EBay has acquired credit card tech start-up card.io and will fold it into its PayPal payments division, the company revealed in a blog.
The deal’s financial terms have not been disclosed, but eBay said the acquisition was aimed at expanding its mobile payment services. Employees of the San Francisco-based start-up will move to PayPal’s San Jose offices “to help us create new experiences to make it even easier for consumers and merchants to use the PayPal digital wallet,” PayPal’s vice president of global product, Hill Ferguson, wrote in a blog post.
Card.io uses smartphone cameras to scan credit cards, and touts a “fast, simple, delightful” experience for both users and developers.
The start-up’s current technology will remain available to developers, Ferguson said in the blog post. On its website, Card.io confirmed that Android and iOS developers would continue to be able to access its 15 cent per scan SDKs for those platforms.
“The card.io team is joining PayPal for the same reasons that the Zong team was excited to join PayPal last year - to get the opportunity to work on projects that will accelerate innovation at a scale that’s just not possible at a startup,” Ferguson added, referencing PayPal’s $240 million (£153 million) takeover of frictionless mobile payment company Zong.
Recent acquisitions suggest PayPal is looking to expand in the digital wallet sphere, presumably in the face of competition from other mobile payment companies like Twitter founder Jack Dorsey’s dongle-based Square service.