MasterCard announced today that it is acquiring Salt Lake City-based start-up RiskRecon, which uses publicly available data to build security assessments,media reported. Unfortunately, neither company shared the price of the deal. For financial services companies like MasterCard, providing cybersecurity-related services to customers is becoming increasingly important, RiskRecon gives customers an objective rating of the company’s risk profile.
“Through the powerful combination of advanced technologies of artificial intelligence and data driven, RiskRecon provides an exciting opportunity to complement our existing strategies and technologies to secure cyberspace,” Ajay Bhalla, MasterCard’s President of Networking and Intelligence, said in a statement. “
Kelly White, CEO of RiseRecon, says joining MasterCard is an opportunity to be part of a larger organization that they will do everything they can. By becoming part of the MasterCard team, he said, they have the opportunity to further expand their solutions and help companies in new industries and regions take steps to better manage their cybersecurity risks.
RiskRecon, founded in 2015, has raised $40 million, according to Crunchbase. Investors include Accel, Dell Technologies Capital, General Catalyst and F-Prime Capital.
Notably, the company isn’t the only player in the field, and it’s a competitor to SecurityScoreCard in New York City. SecurityScoreCard, founded in 2013, has raised more than $112 million, according to Crunchbase. The last investment, in June, amounted to $50 million.
It is understood that the deal is still subject to approval by the standards regulator, but is expected to be completed in the first quarter of 2020.