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Digital identity sector to see increase in M&A dealings

16/07/2015 by


Swedish telecoms vendor Ericsson recently announced that it expects the number and size of mergers and acquisitions (M&A) in the field of 'digital identity' to increase significantly in the coming years.

In a statement made to Mobile World Daily, Pedro Calderon – head of authentication and digital identity at Ericsson – said that most of these M&A dealings and new partnerships formed will be between well-established technology companies and innovative new start-ups. He believes that new features like SIM applets, risk engines and dynamic data analytics capabilities will be the focus of these new partnerships, and Ericsson hope to be at the forefront of some of these industry developments.

In fact, the company is already looking to establish new partnerships, and is "talking and collaborating" with competitors and "consistently looking at start-ups in the mobile identity space", Calderon said.

The biggest challenge for telecoms businesses looking to expand into the digital identity sector will be "overcoming the idea they can do everything on their own in a non-collaborative or non-federated way", Calderon notes.

Looking at the potential of the sector as a whole, digital identity can help with financial services and online government systems, meaning customers and citizens will benefit from an improved quality of life when using such services.

The first stage in the process is to ensure that end-users can be easily and securely authenticated via their mobile device for access to various online resources. The next is to bring this mobile identity solution to "markets where it makes strong economic and business sense" before implementing the technology into the Internet of Things (IoT), Calderon concluded.


Ericsson, M&A, digital identity, Iot

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