Market research firm Goode Intelligence has issued a new report on mobile biometrics in the financial services sector. Among its key findings is a prediction that by 2020, over 1.1 billion financial services customers are going to use mobile biometric technologies.
Goode Intelligence estimates that this year there are over 120 million financial services customers using mobile biometrics, and predicts that “this trend is set to continue and accelerate.” The report notes that biometric technologies are finding a range of applications across the entire financial services industry – they are “a disruptive force” for the whole industry, report author Alan Goode notes – but that mobile applications are leading the way. The report also highlights eye, face, fingerprint, voice, and even behavioral biometrics as they key modalities for mobile financial services applications.
As the report notes, major financial services institutions are leveraging third-party biometric authentication solutions such as the fingerprint scanning Touch ID system found on newer Apple devices for low-security applications such as allowing users to check account balances, but a perceived lack of security keeps them from enabling more advanced capabilities like mobile transactions. That situation is changing, though, as companies across the board try to develop “mobile-based biometric technology that is bank and payment grade,” as a report synopsis puts it.
Echoing the “Payment Grade” standard for which EyeVerify CEO Toby Rush recently advocated, Goode Intelligence calls this standard “Mobile Biometrics 2.0”, and Alan Goode says “there are positive signs that Mobile Biometrics 2.0 is fast becoming a reality, enabling financial institutions to roll-out new digital services that support robust and convenient user authentication,” adding that industry standards like IEE 2410-2015 are helping to bring that to fruition.
The report paints a picture of a blossoming market – and one that will re-shape how consumers do banking and other financial transactions in the years to come.
December 4, 2015 – by Alex Perala