PUBLISHER: The Business Research Company | PRODUCT CODE: 1760088
PUBLISHER: The Business Research Company | PRODUCT CODE: 1760088
Digital identity verification involves confirming a person's digital identity to ensure it accurately mirrors their real-world identity. This process utilizes advanced technologies and data validation methods to authenticate personal information. It plays a crucial role in preventing identity theft, maintaining trust, and ensuring regulatory compliance and security in digital environments.
Key components of digital identity verification include solutions and services. The solution provides comprehensive digital identity verification by combining biometrics, document validation, AI-driven fraud detection, and database checks across software, hardware, and services. It employs a range of technologies such as biometric verification, authentication, document validation, video verification, artificial intelligence (AI), machine learning (ML), and more, with deployment options that include both cloud-based and on-premises models. This process is used across various applications, including identity management, access control, fraud prevention, customer onboarding, regulatory compliance, and remote user verification. It serves diverse sectors such as banking, financial services, and insurance (BFSI), government and defense, healthcare, retail and e-commerce, information technology, telecommunications, and other industries.
The digital identity verification market research report is one of a series of new reports from The Business Research Company that provides digital identity verification market statistics, including the digital identity verification industry global market size, regional shares, competitors with the digital identity verification market share, detailed digital identity verification market segments, market trends, and opportunities, and any further data you may need to thrive in the digital identity verification industry. This digital identity verification market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.
The digital identity verification market size has grown rapidly in recent years. It will grow from $12.64 billion in 2024 to $14.84 billion in 2025 at a compound annual growth rate (CAGR) of 17.4%. The growth observed during the historic period can be attributed to factors such as regulatory compliance requirements, the expansion of online banking, a rise in identity theft incidents, the digital transformation of businesses, and the early adoption of digital identity verification by financial institutions.
The digital identity verification market size is expected to see rapid growth in the next few years. It will grow to $27.98 billion in 2029 at a compound annual growth rate (CAGR) of 17.2%. The growth projected for the forecast period can be attributed to factors such as the increasing need for remote onboarding, the expansion of e-government services, a rising demand for fraud prevention, greater smartphone adoption, and evolving regulations across regions. Key trends during this period include innovations in biometric authentication, the development of blockchain-based identity systems, advancements in liveness detection, ongoing research and development, and integration with Internet of Things (IoT) devices.
The continued growth of digital banking is expected to accelerate the expansion of the digital identity verification market. Digital banking enables users to access financial services through online platforms, allowing them to manage their banking activities anytime and anywhere. This rise in digital banking is fueled by the increasing demand for convenience, as customers seek the ability to manage accounts, make transactions, and access services on the go, enhancing both accessibility and user experience. Digital identity verification plays a key role in bolstering security in digital banking by utilizing biometrics, passwords, or authentication apps to verify user identities. This process helps prevent fraud, ensures regulatory compliance, and facilitates secure, seamless transactions, thereby building customer trust. For example, in January 2024, the European Central Bank reported that contactless card payments in the first half of 2023 rose by 24.3%, reaching 20.9 billion transactions, with the total value increasing by 25.9% to €0.5 trillion ($545.27 billion). Thus, the growth of digital banking is significantly driving the demand for digital identity verification solutions.
Leading companies in the digital identity verification market are focusing on the development of advanced technologies, such as biometric authentication, to enhance security and streamline the user verification process. Biometric authentication is a security method that confirms a person's identity by utilizing unique biological traits, such as fingerprints, facial recognition, or iris scans, offering a highly secure and efficient way to verify identity. This ensures that only authorized individuals can access specific systems or services. For example, in October 2024, Jumio, a US-based identity verification firm, introduced Jumio Liveness, an advanced liveness detection technology. This solution is designed to combat sophisticated fraud tactics including deepfakes and injection attacks while maintaining a smooth user experience. The AI-powered solution uses state-of-the-art biometric and anti-spoofing techniques, including real-time behavioral analysis and ISO 30107-3 compliance, to confirm that users are physically present and legitimate during identity verification. This innovation strengthens fraud prevention without complicating the process, making it highly suitable for industries with strict security requirements.
In April 2024, Entrust Corp., a US-based software and credential company, acquired Onfido for an undisclosed sum. This acquisition allows Entrust to bolster its identity-centric security offerings by incorporating Onfido's advanced AI-powered identity verification technology. The integration enables organizations to provide secure, digital-first experiences while addressing emerging threats including deepfakes and ensuring compliance with global regulations. Onfido, a UK-based technology firm, specializes in automated digital identity verification solutions.
Major players in the digital identity verification market are Oracle Corporation, SAP SE, Mastercard Inc., Thales Group S.A., LexisNexis Risk Solutions Group, Experian PLC, Equifax Inc., IDEMIA LLC, Ping Identity Corporation, Jumio Inc., OneSpan Inc., Mitek Systems Inc., Trulioo, Verrif, Shufti Pro, Socure, Sumsub, AU10TIX, Aware Inc., and Idology Inc.
North America was the largest region in the digital identity verification market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in digital identity verification report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa.
The countries covered in the digital identity verification market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The digital identity verification market includes revenues earned by entities by providing services such as liveness detection, age verification, fraud detection, and risk scoring. The market value includes the value of related goods sold by the service provider or included within the service offering.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).
The revenues for a specified geography are consumption values and are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
Digital Identity Verification Global Market Report 2025 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on digital identity verification market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for digital identity verification ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The digital identity verification market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
The forecasts are made after considering the major factors currently impacting the market. These include the Russia-Ukraine war, rising inflation, higher interest rates, and the legacy of the COVID-19 pandemic.