This represents a progress of 82% over the subsequent 4 years. This enhance will probably be pushed by means of government-backed digital identities to switch bodily id paperwork as a supply of verification for third-party apps, equivalent to banking and monetary companies. This will probably be important, as companies purpose to cut back id theft and meet more and more stringent KYC (Know Your Customer) rules. Find out extra concerning the new analysis: Digital Identity: Solutions Assessment, Regional Analysis & Market Forecasts 2023-2027.
Verification Moves to Zero Trust
The analysis additionally recognized a transfer away from reliance on passwords for id verification, with these changed by biometric verification and MFA (Multi-factor Authentication) underneath a zero-trust mannequin, the place identities are authenticated constantly. This method is extra immune to conventional hacking strategies, equivalent to phishing; lowering the chance of information breaches.
Zero belief will probably be delivered through SSO (Single Sign On), which permits the person to entry a number of accounts through a central, secured system. Critical to SSO is the usage of cell subscriber id, with the variety of cell units utilizing their cell quantity for SSO predicted to achieve 2 billion in 2027; up from 922 million in 2023.
Research creator Michael Greenwood defined: “Consumers are highly motivated by convenience; making a streamlining of user experience significant for attracting and retaining them. SSO can achieve this, whilst also appealing to security-conscious users.”
Identity Apps vs Digital Wallets
The major competitors for devoted digital id apps will come from digital wallets, which supply cost performance alongside a digital id functionality. For occasion, in some US states, digital driver’s licences held inside Apple Wallets are totally recognised. However, these digital wallets will battle to monetise id in the identical manner as they’ve funds, as a result of competitors from government-run schemes limiting adoption.
Digital Identity market analysis: https://www.juniperresearch.com/researchstore/fintech-payments/digital-identity-research-report
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