In a significant move to enhance its cybersecurity infrastructure, Mastercard announced on Thursday, September 12, its agreement to acquire Recorded Future, a global threat intelligence company, for $2.65 billion. The deal is anticipated to close by the first quarter of 2025
Mastercard, which processed transactions worth $9 trillion in gross dollar volume last year, aims to bolster its threat intelligence capabilities through this acquisition. The company stated that the purchase reinforces “the Mastercard brand as a trust mark” in an era where the need for comprehensive cyber defense has never been greater.
Both Mastercard and Recorded Future leverage artificial intelligence (AI) to analyze billions of data points for identifying potential cyber threats. This synergy is expected to enable the development of more robust cybersecurity practices.
AI-Powered Threat Detection
The acquisition builds upon an existing collaboration between the two companies. Earlier this year, they launched a service that alerts financial institutions about potentially compromised cards. Mastercard stated that since the launch, the rate of identifying compromised cards has doubled compared to the previous year.
About Recorded Future
Recorded Future is the world’s largest threat intelligence company. Recorded Future was previously acquired by private equity firm Insight Partners in 2019 for more than $780 million. This latest deal represents a significant return on investment for Insight Partners.
Conclusion
As cyber threats continue to evolve and multiply, Mastercard’s acquisition of Recorded Future positions the company to offer enhanced protection for its global network of users and reinforces its commitment to securing the digital economy.
Mastercard’s stock reached all-time highs above $490 following the announcement, reflecting positive market sentiment towards this strategic move in the cybersecurity space.
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