10 April 2025
A recent study by Juniper Research forecasts that global revenue from mobile identity application programming interfaces (APIs) will soar to US$22 billion by 2029, a remarkable increase from the US$2.4 billion anticipated in 2025. This growth is expected to be driven by the rising adoption of network APIs that authenticate users directly through operator networks, moving away from traditional SMS-based methods.
Mobile identity services leverage a subscriber’s phone number to verify identities across various sectors, including banking, healthcare, and online retail. The report identifies a new generation of ‘verification APIs’ that are set to transform conventional mobile identity solutions, such as one-time passwords (OTPs), in the coming four years.
APIs that validate the phone number submitted during account registration against the number accessing the network are anticipated to be key drivers of growth in the mobile identity API sector. Juniper Research highlights that the added security benefits provided by these APIs, including advanced protection against spoofing attacks, will notably enhance their appeal to digital service providers, offering more value compared to SMS-based authentication methods.
To ensure the sustainable growth of mobile identity APIs, the report recommends that vendors impose limitations on the number of API calls users can make to mitigate potential misuse.
“APIs now cost about the same as SMS, but the added security from APIs alone is enough to convince businesses to switch their mobile identity traffic quickly,” said Georgia Allen, a researcher at Juniper Research.
The projected surge in revenue underscores a significant shift toward more secure and efficient methods of user authentication, making mobile identity APIs a critical component in the evolving landscape of digital security and verification. As businesses increasingly recognize the value of enhanced security measures, the transition to mobile identity APIs is anticipated to accelerate, shaping the future of identity verification across multiple industries.
