{ "docId": "019dd923-622c-750b-8b99-b032f87a30cd", "docSlug": "d09125f46e4d", "documentTitle": "Clear Secure, Inc. (YOU)", "authorId": "54_Spruce_Point_Capital", "authorName": "Spruce Point Capital Management", "documentKindSlug": "activist-deck", "documentKindLabel": "Activist deck", "sourceTypeSlug": "short_seller", "sourceTypeLabel": "Short seller", "presentationDate": "2025-04-30 00:00:00", "orientation": "landscape", "aspectRatio": 1.3333334, "pageNumber": 42, "pageCount": 85, "prevPage": 41, "nextPage": 43, "slideType": "cite_precedent", "function": "cite_precedent", "density": "overcrowded", "nDataPoints": 0, "notes": "Uses yellow highlighting to emphasize critical parts of the expert's critique.", "elementsJson": [ "headline_text", "paragraph", "callout_box", "quote_block", "footnote" ], "metadataConfidence": 1, "imagePath": null, "slideHref": "/slides/019dd923-622c-750b-8b99-b032f87a30cd/42", "deckHref": "/decks/019dd923-622c-750b-8b99-b032f87a30cd", "deckJsonHref": "/decks/019dd923-622c-750b-8b99-b032f87a30cd.json", "deckAnchorHref": "/decks/019dd923-622c-750b-8b99-b032f87a30cd#slide-42", "components": [ { "bbox": null, "kind": "callout", "text": "having a single private company “disintermediating” our biometric data—especially facial data—is the wrong “architecture” to manage identity.", "attrs": null, "subkind": null, "toolName": "Visual emphasis", "toolSlug": "visual-emphasis", "confidence": null, "componentId": "019dd953-3f3f-7598-93f3-1380d3016cfc", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.12, "w": 0.96, "x": 0.02, "y": 0.17 }, "kind": "paragraph", "text": "According to a recent article in MIT Technology Review, a data breach on a laptop at predecessor company Verified Identity Pass was one of the root causes of bankruptcy in 2009. Spruce Point highlights a few key excerpts from the article. A CLEAR data breach remains a risk factor which could cause irrecoverable harm. According to an expert who advised the US government, CLEAR's \"architecture\" might not be the right approach for managing identity.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "a88c02fb-5046-452a-b4b4-d93d69bd6bd6", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.22, "w": 0.94, "x": 0.03, "y": 0.38 }, "kind": "quote", "text": "What's more, says Kaliya Young, an identity expert who has advised the US government, having a single private company \"disintermediating\" our biometric data—especially facial data—is the wrong \"architecture\" to manage identity. \"It seems they are trying to create a system like login with Google, but for everything in real life,\" Young warns. While the single sign-on option that Google (or Facebook or Apple) provides for websites and apps may make life easy, it also poses greater security and privacy risks by putting both our personal data and the keys to it in the hands of a single profit-driven entity: \"We're basically selling our identity soul to a private company, who's then going to be the gatekeeper ... everywhere one goes.\"", "attrs": null, "subkind": "pull-quote", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "558468a5-5da9-4802-9920-e6265065b4eb", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.22, "w": 0.94, "x": 0.03, "y": 0.61 }, "kind": "quote", "text": "\"This is what Young, who helped facilitate the creation of the open-source identity management standards Open ID Connect and OAuth, means when she says that CLEAR has the wrong \"architecture\" for managing digital identity; it's too much of a risk to keep our digital identities in a central database, cryptographically protected or not. She and many other identity and privacy experts believe that the most privacy-protecting way to manage digital identity is to \"use credentials, like a mobile driver's license, stored on people's devices in digital wallets,\" she says. \"These digital credentials can have biometrics, but the biometrics in a central database are not being pinged for day to day use.\"", "attrs": null, "subkind": "pull-quote", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "8ee83cfb-c95d-4880-b7af-fc51bb30bf74", "frameworkName": null, "frameworkSlug": null }, { "bbox": null, "kind": "quote", "text": "“We’re basically selling our identity soul to a private company, who’s then going to be the gatekeeper ... everywhere one goes.” — Kaliya Young, identity expert", "attrs": null, "subkind": null, "toolName": "Authority citation", "toolSlug": "authority-citation", "confidence": null, "componentId": "019dd953-3f3f-7598-93f3-169475208808", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.02, "w": 0.6, "x": 0.01, "y": 0.97 }, "kind": "source-note", "text": "Source: \"Inside Clear's ambitions to manage your identity beyond the airport\", MIT Technology Review, Nov 20, 2024", "attrs": null, "subkind": null, "toolName": null, "toolSlug": null, "confidence": null, "componentId": "51f0003e-e831-4f39-9386-ab3e31878f7c", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.08, "w": 0.6, "x": 0.33, "y": 0.03 }, "kind": "title", "text": "One Expert Says CLEAR's \"Architecture\" Might Not Be The Right Approach", "attrs": null, "subkind": "headline", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "593b0edb-9222-4b31-8642-00498f8a3e12", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.04, "w": 0.94, "x": 0.03, "y": 0.33 }, "kind": "title", "text": "Excerpts From MIT Technology Review", "attrs": null, "subkind": "subtitle", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "3d7360a6-7df6-4ebe-8681-e5dd93d1f8b8", "frameworkName": null, "frameworkSlug": null } ], "metrics": [], "tools": [], "frameworks": [ { "name": "authority-citation", "slug": null, "matchId": "70158b0f-1f2f-4879-905c-e67634e4dd6a", "evidence": "Citing Kaliya Young, an identity expert who has advised the US government, to validate the critique of CLEAR's architecture.", "confidence": 0.9 } ], "arcBeats": [ { "to": 50, "from": 21, "beatId": "94649fab-d8a2-4e54-9ab1-325a074f74f9", "arcName": "Overcoming the Monster", "arcSlug": "overcoming-monster", "beatName": "Spruce Point presents its thesis and evidence", "beatSlug": "overcoming-monster-the-struggle", "evidence": "The document presents Spruce Point's thesis and evidence supporting its short position.", "position": 2, "confidence": 0.8, "parentBeatName": "Development", "parentBeatSlug": "development" } ], "loops": [ { "to": 50, "from": 40, "name": "Cost Of Inaction", "slug": "27-cost-of-inaction", "bestFor": "Urgent budget requests, compliance, risk mitigation", "matchId": "1d1cc5a9-6cd7-496f-807c-c1fec88c64e3", "evidence": "The document highlights the potential risks and consequences of not addressing CLEAR's challenges.", "position": 1, "objective": "Emphasizing the risks of not addressing CLEAR's challenges", "structure": "The Status Quo -> The Hidden Costs Accumulating -> The Future State of Inaction -> The Tipping Point", "confidence": 0.6, "description": "Quantify what happens if the audience does nothing" } ], "imagePathAlt": null, "thumbSrc": null, "thumbSrcAlt": null, "locked": true }