The identity verification market is set to more than double over the next four years, according to a new report from MarketsandMarkets, reaching $15.8 billion by 2025. The forecast is released just as FacePhi launches a new multimodal biometric platform and Veritran releases a new facial authentication solution.
The forecast is based on a 2020 global market of $7.6 billion, and a 15.6 compound annual growth rate, with the increase driven by digitization initiatives in both the public and private sector, more use cases for digital ID, and high fraud rates, according to the report. Border control and smart city initiatives utilizing facial recognition are identified as a growth opportunity.
The latest evidence of rising fraud rates comes from IDology, which reports a 21 percent rise in unauthorized account openings this year, compared to 2020.
MarketsandMarkets also breaks down the market into biometric and non-biometric identity verification, organization size, deployment mode and vertical.
A pie chart from the latest IDV market report by Goode Intelligence shared on LinkedIn shows the BFSI sector accounting for 24 percent of all identity verification checks. The MarketsandMarkets report predicts the BFSI sector will continue to be the largest market for IDV.
The chart shows government as the next-largest digital identity verification customer group, at 20 percent, followed by telecom (18 percent) and ecommerce (10 percent).
The industry’s rapid growth is exemplified by Shufti Pro, which says in an announcement celebrating its four-year anniversary that it has grown by 100 percent over the past year, performing identity verification for companies in banking and finance, but also healthcare, gaming, travel, cryptocurrency and fintech, education and telecommunication.
The Goode report forecasts the IDV market at $17.2 billion by 2026, roughly in line with the MarketsandMarkets forecast.
The IDology report shows a 71 percent increase in mobile device compromises, with 24 percent saying their mobile device has been compromised since the beginning of the pandemic. Consumers are also suspicious of the companies they interact with, as 70 percent believe businesses collect their data without their permission, and 59 percent say not enough is done to protect the personal information companies collect from them.
FacePhi launches multi-modal biometric platform
FacePhi has built a customizable onboarding and authentication platform supporting multi-modal biometrics for regulatory compliance and access to customers in diverse regions, industries and use cases.
The company is presenting its new FacePhi identity Platform, which is provided in a modular format to enable diverse architecture, at Money20/20.
“The development of a multibiometric platform is a natural evolution for FacePhi, both because of our experience in designing different biometric solutions for identity verification and because of the change that our society is experiencing in its relationship with the digital environment,” explains Javier Mira, president and CEO of FacePhi. “In an increasingly digitised world, people need to interact with companies and public administrations more quickly, comfortably and safely, with the guarantee that their personal information will always be processed appropriately and with their prior consent.”
FacePhi is in the midst of an aggressive expansion, with an expanded market presence in South Korea, and entrance into new markets like Chile, Vietnam and Nigeria.
Veritran launches low-code facial authentication solution
Veritran has launched its Face Identity authentication solution, which features 3D biometric liveness checks, at Money20/20.
Face Identity is intended to provide fast implementation that skips long development cycles for face biometrics in high-demand transaction channels, such as digital wallets, onboarding services, account recovery and payment ecosystems, according to the company announcement.
Veritran says Face Identity goes beyond other 2D and 3D face biometrics technologies by analyzing features like skin texture and reflections in the eyes of the end-user.
The solution runs on Veritran’s Enterprise Low-Code Platform.
“From onboarding to digital payments, Face Identity implies a new paradigm in any type of operation, creating a novel, fast, secure and friendly experience for the end user. A revolutionary innovation that leaves aside cash, cards or even passwords, since the user can carry out any type of transaction with only their face,” explains Marcelo Fondacaro, CCO of Veritran.
Veritran integrated face biometrics from Veridas with its low-code platform earlier this year.
SingPass integrated by crypto exchange
Cryptocurrency-fiat exchange Liquid has integrated SingPass to allow customers in Singapore to perform account verification meeting know your customer (KYC) and anti-money laundering (AML) regulations with the digital identity tool.
SingPass added facial authentication to its features late last year to check users against the national biometric database.
Liquid has applied to the Monetary Authority of Singapore for a license under the country’s Payment Services Act.
The company says its goal is to democratize access to financial services, and that customers can now complete registration within 10 minutes.