Identity Verification Market to Grow by USD 16.92 Billion from 2024-2028

The global identity verification market size is estimated to grow by USD 16.92 billion from 2024-2028, according to Technavio. The market is estimated to grow at a CAGR of  20.3%  during the forecast period. Increase in digitalization with electronic id (EID) cards and smart infrastructure initiatives is driving market growth, with a trend towards growing adoption of bring your own device (byod) among enterprises. However, privacy and security concerns of data transferred through iot  poses a challenge.

The Identity Verification Market is witnessing significant growth due to increasing security risks associated with online transactions and the digitalization of various industries. Businesses in finance, healthcare, emerging markets, and border controls are adopting advanced verification techniques such as artificial intelligence (AI) and biometric technologies to secure digital identities. AI and machine learning (ML) are being used for data analysis and fraud detection, while biometric checks include facial recognition, fingerprint recognition, and liveness detection. Identity-related theft incidents continue to rise, making security measures a top priority. Self-service identity verification, multi-factor authentication, and data-driven verification methods are becoming increasingly popular.

The BFSI industry, e-commerce, gaming, and cryptocurrency exchanges are major sectors investing in identity verification systems to meet Anti-Money Laundering (AML) requirements and ensure customer confidence. Traditional non-biometric solutions are being replaced with more efficient and secure biometric devices, including cameras, microphones, GPS functionalities, and mobile devices. Regulations, such as cloud-based deployment and data privacy concerns, are driving the need for secure IT infrastructure and technical expertise. Security personnel and system integrators are in high demand to address cyber threats and ensure regulatory compliance. Emerging technologies like intelligent border control, real-time verification, and diverse data sources are shaping the future of identity verification. The industry is expected to continue growing as businesses and governments prioritize data security and fraud mitigation tools.

In today's business landscape, the Bring Your Own Device (BYOD) trend is gaining popularity among enterprises. This shift towards a mobile-first, web next scenario allows employees to access their privileged accounts through mobile devices, enhancing productivity and morale. Privileged users, also known as admin users, hold significant authority in managing backend functions of a system. They can set up, modify, and delete accounts, alter user roles, change system settings, and access sensitive data.