Digital Identity in Education Market – Global Industry Size, Share, Trends, Opportunity, and Forecast, Segmented By Offering (Solutions, Services), By Solution Type (Identity Verification, Authentication, Identity Lifecycle Management, Other), By Identity Type (Biometric, Non-biometric), By Region & Competition, 2021-2031F

Forecast Period	2027-2031
Market Size (2025)	USD 3.71 Billion
CAGR (2026-2031)	21.91%
Fastest Growing Segment	Identity Verification
Largest Market	North America
Market Size (2031)	USD 12.18 Billion

Market Overview

The Global Digital Identity in Education Market will grow from USD 3.71 Billion in 2025 to USD 12.18 Billion by 2031 at a 21.91% CAGR. Digital identity in education refers to the electronic representation of student, faculty, and administrative data used to verify credentials and manage access to institutional resources. The market is fundamentally driven by the imperative to secure remote learning environments and the critical need to prevent academic fraud through verifiable credentialing systems. Furthermore, the demand for operational efficiency supports the adoption of these solutions, as institutions seek to streamline administrative workflows and facilitate seamless user access across distributed digital platforms.

Despite these drivers, the market faces a significant challenge regarding the financial and technical complexity of integrating robust identity management into legacy infrastructures while adhering to strict data privacy regulations. This difficulty is compounded by the rising frequency of cyber threats targeting educational data. According to the Consortium for School Networking, in 2024, 72 percent of school districts required two factor authentication to strengthen their security posture, illustrating the urgent necessity for institutions to implement rigorous identity verification measures to combat escalating digital risks.

Key Market Drivers

The escalating need for robust cybersecurity and data privacy compliance is a primary force propelling the Global Digital Identity in Education Market. As educational institutions digitize sensitive records, they have become prime targets for malicious actors, necessitating advanced identity verification to prevent unauthorized access. This urgency is underscored by the sheer volume of threats; according to Check Point Research, August 2025, in the 'Cyber Attacks Surge Against Education Sector Ahead of Back-to-School Season' report, the education sector remained the most targeted industry globally, averaging 4,356 weekly attacks per organization, a 41 percent increase from the previous year. Consequently, schools are aggressively investing in identity and access management (IAM) systems to safeguard student privacy and mitigate the risks associated with these relentless digital incursions.

Simultaneously, the rapid expansion of the E-Learning and EdTech sectors is reshaping identity management requirements. The proliferation of digital tools creates a fragmented ecosystem where seamless single sign-on and interoperability are essential for user experience and administrative oversight. This fragmentation is significant; according to Instructure, June 2025, in the 'Eighth EdTech Top 40' report, U.S. school districts accessed an average of 2,982 distinct edtech tools annually, highlighting the logistical complexity of managing digital identities across disparate platforms. This challenge is further amplified by a growing user base that requires scalable provisioning. According to the National Student Clearinghouse Research Center, in 2025, overall college enrollment in the United States grew by 4.5 percent in the fall of 2024, driving demand for automated identity solutions that can efficiently handle increasing student intakes.

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Key Market Challenges

The financial and technical complexity of integrating modern identity management systems into legacy infrastructures stands as a primary obstacle hampering the growth of the global digital identity in education market. Many educational institutions operate on antiquated, fragmented IT ecosystems that lack the interoperability required for seamless deployment of advanced digital identity solutions. This technical rigidity forces institutions to incur substantial costs for customization and system overhaul, expenditures that are often prohibitive given the stagnant or shrinking technology budgets in the education sector. Consequently, decision-makers frequently postpone the adoption of these critical solutions, viewing the necessary infrastructure upgrades as financially unsustainable.

This hesitation is further compounded by the escalating threat landscape, where the immediate need to defend against active attacks diverts resources away from strategic long-term investments in identity governance. Schools are increasingly forced to allocate their limited funds toward reactive incident response rather than proactive identity architecture. According to the K12 Security Information eXchange, in 2024, 85 ransomware attacks were documented against U.S. public school districts over the preceding two-year monitoring period. This high frequency of targeted cyber incidents compels administrators to focus on threat containment and business continuity, thereby slowing the procurement and implementation of comprehensive digital identity frameworks.

Key Market Trends

The expansion of interoperable micro-credentialing and digital badging ecosystems is fundamentally altering the educational landscape by prioritizing verified skill acquisition over traditional degree-centric models. As institutions align curricula with workforce demands, there is a marked shift toward stackable credentials that allow learners to demonstrate specific competencies to employers in real-time through blockchain-anchored or verifiable digital formats. This trend is accelerating as universities partner with industry leaders to co-develop certifications that bridge the gap between academic outcomes and job readiness. According to Coursera, March 2025, in the '2024 Impact Report', the demand for these flexible credentials has surged, with learners accumulating over 14 million enrollments in entry-level Professional Certificates, highlighting the growing reliance on alternative digital credentials for career advancement.

Concurrently, the deployment of mobile-first digital student IDs is revolutionizing campus access and user experience, moving beyond simple identification to become comprehensive digital wallets for institutional interaction. This transition is driven by student expectations for seamless, contactless technology that integrates physical building access, payments, and library services into their personal smartphones, effectively retiring legacy physical cards. The preference for this digital-first modality is becoming dominant as institutions upgrade their hardware to support NFC and digital wallet standards. According to TouchNet, June 2025, in the '2025 Student Financial Experience Report', less than one-third of surveyed students still preferred physical ID cards, underscoring the rapid obsolescence of traditional plastic credentials in favor of mobile-integrated identity solutions.

Segmental Insights

The Identity Verification segment is witnessing the fastest growth within the Global Digital Identity in Education Market, driven by the escalating demand for academic integrity in online learning environments. Educational institutions are prioritizing these solutions to authenticate remote students and mitigate risks associated with assessment fraud. Additionally, the implementation of strict data governance standards, including compliance with FERPA and GDPR, mandates robust verification processes to safeguard sensitive learner information. This convergence of security requirements and regulatory obligations fosters a sustained increase in the deployment of identity verification technologies across the global education sector.

Regional Insights

North America retains the leading position in the Global Digital Identity in Education Market, supported by a mature technological infrastructure and the widespread integration of digital learning platforms. The region's market dominance is heavily influenced by a rigorous regulatory environment necessitating secure data management. Compliance with the Family Educational Rights and Privacy Act (FERPA) drives educational institutions to adopt advanced identity verification solutions to protect student records. Furthermore, adherence to frameworks established by the National Institute of Standards and Technology (NIST) ensures robust cybersecurity practices, solidifying North America’s status as the primary hub for industry innovation.

Recent Developments

• In March 2025, Accredible announced the launch of Accredible Transcripts, a digital solution designed to provide learners with comprehensive and verifiable records of their educational journeys. This new product allowed academic institutions and training providers to issue secure, industry-recognized digital transcripts that consolidated credentials and tracked submissions in real time. The Senior Vice President of Product at Accredible highlighted that the tool addressed the need for modernizing how learners share their full skill sets with employers and admissions officers. The launch represented a significant step in making digital credentials more useful and portable for career advancement.
• In October 2024, Transact Campus announced a strategic partnership with Anthology to integrate its payment and credentialing systems with Anthology’s suite of education solutions. The collaboration focused on creating a seamless experience for higher education institutions by combining mobile-centric student identification and commerce technologies with student information systems. The Senior Vice President of Partnerships at Transact Campus noted that the productized integration would provide schools with flexible, out-of-the-box solutions to modernize campus operations. This partnership aimed to streamline digital identity management for students, enhancing secure access to campus facilities and services.
• In September 2024, EBSCOed, a division of EBSCO Information Services, launched LER.me, a new platform designed to manage self-sovereign Learning and Employment Records (LERs). The solution was introduced to enable students and job seekers to create, maintain, and share secure digital records of their credentials, skills, and professional abilities. According to the Founder and President of EBSCOed, the platform aligned with global interoperability standards to support skills-based hiring and competency-based education. The launch aimed to empower individuals by giving them control over their educational data and facilitating the portability of their achievements across different systems.
• In February 2024, Instructure Holdings, Inc. completed its acquisition of Parchment, a prominent academic credential management platform, in a transaction valued at approximately $835 million. This strategic move integrated Parchment’s credentialing network, which serves thousands of districts and universities, into Instructure’s learning ecosystem. The Chief Executive Officer of Instructure stated that the combination would allow the company to provide a comprehensive digital passport of achievement for learners, facilitating skill mastery tracking and credit transfers. This development significantly consolidated the market for verifiable digital records within the education sector.

Key Market Players

• Microsoft Corporation
• IBM Corporation
• Okta, Inc.
• Ping Identity Holding Corp.
• RSA Security LLC
• OneLogin, Inc.
• SailPoint Technologies Holdings, Inc.
• ForgeRock, Inc.
• Cisco Systems, Inc.
• Google LLC
• Amazon Web Services, Inc.
• HID Global Corporation

By Offering	By Solution Type	By Identity Type	By Region
Solutions Services	Identity Verification Authentication Identity Lifecycle Management Other	Biometric Non-biometric	North America Europe Asia Pacific South America Middle East & Africa

Report Scope:

In this report, the Global Digital Identity in Education Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

• Digital Identity in Education Market, By Offering:

• Solutions
• Services

• Digital Identity in Education Market, By Solution Type:

• Identity Verification
• Authentication
• Identity Lifecycle Management
• Other

• Digital Identity in Education Market, By Identity Type:

• Biometric
• Non-biometric

• Digital Identity in Education Market, By Region:

• North America
• United States
• Canada
• Mexico
• Europe
• France
• United Kingdom
• Italy
• Germany
• Spain
• Asia Pacific
• China
• India
• Japan
• Australia
• South Korea
• South America
• Brazil
• Argentina
• Colombia
• Middle East & Africa
• South Africa
• Saudi Arabia
• UAE