The consolidation in the identity industry continues -- with Netegrity acquiring Business Layers. That makes 2 large instances of acquisition in the identity space in 2 months -- not bad, though I suspect this is only the beginning of the cycle.

Prediction: In 2004 the consolidation continues, as identity management companies move into the access control and strong auth space. Don't be surprised to see some advanced strong auth companies (biometric perhaps?) getting acquired by enterprise identity managment folks.

Also, with the acquisition cycle at its very beginning, watch the VCs wake up to an exit strategy. 2004 -- the year that money begins to pour into identity (though most likely still under the guise of "security").

So, who gets acquired next? I'd look for Microsoft to make an acquisition in early 04......(i've got a few names in mind, but i'm not sharing yet ;-)

USAIP stands for the United States Agriculture Identity Program -- a proposed system whereby every piece of livestock in the US would be RFID tagged by 2005.

Cost: 600 million
Reason its suddenly relevant: Mad Cow disease

Read more here.