Gemalto to penetrate biometrics authentication market with its acquisition of 3M Cogent
Category: #world  By Saipriya Iyer  Date: 2017-05-05
  • share
  • Twitter
  • Google Plus
  • Facebook
  • LinkedIn

Gemalto to penetrate biometrics authentication market with its acquisition of 3M Cogent

Gemalto, the global leader in digital security has closed its acquisition with 3M’s identity management business – including the subsidiary of 3M Cogent Inc., one of the leading players of global fingerprint biometrics machine market, which provides a full spectrum of biometric solutions for border control, law enforcement, and civil identification.

The transaction, worth approximately USD 850 million, will enable Gemalto to take control over 3M’s three main portfolios, and will also help add security features to Gemalto’s Government Programs offering. With this strategic move, Gemalto is set to in-source a document reader line, 3M’s internal secure identity materials business, and the entire subsidiary of 3M Cogent with its unique biometric authentication solutions.

Back in 2016, 3M’s identity management unit generated revenue worth USD 202 million with an approximate profit margin of USD 53 million.

One of Gemalto’s top executives deems that this collaboration of 3M’s Identity Management Business and Gemalto will bring together the market access, expertise, and advanced technologies of both the firms under one roof. It has also been stated that this deal is a strategic move, which will allow Gemalto to develop and provide biometric authentication solutions for a digitized world. 

Gemalto’s software solutions are programmed efficiently to authenticate transactions, people and objects, encrypt data, and provide secure digital services to their billions of customers across over 180 countries.

A company press release from late 2016 reported that roughly around 450 members of 3M’s experienced and highly-skilled team were likely to make a transit to Gemalto after the completion of the acquisition in the first half of 2017.

This move has also ideally positioned the company to provide effective solutions for the expanding commercial biometrics market. 3M Cogent offers biometric hardware & software products that will now become an integral part of Gemalto’s portfolio and will apparently be used for authentication and identity verification. These biometric software solutions, biometric readers, and scanners are likely to deliver novel options to Gemalto’s customers across the globe.

The commercialization of biometrics technology has witnessed quite a commendable upsurge which is evident from its heavy deployment across the various end-use sectors. Experts predict that Gemalto is likely to garner huge profits with the growing popularity of mobile and online transactions. A report depicts that through the acquired business, the company is estimated to grow at rate of over 10% with EBITDA margins more than 20% by 2020.



About Author

Saipriya Iyer

Email: saipriya.l@news.marketsizeforecasters.com   

Saipriya Iyer

Saipriya Iyer develops content for Market Size Forecasters, Algosonline, and myriad other platforms. A computer engineer by profession, she ventured into the field of writing for the love of playing with words. Having had a previous experience of 3 years under her bel...

Read More

More News By Saipriya Iyer

Raspberry Pi opens its inaugural brick-and-mortar retail store
Raspberry Pi opens its inaugural brick-and-mortar retail store
By Saipriya Iyer

Raspberry Pi is one among the many online retailers that is expanding offline to gain more customers.

Raspberry Pi has reportedly opened its very first brick-and-mo...

Orchard Therapeutics to present clinical data for OTL-101 & OTL-102
Orchard Therapeutics to present clinical data for OTL-101 & OTL-102
By Saipriya Iyer

Biopharma major Orchard Therapeutics has reportedly made it to the front page for having announced details of oral and poster presentations for new clinical data. As per sources familiar with the knowledge of the matte...

Rutgers & Horizon plan to commercialize CRISPR base editing technology
Rutgers & Horizon plan to commercialize CRISPR base editing technology
By Saipriya Iyer

Horizon has also agreed to fund further research in base editing at the Rutgers University.

Horizon Discovery Group plc, one of the globally reputed gene editing in...