As per MRFR analysis, the Nfc Chips Market Size was estimated at 2.03 (USD Billion) in 2022.The Nfc Chips Market Industry is expected to grow from 2.14(USD Billion) in 2023 to 5.2 (USD Billion) by 2032. The Nfc Chips Market CAGR (growth rate) is expected to be around 14.6% during the forecast period (2023 - 2032).
The market for NFC chips is driven by the increasing adoption of contactless payments and the growing popularity of mobile devices. NFC chips allow users to make secure and convenient payments by simply tapping their device on a compatible reader. This technology is also being used in a variety of other applications, such as access control, loyalty programs, and identity verification.Key market drivers include the growing demand for secure and convenient payment methods, the increasing use of mobile devices, and the growing popularity of the Internet of Things (IoT). The market is also being driven by the growing number of government initiatives to promote contactless payments.Opportunities to be explored or captured include the development of new and innovative NFC-based applications, the expansion of the NFC ecosystem, and the integration of NFC technology into a wider range of devices. The market is also expected to benefit from the growing adoption of IoT devices, which are expected to create new opportunities for NFC-based applications.
Figure1: Nfc Chips Market, 2018 - 2032 (USD Billion)
Source Primary Research, Secondary Research, MRFR Database and Analyst Review
NFC chips are becoming increasingly popular for contactless payments, as they offer a convenient and secure way to make transactions. This is being driven by the rising adoption of mobile wallets and the increasing number of point-of-sale terminals that support NFC payments. The Nfc Chips Market Industry is expected to grow significantly in the coming years, as more and more consumers and businesses adopt contactless payments.NFC chips are also being used in a variety of other applications, such as access control, ticketing, and loyalty programs.This is because NFC chips are a versatile and cost-effective way to enable contactless communication between devices. As the number of NFC-enabled devices grows, the demand for NFC chips is expected to continue to increase.The growing demand for contactless payments is one of the key drivers of the Nfc Chips Market Industry. The increasing adoption of mobile wallets and the rising number of point-of-sale terminals that support NFC payments are contributing to the growth of this market.Additionally, the versatility of NFC chips and their ability to be used in a variety of applications is also driving the demand for these chips.
Governments around the world are increasingly promoting the use of contactless payments, as they offer a number of benefits, such as reduced fraud, increased convenience, and improved hygiene. This is being done through a variety of initiatives, such as tax incentives and public awareness campaigns.For example, the Indian government has launched a number of initiatives to promote the use of contactless payments, such as the BHIM app and the RuPay card.These initiatives have been successful in increasing the adoption of contactless payments in India.Government initiatives to promote contactless payments are another key driver of the Nfc Chips Market Industry. Governments around the world are realizing the benefits of contactless payments and are taking steps to encourage their adoption. This is creating a favorable environment for the growth of the NFC chips market.
The Nfc Chips Market Industry is also being driven by technological advancements in NFC chips. These advancements are making NFC chips more powerful, more efficient, and more secure.For example, the latest generation of NFC chips supports faster data transfer speeds and longer read ranges. This is making NFC chips more suitable for a wider range of applications.Additionally, NFC chips are becoming more secure, with the latest generation of chips featuring advanced encryption and authentication features.This is making NFC chips more resistant to fraud and unauthorized access.Technological advancements in NFC chips are another key driver of the Nfc Chips Market Industry. These advancements are making NFC chips more versatile, more efficient, and more secure. This is creating new opportunities for the use of NFC chips in a variety of applications.
The Nfc Chips Market is segmented by type into passive NFC chips and active NFC chips. Passive NFC chips do not have an internal power source and rely on the electromagnetic field generated by the NFC reader to power them. Active NFC chips have an internal power source and can generate their own electromagnetic field. The passive NFC chips segment is expected to account for a larger share of the Nfc Chips Market revenue in 2023. This is due to the lower cost and smaller size of passive NFC chips, which makes them more suitable for use in applications such as contactless payments, access control, and asset tracking.The active NFC chips segment is expected to grow at a faster rate than the passive NFC chips segment over the forecast period. The market is expected to be driven by the increasing adoption of NFC technology in various applications, such as contactless payments, access control, and asset tracking.
Figure2: Nfc Chips Market, By Type, 2023 & 2032 (USD billion)
Source Primary Research, Secondary Research, MRFR Database and Analyst Review
The Nfc Chips Market segmentation by Application is expected to witness substantial growth during the forecast period. The major applications of NFC chips include mobile payments, access control, smart home devices, healthcare, and automotive. Mobile payments segment is anticipated to account for a significant share of the Nfc Chips Market revenue, owing to the increasing adoption of contactless payment technologies. Additionally, the rising penetration of smartphones and the growing popularity of mobile wallets are driving the demand for NFC chips in this segment.Access control segment is also expected to experience significant growth, driven by the increasing demand for security solutions in various commercial and residential buildings. NFC chips offer a convenient and secure way to control access to restricted areas, making them an attractive option for businesses and homeowners. Smart home devices segment is poised to grow at a notable rate, fueled by the increasing adoption of smart homes and the growing number of connected devices. NFC chips enable seamless connectivity and control of smart home devices, making them an essential component of the smart home ecosystem.Healthcare segment is expected to witness steady growth, as NFC chips find applications in patient identification, medical record management, and medication administration. The use of NFC chips in healthcare improves efficiency and patient safety, driving the demand for this segment. Automotive segment is anticipated to grow at a moderate pace, driven by the increasing adoption of NFC chips in keyless entry systems, vehicle tracking, and infotainment systems. The growing demand for connected cars and the integration of NFC technology in automotive applications are expected to contribute to the growth of this segment.
The Nfc Chips Market segmentation by Connectivity includes ISO 14443A, ISO 14443B, ISO 15693, ISO 18092, and FeliCa. The ISO 14443A segment held the largest market share in 2023, and it is expected to continue to dominate the market during the forecast period. The growth of this segment can be attributed to the increasing adoption of contactless payment systems and the rising popularity of mobile wallets. The ISO 14443B segment is expected to witness significant growth over the forecast period due to its wide application in access control and identification systems.The ISO 15693 segment is expected to grow steadily during the forecast period, driven by its use in logistics and inventory management applications. The ISO 18092 segment is expected to experience moderate growth, while the FeliCa segment is expected to witness a decline in market share due to its limited adoption outside of Japan. Overall, the Connectivity segment is expected to contribute significantly to the growth of the Nfc Chips Market, driven by the increasing demand for contactless payment systems, access control systems, and logistics applications.
The Nfc Chips Market is segmented by data rate into 106 kbit/s, 212 kbit/s, 424 kbit/s, and 848 kbit/s. In 2023, the 106 kbit/s segment accounted for the largest share of the market, and it is expected to continue to dominate the market over the forecast period. The 212 kbit/s segment is expected to grow at the highest CAGR over the forecast period. The increasing demand for high-speed data transfer is driving the growth of the 212 kbit/s segment. The 424 kbit/s and 848 kbit/s segments are also expected to grow at a healthy pace over the forecast period.The growing adoption of NFC technology in various applications, such as mobile payments, access control, and asset tracking, is driving the growth of the Nfc Chips Market.
The Nfc Chips Market is segmented into North America, Europe, APAC, South America, and MEA. Among these regions, North America is expected to hold the largest market share in 2023, owing to the presence of major technology companies and early adoption of NFC technology. Europe is expected to be the second-largest market, followed by APAC. The APAC region is expected to witness the highest growth rate during the forecast period, due to the increasing adoption of NFC technology in emerging economies such as China and India. South America and MEA are expected to have a relatively smaller market share but are expected to grow at a steady pace.The growth of the Nfc Chips Market is attributed to the increasing demand for NFC-enabled devices, such as smartphones, tablets, and wearable devices. NFC technology is also being increasingly used in various applications, such as mobile payments, access control, and data exchange.
Figure3: Nfc Chips Market, By Regional, 2023 & 2032 (USD billion)
Source Primary Research, Secondary Research, MRFR Database and Analyst Review
Major players in Nfc Chips Market industry are continuously striving to enhance their offerings and cater to the diverse needs of consumers. Leading Nfc Chips Market players are actively involved in research and development activities to introduce innovative products and solutions. As a result of the highly competitive landscape, companies are focusing on strategic partnerships, collaborations, and mergers and acquisitions to strengthen their market position and expand their reach. Nfc Chips Market development is being driven by the growing adoption of contactless payment solutions, the increasing popularity of mobile devices, and the rising demand for convenient and secure ways to make payments.Among the key players in the Nfc Chips Market, NXP Semiconductors, Infineon Technologies, and STMicroelectronics hold significant market shares. NXP Semiconductors has a strong presence in the automotive and industrial sectors, while Infineon Technologies focuses on the mobile and security markets. STMicroelectronics caters to various industries, including consumer electronics, automotive, and industrial applications. These leading players are continuously investing in research and development to enhance their product offerings and maintain their competitive edge.Another major player in the Nfc Chips Market is Qualcomm Technologies. The company offers a wide range of Nfc Chips solutions, including mobile payment chips, mobile access chips, and contactless payment terminals. Qualcomm Technologies is focusing on expanding its presence in emerging markets and developing innovative products to meet the growing demand for Nfc Chips. The company's strong brand recognition and distribution network enable it to reach a wide customer base.
The NFC chips market is poised for substantial growth in the coming years, driven by the increasing adoption of contactless payments and the growing popularity of IoT devices. In 2023, the market was valued at USD 25.49 billion, and it is projected to reach USD 84.0 billion by 2032, exhibiting a CAGR of 14.17% during the forecast period. The rising demand for NFC-enabled smartphones and other consumer electronics is expected to contribute to the market growth. Additionally, the growing adoption of NFC technology in various industries, such as healthcare, transportation, and retail, is anticipated to further fuel market expansion. Recent developments in the market include the launch of NFC-enabled smartwatches and the integration of NFC technology into point-of-sale (POS) systems. These advancements are expected to drive market growth in the coming years.
| Report Attribute/Metric | Details |
| Market Size 2022 | 2.03(USD Billion) |
| Market Size 2023 | 2.14(USD Billion) |
| Market Size 2032 | 5.2(USD Billion) |
| Compound Annual Growth Rate (CAGR) | 14.6% (2024 - 2032) |
| Report Coverage | Revenue Forecast, Competitive Landscape, Growth Factors, and Trends |
| Base Year | 2023 |
| Market Forecast Period | 2024 - 2032 |
| Historical Data | 2019 - 2023 |
| Market Forecast Units | USD Billion |
| Key Companies Profiled | Rohm Semiconductor ,Infineon Technologies ,Samsung Electronics ,Broadcom ,KORE Wireless ,Sony Corporation ,STMicroelectronics ,NXP Semiconductors ,Identive Group ,Gemalto ,Texas Instruments ,Qualcomm ,Renesas Electronics ,Giesecke Devrient ,IDEMIA |
| Segments Covered | Type ,Application ,Connectivity ,Data Rate ,Regional |
| Key Market Opportunities | Digital payments Contactless transactions Mobile wallets Smart home Retail analytics |
| Key Market Dynamics | Increasing adoption of contactless payments Growing demand for mobile payments Rising popularity of smart devices Government initiatives to promote cashless transactions Integration of NFC chips in various industries |
| Countries Covered | North America, Europe, APAC, South America, MEA |
Frequently Asked Questions (FAQ) :
The NFC chips market is expected to reach a valuation of approximately 2.14 billion USD in 2023.
The NFC chips market is anticipated to grow at a CAGR of around 14.6% from 2023 to 2032.
The growth of the NFC chips market is primarily driven by the increasing adoption of contactless payment systems, the rising demand for NFC-enabled devices, and the growing popularity of mobile wallets and mobile banking.
The Asia Pacific region is expected to account for the largest market share in the NFC chips market due to the growing adoption of contactless payment systems and the increasing number of NFC-enabled devices in the region.
NFC chips are widely used in various applications, including contactless payment systems, mobile wallets, mobile banking, access control, and asset tracking.
The NFC chips market faces challenges such as concerns over security and privacy, the lack of standardization, and the limited availability of NFC-enabled devices in some regions.
The NFC chips market is projected to reach a valuation of approximately 84.0 billion USD by 2032.
Growth opportunities in the NFC chips market include the increasing adoption of NFC-enabled devices, the growing popularity of mobile wallets and mobile banking, and the expansion of the Internet of Things (IoT).
Key trends in the NFC chips market include the development of new NFC technologies, the increasing use of NFC chips in wearable devices, and the growing demand for NFC-enabled solutions in various sectors such as healthcare, transportation, and retail.
Team Lead - Research she holds an experience of about 6+ years in market research and business consulting, working under the spectrum of information communication technology, telecommunications and semiconductor domains. aarti conceptualizes and implements a scalable business strategy and provides strategic leadership to the clients. her expertise lies in market estimation, competitive intelligence, pipeline analysis, customer assessment, etc.
Get in Touch
© 2024 Market Research Future ® (Part of WantStats Reasearch And Media Pvt. Ltd.)
