I don’t doubt it. I was on the first engineering team launching automotive lanekeeping cameras (the kind that are mounted up by the rearview mirror) for MY12. We were using Israeli software from Mobileye in the camera. One of the optional features it had was “pedestrian detection.” Plugged into a monitor, the modules’ readout showed red boxes around the pedestrians but it said “Target” in red letters at the bottom. We knew we were dealing with military spin-off tech. Going from that to more advanced facial recognition would be only natural.
I would hope they are Lojacking all of the terrorists they are releasing in exchange for the hostages.