Interview with James Ziglar, CEO, Cross Match Technologies
Oct-30-07 FB The Biometrics Market continues to gain momentum across several different segments. Where do you see the greatest growth occurring? JZ The International Biometrics Group’s (IBG) estimate of 20% growth through 2012 is probably a pretty good estimate and reflective of the overall market. The more mature markets such as Live-Scan and Fingerprint, will continue to grow at an attractive pace; however, we think there are very large growth opportunities in several emerging technology areas. For example, there is a rapidly growing need for mobile, wireless single and multiple biometric identification, verification, and enrollment solutions in military and law enforcement environments. Equally exciting are the emergence of ID Management Software as a distinct category and the emergence of related non-biometric applications such as document authentication. We believe that the growth rate for some of these new application segments will be as high as 40% over the next four years. FB What is your strategy to capture more of this growth market? JZ The Cross Match strategy has a number of elements. First, we will continue to focus on our core competencies. Our technology leadership with new and advanced products in our core areas will keep us at the forefront in that part of the industry. Second, we will continue to expand our multi-modal offerings and integrated solutions. We introduced a dual iris capture system, the I SCAN 2, at the Biometric Consortium Conference (BCC) and Biometrics Technology Expo last month, and our acquisition of C-VIS GmbH in 2006 has allowed us to make real progress in bringing facial recognition technology to the U.S. The C-Vis facial recognition technology was already well established in Europe, particularly in the casino area. Third, we will continue to build our high end software applications, like the “PIV One” Personal Identity Verification Enrollment Solution that we introduced last year and has been a real success, and our new Mission Oriented Biometric Software (MOBS) system that we recently launched. MOBS is a user-friendly, multi-modal collection and enrollment solution with particular application in military and law enforcement field operations. Fourth, we will continue to harness innovative technologies such as wireless and mobile to expand the use of our products in a number of different settings. We think wireless is an important area. At the BCC we had a prototype of our new mobile wireless fingerprint scanner, the Verifier Mw, which, when officially launched and in
production, will be an immediate industry leader. We will continue to stay very customer focused, by which I mean we will continue to deliver solutions to meet our customers’ specific identity management needs. We don’t believe that one size necessarily fits all. FB Can you tell us more about your I SCAN 2? JZ The I SCAN 2 has several unique characteristics. It was designed to utilize an auto capture feature similar to the proprietary, patent pending auto capture technology which is presently used in our livescan devices. This feature speeds up the capture process while allowing for both irises to be captured simultaneously and provides consistently high quality iris images. This iris scanner eliminates the need for direct operator assistance in order to get a quality image. It has a flip up visor that provides accurate optical focal length as well as shielding the iris sensors from bright overhead light or sunlight. This scanner and technology is something we developed primarily for the Military market, but it is attracting interest in a variety of other settings, such as local Law Enforcement and Border Control. FB You also recently announced the addition of General James L. Jones to your Board of Directors. Can you tell us how that will affect Cross Match? JZ General Jones was here a few days ago for his orientation and spent the day with us. We were very impressed with him and I think he was impressed with Cross Match. General Jones, who was Commandant of the Marine Corps from 1999 to 2003, is one of our most distinguished military leaders since the Second World War. He is well known around the world, especially in Europe, where he was the NATO Supreme Allied Commander prior to his retirement earlier this year. His father was also in the Marines and later worked for a major US company in Europe, so General Jones grew up in and knows and understands Europe. He also understands the rest of the world as he oversaw the European and African Commands in addition to NATO. He is well known and highly respected in military circles. The General brings to Cross Match a world view and a uniquely informed perspective on what the armed forces of the future are going to need to be successful. We already have received some extremely thoughtful advice from the General about how we can help our war fighters and the defense community do their jobs better. FB What can we expect to see next from Cross Match? JZ You will continue to see a stream of new and innovative products from Cross Match — the I SCAN 2 is a good example. So is our new Document Reader, the Authenticator CF, that was launched at Biometrics 2007 in London this month. As you know, our Authenticator 100 has won
all of the ICAO inter-operability tests because it has been the only scanner able to read every ICAO document presented to it. The Authenticator CF has all of that same functionality but is a much more competitively priced product. We believe our new mobile wireless fingerprint scanner, the Verifier Mw, will also be an industry leading product. We have other products such as our Multimodal Jump Kits that have been sold to the Defense Department for quite a long time in rather large numbers. We continue to introduce new and improved versions of such existing products that are lighter and faster, and there is much more to come. We also have several other new technologies under development that I cannot discuss yet. They certainly have the potential to be industry changing. We continue to focus on our core strength of being a technology leader in the biometrics industry-- stay tuned because you will see some exciting development coming from Cross Match. FB Congratulations on a very successful year and the addition of General James L. Jones to your Board of Directors, which is truly big news for our industry. JZ Thanks Peter. We appreciate the opportunity to talk with you.
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