Mastercard is buying Ekata, a digital identity verification company that uses AI, for $850mn.
In Brief:
Ekata provides real-time fraud identification across digital account opening, payments and more.
Subject to regulation, the acquisition could close within six months.
Ekata works across merchants, financial institutions, marketplaces and digital currency platforms.
What does this mean?
Mastercard wants to use Ekata’s technology to help it provide a “one stop shop” for consumers, banks, merchants and the wider financial services ecosystem.
Ajay Bhalla, president of cyber security and intelligent solutions at the payments giant, said the deal will “advance our identity capabilities and create a safer, seamless way for consumers to prove who they say they are in the new digital economy”.
