Digital identity is a big market, worth USD 13.7 billion in 2019, forecast to grow at a CAGR of 17.3% to USD 30.5 billion by 2024 (according to Markets and Markets™). To quote Markets and Markets:
The increased focus on enhanced customer experience is anticipated to be a major driver, and the trend is expected to continue for the digital identity solutions industry. Additionally, the need of multi-purpose single digital identity and technological advancements in terms of Artificial Intelligence (AI), Machine Learning (ML), and blockchain have bolstered the potential use cases across verticals.
Digital identity impacts every vertical market but most immediately two big ones – Finance/banking & Healthcare.
Investors look in two stages:
- Do they like the market opportunity? This is the easy part. Most investors like the market opportunity.
- Can they find an individual company at the right time and price that is well positioned? The tricky part of investing is timing. Catch a wave too early and you are drowned by the next wave of disruptive technology. Catch a wave too late and you miss out on the market opportunity.
If investors see a company getting traction with regulators, enterprises and consumers, they will beat a path to their door.
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