Flagship Prism Report Predicts Trillions of Biometric Transactions by 2028

A comprehensive new market analysis reveals substantial growth projections for the global biometric digital identity sector between 2024 and 2028, with anticipated revenues of $315 billion and 5.6 trillion biometric transactions. The findings emerge from The Prism Project’s 2024 Flagship Biometric Digital Identity Report, which analyzed over 250 industry participants. This report represents the culmination of a year-long research initiative first launched in late 2023.

“The scale of biometric digital identity adoption reflects its pivotal role in shaping the evolution of digital transformation across the world,” asserted Maxine Most, The Prism Project and Acuity Market Intelligence founder and former recipient of the SIA Women in Biometrics Award

The financial services sector is projected to generate $40 billion from 1.2 trillion transactions, with North America claiming 35 percent of revenue and Asia-Pacific leading transaction volumes at 48 percent. The travel and hospitality segment forecasts indicate 262 billion transactions generating $72 billion, with aviation representing half of this market – building on recent developments like Thailand’s major airport biometric expansion and similar initiatives worldwide.

Government services emerge as the volume leader, projecting 6.4 trillion transactions and $202.5 billion in revenue, driven by digital identity initiatives across Europe, North America, and Asia-Pacific. This growth aligns with significant developments like the EU’s implementation of new digital border control systems and various national digital ID programs.

The analysis addresses technical challenges including deepfakes, synthetic identity fraud, and fragmented identity infrastructures. The threat landscape has evolved significantly, with nations increasingly implementing specialized biometric systems to combat deepfake threats. As Most explains, “With biometric-centric digital identity, enhancing customer experience becomes an opportunity to reduce fraud, improve operational efficiency, protect privacy, all while satisfying compliance requirements and increasing revenue.”

Key adoption drivers identified include regulatory compliance, fraud prevention, and customer experience enhancement. The regulatory landscape continues to evolve, with recent developments including Colorado’s updated Privacy Act rules for biometric data and stricter enforcement of existing regulations like GDPR in Europe.

The report reveals a misalignment between vendor and customer priorities, with vendors focusing on automation while customers prioritize compliance and user experience. This finding echoes themes explored in earlier sector-specific analyses of financial services, travel and hospitality, and government services markets throughout the 2024 Prism Reports series.

The full report can be accessed through The Prism Project website, alongside previously published, sector-specific reports.

–

January 7, 2025 – by the ID Tech Editorial Team