Visa has signed a definitive agreement to acquire the token services and ticketing businesses of Rambus for undisclosed amount.
The acquisition will enable Visa to combine Rambus’ account tokenisation technology with its network tokenization capabilities. The combination will ensure more secure payments across all forms of global commerce.
Tokenisation refers to a process of securing card payments by replacing sensitive data with unique identification symbols. Visa Token Service launched in 2014. After the launch the company made significant strides in scaling up tokenisation for card-based payments.
Visa acquisition of Rambus
The company has enabled 100 markets for tokenisation, providing the capability to nearly 90% of its total payment volume. Its token platform now comprises more than 60 global token requestors.
With Rambus technology, Visa will extend security of tokenisation to all types of transactions beyond Visa cards. The scope of tokenisation will include domestic card networks, account-based and real-time payments systems.
Visa SVP, global head of payment products and platforms 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.”
Additionally, Rambus’ digital ticketing portfolio will help Visa in delivering transit and mobility solutions to public transit operators.
The acquisition of Rambus businesses is subject to necessary regulatory approvals and other customary closing conditions.