Mastercard (NYSE: MA) expanded its cybersecurity services with an agreement to acquire global threat intelligence company Recorded Future from Insight Partners for $2.65 billion.
The acquisition bolsters the insights and intelligence used “to secure today’s digital economy – in the payments ecosystem and beyond.”
Recorded Future is the world’s largest threat intelligence company, with “more than 1,900 clients across 75 countries, including the governments of 45 countries and over 50% of the Fortune 100.”
The need for a holistic and global cyber defense “has never been greater. As new technologies are introduced and adopted, there is a rising risk of cyber threats. In 2024 alone, cybercrime is projected to cost $9.2 trillion globally.”
Recorded Future provides real-time visibility “into potential threats by analyzing a broad set of data sources to provide insights that enable its customers to take action to mitigate risks.”
This ability, coupled with Recorded Future’s “use of AI and other best-in-class technologies, will add to Mastercard’s identity, fraud prevention, real-time decisioning and cybersecurity services, bringing expanded threat intelligence capabilities to its network of merchants and financial institutions.”
Both Mastercard and Recorded Future use AI “to analyze billions of data points to identify potential threats, helping to protect people and businesses.”
Bringing these teams, technology and expertise together “will enable the development of even more robust practices and drive greater synergies in cybersecurity and intelligence, reinforcing the Mastercard brand as a trust mark.”
The companies’ customers – including those in new verticals – will “benefit from enhanced insights to fuel product innovation that supports greater intelligence and security.”
At the same time, Mastercard’s global reach and customer base “opens opportunities for Recorded Future to grow.”
Recorded Future has been a pioneer in using AI-powered analytics “to generate insights that are easily accessible to and understood by customers.”
The technology also increases Recorded Future customers’ efficiency and “effectiveness in using the platform to inform how they address the risks identified.”
Today, Recorded Future and Mastercard collaborate “on an AI-supported service that alerts financial institutions more quickly and with greater accuracy when a card is likely to have been compromised.”
Since its launch earlier this year, the service has “doubled the rate in which compromised cards are identified, as compared to the same time period last year.”
The transaction, which is anticipated to close by “the first quarter of 2025, is subject to regulatory review and other customary closing conditions.”