Tech Giant Pauses Iris Scanning Due to Regulatory Issues in Germany, Philip

Published Date : 7/11/2025 

World, a leading biometric technology company, has paused its iris scanning operations in Germany while facing regulatory scrutiny from German data protection authorities and potential legal action in the Philippines. The company is navigating complex data privacy laws, including GDPR compliance, as it seeks to resolve ongoing disputes over its biometric data practices. 

World, a global tech company known for its biometric identification systems, has temporarily halted its iris scanning operations in Germany amid regulatory challenges. The company's decision to pause its services comes as it faces scrutiny from German data protection authorities and potential legal action in the Philippines. This development highlights the growing tension between emerging biometric technologies and stringent data privacy regulations across the world. n nThe company's German operations, which were previously active through its World ID Orb devices, have been put on hold. According to reports, the Germany section of World's online search tool now displays a message stating, 

Frequently Asked Questions (FAQS): 

Q: Why has World paused its iris scanning operations in Germany?

A: World paused its iris scanning operations in Germany due to regulatory scrutiny from the Bavarian State Office for Data Protection Supervision (BayLDA). The agency found that the company's data practices violated GDPR requirements, including the storage of plain-text iris codes. The company is working to address these concerns and align its operations with local laws.

Q: What is the SMPC system, and how does it relate to World's operations?

A: The secure multiparty computation (SMPC) system is a technology that encrypts biometric data across multiple servers, reducing the risk of data breaches. World implemented this system in May 2024 to address regulatory concerns. While the BayLDA acknowledges the potential of SMPC, it is still evaluating its effectiveness to ensure full compliance with GDPR.

Q: How does GDPR impact World's operations in the EU?

A: GDPR imposes strict requirements on data collection, storage, and user consent. World's practices, including the storage of plain-text iris codes, have been flagged as non-compliant. The company must now demonstrate that its data handling meets GDPR standards, which includes implementing robust security measures and obtaining explicit user consent.

Q: What is the Philippines' stance on World's biometric operations?

A: The National Privacy Commission (NPC) in the Philippines is investigating World for potential violations of local privacy laws. The commission has raised concerns about consent protocols and data retention practices, urging the public to exercise caution. A formal investigation is underway to determine whether World's operations comply with Philippine data protection regulations.

Q: What are the potential implications of these regulatory challenges for biometric technology?

A: The regulatory challenges faced by World highlight the need for stricter oversight of biometric data. As more countries adopt data protection laws, companies must balance innovation with transparency and security. The outcomes of these cases could set important precedents for how biometric technology is regulated globally. 

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