ArrowArtboardCreated with Sketch.Title ChevronTitle ChevronIcon FacebookIcon LinkedinIcon Mail ContactPath LayerIcon MailPositive ArrowIcon PrintIcon Twitter
Business deals

Japan's Toppan beefs up ID security with Taiwan developer purchase

Printing company sees iDGate's 'know your customer' services as solution to fraud fears

Combining Toppan's ID cards with iDGate's identity verification technology could allow ID paperwork to be moved entirely online.

TOKYO -- Japan's Toppan Printing has acquired software company iDGate, looking to use the Taiwanese target's online identity verification technology to enhance security for its own ID cards.

Established in 2013, iDGate offers "electronic know your customer," or eKYC, technology that can enable companies to verify a customer's identity by analyzing a photo, for example. It provides security services to 15 or so financial institutions, including major Taiwanese lender CTBC Bank.

Toppan plans to integrate this technology with its ID card business, enabling applications for new cards to be handled entirely online while also cutting down on fraud.

The size of the acquisition, which was handled through a Singapore-based Toppan subsidiary, is undisclosed but is estimated to exceed $10 million.

Toppan markets ID cards to governments in emerging countries in such regions as Africa. As the coronavirus pandemic pushes developing nations to go digital for administrative procedures in areas such as social security and tax collection, identity theft is a growing concern. Toppan looks to win more orders by incorporating eKYC into its offerings to address this issue.

Back home, the Japanese company will start offering identity verification services to businesses and municipal governments. Demand for eKYC technology has grown here after fraudulent withdrawals forced wireless carrier NTT Docomo to halt signups for its electronic payment service in September.

Toppan sees annual eKYC-related revenue doubling in five years to 3 billion yen ($29 million).

Sponsored Content

About Sponsored Content This content was commissioned by Nikkei's Global Business Bureau.

You have {{numberArticlesLeft}} free article{{numberArticlesLeft-plural}} left this monthThis is your last free article this month

Stay ahead with our exclusives on Asia;
the most dynamic market in the world.

Stay ahead with our exclusives on Asia

Get trusted insights from experts within Asia itself.

Get trusted insights from experts
within Asia itself.

Try 1 month for $0.99

You have {{numberArticlesLeft}} free article{{numberArticlesLeft-plural}} left this month

This is your last free article this month

Stay ahead with our exclusives on Asia; the most
dynamic market in the world
.

Get trusted insights from experts
within Asia itself.

Try 3 months for $9

Offer ends January 31st

Your trial period has expired

You need a subscription to...

  • Read all stories with unlimited access
  • Use our mobile and tablet apps
See all offers and subscribe

Your full access to Nikkei Asia has expired

You need a subscription to:

  • Read all stories with unlimited access
  • Use our mobile and tablet apps
See all offers
NAR on print phone, device, and tablet media

Nikkei Asian Review, now known as Nikkei Asia, will be the voice of the Asian Century.

Celebrate our next chapter
Free access for everyone - Sep. 30

Find out more