Fingerprinting product prices will fall sharply in 2006

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In December 2005, a U.S.-based research institute called "TRIANGLE PARK" released survey data indicating that Lenovo would soon sell its one-millionth fingerprint-enabled laptop in January 2006, marking it as the world's largest seller of such devices. While Lenovo isn't a dedicated fingerprint reader manufacturer, many ThinkPad users didn’t prioritize fingerprint recognition when purchasing their laptops. Nonetheless, Lenovo’s success was a significant milestone for fingerprint technology vendors and the broader biometric industry. As a result, many fingerprint recognition companies placed high expectations on 2006, planning to increase market investments and launch more competitively priced products to drive growth in the fingerprint identification sector. Microsoft also made a notable move by reducing the retail price of its fingerprint and mouse set to 699 yuan, a drop of over 30% compared to the 1,000 yuan price tag at the start of 2005. At the end of 2005, the shipment price of AuthenTec’s sliding fingerprint sensor dropped to an average of $5 per unit. AuthenTec suggested that prices might fall further in the future, although no specific reductions had been announced yet. Domestic Chinese fingerprint vendors were equally optimistic about the 2006 market. For example, Shenzhen Aallot Company cut the average price of its fingerprint products by over 20% in 2006, with a new standard fingerprint USB drive priced at 399 yuan (256MB capacity). According to ALERT, 2005 was the year of concept, while 2006 was the year of implementation, driven by falling prices and expected explosive market growth. HowNet Technology, a leading Taiwanese fingerprint company, revealed that eight IC design firms in Taiwan were already investing in the development of fingerprint control chips, showing strong confidence in the 2006 market. Another domestic company based in Hangzhou, a leader in fingerprint access control, announced plans to launch a range of low-cost fingerprint products in 2006, some of which could reach the lowest market prices. Many domestic and international manufacturers focused their efforts on 2006, a year that proved highly significant. Why? According to General Manager Shao Yu of Aliot, two key factors drove this interest: first, the market was maturing after companies like Lenovo entered the space, making the future of fingerprint-enabled notebooks and mobile phones clearer; second, upstream suppliers significantly reduced the cost of fingerprint sensors, making these products more accessible to the general consumer. In 2001, Lenovo sparked an LCD boom due to a sharp decline in panel prices. Similarly, the adoption of fingerprint technology depends heavily on related technological trends. As Shao Yu noted, from February to March after the Lunar New Year, demand for fingerprint products increased sharply, and the customer base expanded beyond traditional sectors like government, military, and finance. Customers now had a deeper understanding of the technology, and discussions often began directly with product features rather than technical explanations—indicating a period of rapid market growth. Release date: 2006/9/8 13:07:23

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