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The use of facial recognition technology is on the rise and is already being implemented in various industries. From Delta Air Lines to Wells Fargo, the technology is being used by companies to strengthen security and provide customized services. As with any new technology, there are certain risks that companies need to assess before implementation. Potential risks include: 

  • Although there are some state and local regulations, there are currently no federal regulations for facial recognition technology. Companies run the risk of adopting technology that may be banned or restricted when federal regulations are imposed. 
  • Individuals’ private biometric data used in the technology is generally stored in the cloud, which makes it vulnerable to cyber-attacks. 
  • The technology is not 100% accurate and can lead to cases of mistaken identity or racial bias.
  • Biometric data can be obtained in public places without permission of the individuals. While this creates a privacy issue for the public, it can also lead to distrust of the companies that obtain this data. 

Companies that adopt the use of facial recognition technology should create policies and procedures to safeguard against potential risks. They may consider appointing a committee or officer to regulate this area and should also be transparent with customers and other stakeholders regarding data collected and technology used.