authID Inc. (NASDAQ:AUID) Q2 2023 Earnings Call Transcript

Ricky Solomon: Hey, guys. So my question is about the product, and then about the TAM. So it seems to me in just early discussions and am hearing you talk now about the opportunities that are there. The TAM has increased, and it sounds like there’s a lot of use cases to our technology. How much work do we have to do to kind of expand the TAM? What tweaks can we do to expand the product to fit the market needs, and how long will it take to kind of get the product to a point where it’s massively scalable?

Rhon Daguro: Tom, you want to address that?

Tom Szoke : Yes, absolutely. So on the product, the current product is designed to service within those two types of markets that Rhon described, the fast 100. In that market, our product is a direct fit. Our key differentiator and what people are coming to us for are the speed, the accuracy, and the user experience. It’s what we invested into, and that is what is bringing them to us as customers. The larger accounts obviously have incremental requirements, and those are being put into our pipeline on a roadmap as those opportunities come in. So we’re developing those in accordance as the opportunities come in. The product is scalable as it is right now, and we’re ready to service those accounts that meet the requirements. So there’s not that much incremental work to do to what we would say scalable; it’s there already.

Rhon Daguro: And to answer the other question around, what does it take to expand. The customers are sharing more use cases with us, and we’re learning more and more, so we’ll go ahead and try to address that more in the future, but the use cases are expanding as we meet with those customers.

Ricky Solomon: Great. Thanks.

Operator: Thank you. [Operator Instructions].

Graham Arad : Thank you, Operator. I’ve neglected to introduce our last speaker was Tom Szoke. Some of you will be – many of you will be familiar with as our Founder and CTO, and Tom is obviously also on the call. While we’re waiting for any additional questions, Rhon, perhaps you could expand a little bit. You talked about the significance of the ABM deal in terms of shared device market, which obviously is one particular but large use case. Can you talk a little bit more about that, and what does the competition in the shared device market look like?

Rhon Daguro: That use case is very significant in the sense that the customer themselves have been evaluating solutions for over a year and a half. They’ve been looking at every single vendor, every single option, because this is a very big problem for any organization that has shared devices, so think similar companies like ABM, large stadiums, large airports, anywhere where there’s a large, massive workforce, and you may even consider that population low-tech. So they need to have the ability to have the highest levels of security, regardless of whether there’s high technology involved or low technology involved, and ABM obviously hadn’t looked at all those solutions, which is why that’s very significant and telling for us at authID.

So based off of their own analysis of the competition, they obviously selected authID for those things I described earlier, which was speed, accuracy, and the amazing user experience. The key thing in any authentication in the world, anytime you have to go log into a system, seconds, minutes, any of those things will upset anybody in a user experience. They have to get in very, very quickly, and essentially that’s what we saw for ABM. Like I alluded earlier, in the marketplace, there is nobody faster than us, and so in terms of competition, yes, there are people trying to solve this shared device use case, but nobody can solve it as fast as we can.

Graham Arad : Thank you, Rhon. Next question, Operator?