​Facial recognition is a topic that can be polarizing.  Some say it is an excellent way for devices to recognize users and others say it is a way for governments to track you wherever you go.  That said, the technology continues to improve both on the hardware and software side, and as that happens, the legitimacy of facila recognition improves.  It seems that Kakao Pay (035720.KS) has decided to test out that legitimacy by using facial recognition as a payment method in a number of unmanned stores early next year.  Shinhan Card (SHG), Korea’s largest card company has also begun using facial recognition for cardless payments at a number of retail locations in Seoul.
The Kakao system, which operates off-line so as not to be vulnerable to remote hackers, allows the customer to purchase items without any payment application or card using a 3D camera and anti-spoofing software that makes sure the face being scanned is not ‘camouflaged’.  The unmanned system requires that the user registers his/her face and card information at an separate unmanned register, after which you can use any register that accepts Kakao Pay by just looking at the camera..  The company is developing additional software that can estimate a customer’s age and gender.
Fortunately or unfortunately unmanned facial recognition systems for commercial applications are most common in China and Russia, with a fare payment system using facial recognition installed in 240 stations in Moscow, and a similar system in China, that allows the user to go through the system without taking their mask off.  That said, given the more restrictive governments in these locations, the odds are that those who might try to ‘game’ the system would be less likely than in an environment where such small violations might be overlooked. 
There are a number of bio-recognition tests that such systems have to pass in order to be certified by the government in Korea, with a number of banks and financial institutions having completed certification, but as is always the case with CE products, they tend to work differently in the real world, so we remain a bit skeptical about how quickly unmanned facial recognition payment systems will be deployed.  Retailers are certainly in favor as it would cut labor costs and associated benefits, but if it is found that the systems are more difficult for customers to use (think about the success rate for your groceries at the self-check registers “Item not found – Help is on the way”) or are not 100% spoof-proof, adoption might take some time, and could you imagine how many customers might be offended if facial recognition software identifies gender incorrectly?  The Twitter blowback would be massive….

​A court in Hangzhou, China has ruled that its original decision in China’s first lawsuit relating to the use of facial recognition will be upheld, which gives Chinese citizens the right to approve or disapprove of the use of their facial recognition data.  The suit was filed by a law professor that asked for his money back after being told he could not enter the Huangzhou Safari Park without a facial scan.   The decision by the People’s Supreme Court states that the collection and analysis of facial data by commercial enterprises must receive independent consent from the individual, and if such is not given it can be the basis for an infringement of personal rights civil lawsuit that can result in fines and/or compensation.  In the case above, the professor was awarded ~$158 in compensation and the park was required to delete the facial information and fingerprints that had been used for identification before the facial recognition system was installed.  The court did not require the park to refund the professors annual dues.
This has great significance in China as facial recognition is becoming the ‘go-to’ mode for entry to recreation sites, gated communities, and final identifiers in financial transactions, that now will be open to the court’s interpretation, with the state run People’s Daily saying that the ruling gives Chinese citizens the ability to “bravely say no to facial recognition.”  While that statement draws headlines and likely will calm some fears about the use of biometric information in China, it certainly will not change the Chinese government’s very extensive surveillance programs, which has the support of over 60% of the citizenry (or at least that’s what the government says) because they feel safer under the programs.
Much of the facial recognition controversy however has to do with the use and storage of such data, much of which is held by commercial businesses and has little regulation as to the protection of the data, leading to some very large data breeches in the past.  The Chinese government recently tabled a new personal information protection law that would have standardized data collection and processing, but cybercriminals are so far ahead of even the most stringent mandates that such a new law, if ever passed would make no dent in their nefarious businesses.  Facial data is sold in China for as little as $0.07 per face.  As the Chinese government is the biggest purchaser of facial recognition equipment and software, facial recognition collection and data rules are oriented toward developers rather than consumers, so one would expect only modest changes to existing rules despite the recent ruling. 
All in, commercial operations that have converted to all facial recognition entry will have to offer an alternative and a small segment of the population will request that their facial recognition information be deleted from such sites, but jaywalkers that get caught on camera and identified with facial recognition by the government will still face bans from public transport or similar prohibitions.  The wheels of change grind slowly, especially in China.