Urgency in Apple's Talks with AuthenTec Hints at Rapid Adoption of Fingerprint Scanning Technology

Discussion in 'MacRumors.com News Discussion' started by MacRumors, Aug 16, 2012.

  1. MacRumors macrumors bot


    Apr 12, 2001

    Late last month, fingerprint scanner firm AuthenTec announced that it had been acquired by Apple, naturally leading to speculation that Apple is looking to include the company's biometric security technology in its products.


    A lengthy report from The Next Web now takes a look at the U.S. Securities and Exchange Commission filing documenting the negotiations that led to the acquisition, highlighting Apple's sense of urgency in obtaining access to AuthenTec's technology, whether through acquisition or licensing. According to the filing, Apple and AuthenTec began discussions in late 2011, with serious talks about a potential licensing deal starting up in late February 2012.
    The regulatory filing details how Apple insisted that negotiations proceed quickly due to its "product plans and ongoing engineering efforts", with Apple informing AuthenTec that it would not participate in an auction for the company due to the tight timeline. Negotiations continued under a tight time schedule, but they hit a snag when Apple discovered some unacceptable issues during its due diligence process, and discussions once again turned back to a potential licensing agreement rather than an acquisition.

    Gears shifted once again in mid-July once AuthenTec reported that it had resolved the issues raised by Apple during the due diligence process, and a full acquisition of AuthenTec by Apple was once again back on the table. Negotiations over just a handful of days brought together the final package that saw Apple pay $8.00 per share for AuthenTec and make licensing-related payments totaling $135 million.

    The Next Web points to Apple's urgency during the negotiations and willingness to obtain access AuthenTec's technology under whatever scenario it could achieve as reason to believe that Apple is under a very tight timeline to bring the technology to its new iOS device hardware. The technology would be a nice complement to iOS 6, serving as one component to unlock the potential of Apple's new Passbook digital wallet feature.
    Apple is expected to introduce the next-generation iPhone on September 12, and while part leaks seen so far have yet to reveal evidence of the incorporation of a fingerprint sensor, a number of observers have argued that the capabilities could be relatively easily incorporated into the device's home button.

    Article Link: Urgency in Apple's Talks with AuthenTec Hints at Rapid Adoption of Fingerprint Scanning Technology
  2. AustinIllini macrumors demi-goddess


    Oct 20, 2011
    Austin, TX
    All I can say is it had better be better than the early 2000 PC fingerprint scanners. Took like a half our to log in to those things because the reader was awful.
  3. brock2621 macrumors 6502a


    Jun 8, 2007
  4. miles01110 macrumors Core


    Jul 24, 2006
    The Ivory Tower (I'm not coming down)
    Or they wanted to move quickly so once competitors got wind of the deal they wouldn't get into a bidding war.
  5. Crzyrio macrumors 65816

    Jul 6, 2010
    Perhaps the increased front display size, is not for screen real estate ;)
  6. DarkWinter macrumors member

    Feb 29, 2012

    I would be VERY surprised if this made it into this year's iPhone. Apple isn't one to rush these things...
  7. Truffy, Aug 16, 2012
    Last edited by a moderator: Aug 16, 2012

    Truffy macrumors 6502a


    May 9, 2005
    somewhere outside your window...
    I still find it difficult to believe that Apple could get this into the product for a September announcement
  8. ThatsMeRight macrumors 68020

    Sep 12, 2009
    If the next-gen iPhone, this fall, has got a fingerprint scanner it will be an instant buy. Why? I like fingerprint scanners.
  9. Carniphage macrumors 68000


    Oct 29, 2006
    Sheffield, England
  10. basesloaded190 macrumors 68030


    Oct 16, 2007
    I picture Apple sitting across the conference table with a checkbook and pen in hand asking how much it's going to take for them to be bought out.
  11. shartypants macrumors 6502a


    Jul 27, 2010
  12. tootall macrumors regular

    Apr 17, 2011
    Quebec, Canada
    Agreed, I had one on a Toshiba laptop and it never really worked...
  13. Crzyrio macrumors 65816

    Jul 6, 2010
    I do too!!

    When I was buying my first laptop I ended up deciding between an xps and macbook!

    Only reason I considered the XPS, was because it had a fingerprint reader xD
    Went with the macbook instead though
  14. GekkePrutser macrumors 6502a


    Aug 18, 2005
    Except the home buttons that leaked so far have been of the normal kind.. Or would they not be visually distinctive?

    Not sure if I'd really use this for payment stuff though.. For unlocking my phone, sure (anyone can see my unlock code over my shoulder with minimum effort, so this would be just about as safe). But the iPhone's glass is a fingerprint magnet so it'd be pretty easy for any thief to lift a print off it and use it to trick the sensor somehow... There's been many examples of that over the years, from laser prints on overhead sheets to jelly bean fingers.
  15. powers74, Aug 16, 2012
    Last edited: Aug 16, 2012

    powers74 macrumors 68000


    Aug 18, 2008
    At the bend in the river
    ... Which has been redesigned...

    ^^ Beat me to it.
  16. AustinIllini macrumors demi-goddess


    Oct 20, 2011
    Austin, TX

    "Well, you see, I'm buying this hotel, and uh, setting some new rules about the pool area."
  17. Baumi macrumors regular

    Mar 31, 2005
    Agreed. The only way this might make sense would be if Apple already planned to include the technology pre-buyout and later decided to stop AuthenTec from doing business with the competition. I expect this with next year's iPhone at the earliest.

    We might see an Apple-branded fingerprint scanner as an add-on, though.
  18. RichTF macrumors regular


    Nov 11, 2007
    London, UK
    So how would this work, can the scanner actually read through a small amount of plastic if incorporated underneath the home button? Would be interesting to see what kinda tech is involved here...

    I wonder if this has anything to do with the slight change in the shape of the 'back' of the home button that the part leaks have shown (i.e.: square shape, instead of small tabs)...? It seemed like an arbitrary change, but maybe it has a purpose -- to allow this fingerprint scanner to be more easily attached... Maybe. :cool:

    EDIT: Beaten to it. Twice.
  19. SmoMo macrumors regular


    Aug 20, 2011
    Twist in the tale

    I like your story a lot, because it has a surprise ending. Like the man who made that movie where Bruce Willis was some kinda lone Ghostbuster, and that other movie where some miserable people lived in a wooden house in a field in a forest in America in THE PRESENT DAY!!!!!

    Sorry, if that spoils it for anyone, oh and there is a hole behind the poster, Rosebud is the sledge, and Darth's his Dad.
  20. mdlee2009 macrumors member

    Aug 2, 2012
    Agreed. If the acquisition only went through last month then I find it very hard to believe that it would be incorporated into this year's iPhone. They initially screwed the pooch with Siri (beta) and I doubt they want a hit feature to go down in flames again.
  21. TMay macrumors 68000

    Dec 24, 2001
    Carson City, NV
    I agree, although it sounds as if Apple and Authentec were already pretty far along with development before the purchase of the company. As the article implied (at least the one that I had read elsewhere), Apple may incorporate the sensor into the Home button of the iPhone 5 (whatever), and release the software at a later time.

    I would be very happy to see this, and understand how this would be a very sellable feature in the market.

    NFC on the other hand, would be useful, but from my readings, there just hasn't been enough standardization to solidify the market yet, albeit Apple is large enough to drive a standard.
  22. macnerd93 macrumors 6502a


    Nov 28, 2009
    United Kingdom
    I really cant see it being that useful. If someone wants your data that badly they'll be able to get it one way or another. I'd say at least 95% of the time a smart phone gets stolen not for its data, but for the device itself.

    My experience with finger scanners hasn't been that good either. My dad has his own welding/engineering business and when he visits different sites which have these types of scanners on laptops and sometimes on doors cracked rough and dry hands really don't work or register properly with these scanners, its a constant problem and affects most people with this sort of job.
  23. nagromme macrumors G5


    May 2, 2002
    SOMETHING that doesn’t involve passwords and security questions is badly needed. Something EASIER than passwords and security questions, yet far more secure. Sounds like just the kind of problem that many would take a stab at and then Apple would finally crack!

    I hope they do, and I hope “whatever it is” becomes one of the many standards Apple has launched and then shared with the rest of the tech world to use as well.

    Does the solution involve ubiquitous fingerprint readers? If so, that could be a long transition for the public as a whole. But get it started! (No, it won’t be in the coming iPhone 7. We’ve seen front, back and home button pretty clearly already.)

    Yes, but that has to change!

    Always wondered about those. Seemed like kind of a cool gimmick but nothing I cared about. It interests me more lately!

    (Video face recognition does not. That’s been defeated easily with a photo, and you have to actually take a moment to frame the shot.)
  24. nepalisherpa macrumors 68020


    Aug 15, 2011
    Imagine a homescreen button with a built-in finger print scanner! No more slide-to-unlock and wrong passcode. Others would not be able to use your phone either without you physically being there. :)
  25. Digitalclips macrumors 65816

    Mar 16, 2006
    Sarasota, Florida
    I can see one use ... anyone stealing an iPad or iPhone with a criminal record better not touch the screen ... :D

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