We proudly announce that our company has been featured in a Forbes Tech Council article titled "The State of Identity is Rapidly Evolving." Authored by Travis Jarae, the article sheds light on the significant advancements and innovations in the digital identity industry. Highlighted below are key insights from the article and discuss the transformative impact of decentralized identity, passwordless solutions, inferential data models, and the consolidation of identity providers.
According to the article, the digital identity market has witnessed remarkable growth, with over 2,000 companies and products entering the market in the past six years. A notable trend is a preference for full-stack and platform solutions over point solutions, signaling a shift in buyer behavior. The adoption of decentralized identity and passwordless solutions offers enhanced security and empowers individuals to control their personal data. Additionally, the utilization of advanced statistical methods enables fraud prevention advancements while improving customer understanding.
The industry is also experiencing the consolidation of digital identity providers, promising simplified processes, reduced costs, and heightened security. Buyer demand has returned to pre-pandemic levels, leading to an increased desire for integrated identity platforms that offer comprehensive solutions throughout the customer journey. Integrated Identity Platforms are projected to reach a market size of $48.1B in 2023, growing at a CAGR of 24.6% to $115.9B by 2027.
Global initiatives such as eIDAS 2.0, mDL ISO standards, and FIDO2 Alliance are driving industry progress by setting new standards for digital identity and authentication. Compliance with these initiatives positions companies to meet regulatory requirements and gain consumer trust. Moreover, the focus on interoperability promotes seamless collaboration among different systems and technologies, streamlining processes for better outcomes.
The market’s narrative has shifted from growth investing to value investing, necessitating the alignment of go-to-market strategies and product offerings to demonstrate positive unit economics, sustainable revenue growth, and sound business practices. While market consolidation continues, the article predicts a robust exit market in 2023, with clear winners and losers emerging. The growth of digital identity systems has been extraordinary, transforming back-of-the-napkin ideas into technologically advanced solutions that provide secure access to digital services for billions of people worldwide. However, the digital era presents new challenges, including generative AI, deep fakes, online protection for children, evolving cyber threats, and the convergence of digital and physical realms.