TL;DR:
– Entrust, a software security company, is confirmed to be acquiring Onfido, which specializes in AI-based ID verification, according to sources.
– The acquisition deal speculated to be worth more than $400M.
– Onfido’s leadership in AI and machine learning based ID verification is expected to bolster Entrust’s suite of security software.
Article Summary
News broke recently hinting that security software company Entrust is preparing to acquire Onfido, an ID verification startup known for its AI-driven techniques. Now, the acquisition has been confirmed by sources, with the estimated dollar figure reaching above the $400M mark.
Regarded as one of the leaders in the ID verification sector, Onfido utilizes advanced AI and machine learning algorithms to verify IDs, perfecting the user verification process. The move by Entrust potentially signifies a strategic decision to strengthen their portfolio and overall authority in data privacy and security.
The acquisition of Onfido not only expands Entrust’s capabilities technologically but also paves the way for them to segue into untapped markets. Additionally, access to Onfido’s clientele, which includes big players such as Revolut and Zipcar, gives the company new business opportunities.
Thoughts
This move showcases the growing trend of software security companies diversifying and integrating AI into their offerings. By acquiring Onfido, Entrust is positioning itself stronger in the market, while setting a precedent for the competition. Over and above that, this consolidation will not only strengthen their software suite but potentially change the playing field in the ID verification sector.
Now it’s your turn. Do you see this move by Entrust opening doors for more AI integration in security solutions? Do you think Entrust has made a strategic move given the ever-increasing importance of data privacy and security?
References:
Source: TechCrunch
