We are entering an exciting period in the development of Internet identity services. They promise greater convenience for users, higher conversion rates from enquiries to sales for Internet merchants, and greater assurance for Internet-facing businesses, including government websites. They offer increased scope for performing trusted and high-value web transactions. However, “identity” comprises a portfolio of personal information – it is much more than establishing a user’s name – and the centralization of a user’s Internet activities around a single identity provider increases the risk of privacy violations and fraud based on impersonating the real user. The industry must address the new risks that come with this change.
