFC-based mobile wallets would increase due to the ability of Sim cards to perform cashless payments and offer a better user experience.
NFC Technology: A Cutting-Edge Countermeasure against False Identity Theft
One emerging trend in the market is the use of NFC to prevent false identity fraud. The ongoing advancement of technology has made hacking into gadgets easier. According to a number of studies, the financial fraud category that is growing the quickest is synthetic identity fraud.
The most advanced method of stopping synthetic identity fraud is near field communication technology, which allows users to verify identities more quickly, securely, and reliably. This technology is used by airports as a part of their border control procedure in lieu of manual passport inspections. It is possible to take pictures of travelers and scan their e-passports; the two may then be compared to make sure they match.
Competitive Landscape
Marvell Technology, Inc., NXP Semiconductors N.V., MediaTek Inc., Nordic Semiconductor, and Qualcomm Technologies, Inc. are a few of the top players in the NFC chips industry. Players in the NFC chip industry are using a range of tactics to increase their market share and obtain a competitive advantage.
As the need for NFC technology rises, numerous major competitors in the NFC chip market are continuously creating and releasing new products, according to Fact.MR, a source of competitive intelligence and market research. These new devices frequently have improved performance, reduced battery consumption, and greater security.
- NXP Semiconductors unveiled NTAG 22x DNA, a new generation of NFC tags that combines condition monitoring and tamper detection on a single chip, in May 2022.
Key Segments Covered in NFC Chip Industry Research
- By Product Type :
- Auxiliary
- Non-auxiliary
- By Storage Capacity :
- Up to 64 Bytes
- 65 to 168 Bytes
- 169 to 180 Bytes
- 181 to 540 Bytes
- Above 540 Bytes
- By Application :
- Smartphones
- Laptops Notebooks
- Smart Cards
- Televisions
- Point-of-Sale Systems
- Medical Devices
- Vehicles
- Smart Wearables
- By End-use Industry :
- Automotive Transportation
- Consumer Electronics
- Retail
- BFSI
- Healthcare
- Building Infrastructure
- Media Entertainment
- By Region :
- North America
- Latin America
- Europe
- East Asia
- South Asia Oceania
- MEA
In conclusion, the NFC chip market's future looks promising, with its wide-ranging applications and continued technological advancements ensuring sustained growth. Stakeholders in this market are well-positioned to benefit from the expanding opportunities in the years to come.
FAQ:
What is the anticipated market value of NFC chips by 2033?
Sales of NFC chips are predicted to reach US$ 7.6 billion by 2033.
What is the projected CAGR for the NFC chip market?
Demand for NFC chips is expected to increase at a CAGR of 15% from 2023 to 2033.
What is the market value of NFC chips in 2023?
The global NFC chip market is valued at US$ 1.9 billion in 2023.
