Payment giant Visa is set to acquire Featurespace, a company specialising in artificial intelligence (AI) technology for real-time payments fraud protection.
The acquisition aims to bolster Visa’s fraud detection and risk management capabilities, which are used globally by financial institutions and businesses to safeguard transactions.
Founded in 2008 at Cambridge University, Featurespace has developed AI-driven algorithms that can detect complex fraud patterns in transaction data.
Visa plans to integrate this technology into its existing suite of security solutions to enhance fraud prevention across the payments ecosystem.
Featurespace has over 80 direct customers, including HSBC, NatWest, Worldpay, and Danske Bank.
Its technology is used by approximately 100,000 businesses worldwide.
Backed by investors such as Chrysalis Investments, Highland Europe, and Insight Partners, Featurespace operates globally from six locations and has around 400 employees.
The deal is expected to be finalised in 2025, subject to regulatory approvals.
Antony Cahill, Global Head of Value-added Services at Visa, said,
“Providing our clients with solutions that can adapt to and anticipate the changing threat landscape is of the utmost importance.
Featurespace’s strong foundation in AI will enhance our existing product portfolio and enable us to address our clients’ most complex and pressing challenges.”
Dave Excell, Founder of Featurespace, added,
“Over the past 12 years we have served the financial services industry, building a company that has gone from strength to strength, and we are thrilled to become a part of Visa.
With Visa, we can bring the innovation, integrity and purpose of our platform and our team to more payment service providers and ultimately, stop more people from becoming victims of financial crime.”
