Mastercard announced earlier this week that it would acquire the Seattle-based online identity verification company Ekata for $850 million subject to regulatory approval.
Ekata began as Whitepages Pro, the B2B solutions side of online people directory Whitepages.com. It was spun out as a separate company in 2019 and has experienced rapid growth since then. Ekata, already in its Whitepages Pro phase, expanded from being a simple manual review tool for card-not-present orders utilizing phone and email data to developing advanced risk scoring models using additional data attributes such as IP address, device ID and more.
Ekata works with merchants, financial institutions, travel companies, marketplaces and digital currency platforms around the globe to protect their online operations. The company uses insights to deliver unique scores, data attributes and risk indicators that businesses then use to make more informed decisions. They help their customers identify good consumers and businesses and bad actors in real-time during online account opening, payments and other digital interactions.
“The acceleration of online transactions has thrust global digital identity verification to the forefront as one of the biggest opportunities to build digital trust and combat global fraud,” said Rob Eleveld, CEO at Ekata, Inc. “The right identity verification solutions enable inclusive and frictionless experiences while, at the same time, ensuring customer privacy, control and security. Becoming part of the Mastercard Identity family ensures a broader, collective approach to meeting the growing demands of the digital economy.”
“The shift to a more digital world requires real solutions to secure every transaction and instill trust in every interaction,” said Ajay Bhalla, president of cyber and intelligence solutions at Mastercard. “With the addition of Ekata, we 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.”
The Mastercard acquisition is expected to be completed within six months.
