Visa has agreed to acquire the token services and ticketing business of US-based silicon IP and chip provider Rambus for an undisclosed price.
Image: Rambus strikes deal to sell its token services and ticketing business to Visa. Photo: courtesy of rawpixel/Pixabay.
The Rambus assets involved in the acquisition, which were previously called Bell ID and Ecebs, offer mobile payments, account tokenisation, retail and e-commerce payments and blockchain tokenisation solutions. The company’s payments unit caters to banks, financial institutions and retailers.
Visa said that the combination of its own network tokenisation capabilities with Rambus’ local and account tokenisation technology will enable safer, more secure payments for all types of global commerce.
According to Visa, tokenisation has been one of the most effective methods for curbing fraud and securing card payments online, at the point-of-sale, and for stored card credentials.
Currently, the company offers tokenisation technology for card-based payments on its network through Visa Token Service, which was launched in 2014. Visa said that Rambus’ token technology will help it expand improved security benefits of tokenisation to all forms of transactions beyond Visa cards, including those on domestic card networks, real-time and account-based payments systems.
Visa payment products and platforms global head SVP TS Anil said: “Facilitating safer, more secure digital transactions is core to Visa’s brand promise and central to growing electronic payments for everyone, everywhere.
“As the way people and businesses pay and get paid continues to evolve, the addition of Rambus’ technology will allow us to deliver greater security beyond the card to support more transactions, payments systems and participants.
“Going forward, we will apply these expanded capabilities, expertise and scale to help further all forms of global commerce.”
Visa further said that in addition to tokenisation, the digital ticketing portfolio and expertise in transit of Rambus will complement its commitment to provide global transit and mobility solutions to public transit operators, technology partners and cities across the world.
Currently, Visa has close to 250 transit projects in progress in different parts of the world. The company said that it will continue to help public transport operators, partners, and clients to offer new types of acceptance and mobility solutions to enhance the passenger experience.
Rambus payments and ticketing and CMO SVP/GM Jerome Nadel said: “Rambus Payments and Ticketing solutions are at the forefront of tokenization technology. Joining forces with Visa as a payments leader will allow the group to scale technology and capabilities to deliver new products and services to the market, while continuing to partner with existing customers.”
The acquisition will be subject to receipt of regulatory approvals and meeting of other customary closing conditions.