The global near-field communication market size was US$ 20310.1million in 2021. The global near-field communication market is forecast to grow to US$ 56,781.0 million by 2030 by growing at a compound annual growth rate (CAGR) of 13.8% during the forecast period from 2022 to 2030.
Near field communication (NFC) is a set of protocols that allow communication devices and electronic gadgets to install radio communication. This technology is widely used in smartphones, laptops, and tablets, majorly for data exchange.
Factors Influencing the Market
Data sharing has become one of the important services nowadays. The rising demand for convenient data transfer is expected to fuel the growth of the global near-field communication market.
The rising need for data securing will also benefit the global near-field communication market. Also, the advantages of near-field communication, such as fast process, security, and convenience, will drive the overall near-field communication market forward.
Increasing demand for online payments, together with the rising use of smart devices, such as laptops, mobile phones, etc., will escalate the growth of the near-field communication market. On the contrary, short operational range of near-field communication may limit the growth of the market.
NFC-enabled wearable technologies are getting substantial traction, owing to the trending products like NFC-enabled bracelets, rings, smartwatches, fitness trackers, wristbands, etc. Furthermore, different benefits of near-field communication, such as better customer engagement and retailers' ability to track the customers' payments, will amplify its demand in the coming years.
COVID-19 Impact Analysis
The COVID-19 pandemic has significantly dropped the individual's purchasing power. A maximum range of the population suffered a job loss or had to work on low wages. Thus, it reduced the demand for smart wearables. However, the pandemic triggered the demand for online payments. Since most companies and institutions adopted remote methods to communicate, the near-field communication market witnessed ample growth opportunities.
Regional Analysis
Region-wise, the near-field communication market is forecast to emerge as the largest market, owing to growing urbanization, rising adoption of smartphones, and increasing awareness related to the online payment platforms. Furthermore, favorable government initiatives to promote digitalization in the banking sector are forecast to surge the demand for the near-field communication market during the study period. For instance, the Indian Finance Ministry of India asked the banks in 2018 to offer near field communication (NFC)-enabled credit and debit cards to the consumers. In addition, growing digitalization and rising demand to enhance data security will boost the market growth.
Competitors in the Market
Market Segmentation
The global near-field communication market segmentation focuses on Product, Operating Mode, End-Users, and Region.
By Product Type
By Operating Mode Outlook
By End-Users Outlook
By Regional Outlook
