Facial Biometrics: Trends and Outlook

Coby Friedland
Coby Friedland
Stacy Schulman
Stacy Schulman
Chief Marketing Officer

Facial biometrics technology is shaping the future of identity verification, access control, and public safety. As this market grows, poised to reach a staggering $42.1 billion by 2028, it’s essential to understand the drivers, challenges, and opportunities in this dynamic field. Key insights reveal a technology in flux – widely adopted across various sectors yet contending with regulatory hurdles and the rise of AI-generated deepfake fraud. 

The growth of facial biometrics is driven by its effectiveness in streamlining and securing processes across finance, healthcare, and government sectors. This growth is primarily attributed to its ability to improve user experience and security across various domains. 75% of US consumers aged 18-34 reported adopting facial biometrics in 2022. However, this growth has its challenges. Heightened regulatory scrutiny poses significant compliance burdens, particularly from BIPA and the EU. Lawsuits under BIPA have surged, with substantial settlements highlighting the legal risks of non-compliance. Additionally, the rapid advancement of AI technologies, notably deepfake capabilities, presents a new frontier of threats, demanding continuous innovation and investment in defensive strategies.

This backdrop raises a critical question: How can facial biometrics vendors navigate the evolving regulatory landscape and technological threats while capitalizing on the growing market demand?

The answer lies in a dual strategy focusing on compliance and innovation. Vendors must adapt swiftly to regulatory changes, ensuring their solutions align with laws like the Biometric Information Privacy Act (BIPA), California Consumer Privacy Act (CCPA), and the European Union Artificial Intelligence Act. Those who quickly achieve compliance can avoid costly legal pitfalls and carve a niche in this competitive market.

Simultaneously, vendors must invest in differentiating their offerings. As the market matures, the emphasis shifts towards advanced features like liveness detection, anti-spoofing, and protection against deepfake attacks. These capabilities will not only offer a competitive edge but also address the burgeoning security concerns associated with AI technologies.

Despite the regulatory and technological challenges, the facial biometrics market is ripe with opportunities. The increasing demand for seamless, secure user experiences drives market growth, especially in public-facing industries like transportation and healthcare. Moreover, public sector adoption, particularly in border control and law enforcement, underlines the technology’s indispensability.

Vendors positioned to navigate the regulatory and technological landscape are set to thrive. The future of facial biometrics hinges on balancing innovation with compliance, ensuring security without sacrificing user convenience. As we look towards this future, one thing is clear: facial biometrics will continue to be a pivotal technology in shaping our digital identities and security paradigms.

For more details on the impact of these trends, log in or sign up at Link to access the Outside-In Report: Facial Biometrics.

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What is Facial Biometrics? 

Facial biometrics is an advanced technology that utilizes unique facial features to verify and authenticate users. It is widely used for customer authentication, access control, and public safety purposes. With the ability to navigate through regulatory challenges and AI threats, facial biometric technology is revolutionizing security and verification processes across multiple sectors. It is indispensable in enhancing government identity schemes through national eID verification, securing borders with rapid identity checks, and aiding law enforcement in criminal identification with unmatched precision.

In addition to public safety, the private sector is rapidly adopting facial biometrics technology. It is transforming the customer onboarding process in banking and gaming and securing mobile payments. Emerging providers are capitalizing on the growing demand for passwordless security and the consumer demand for secure, convenient experiences.

However, solution providers face many challenges as they navigate the complexities of legal battles, technological vulnerabilities, and the societal shift toward widespread acceptance of physical biometrics. Despite these challenges, the future of facial biometric technology looks promising as it continues to enhance security and verification processes across multiple sectors.

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