Visa Buys BioCatch for $2.4 Billion as AI-Powered Scams Top $1 Trillion
Updated
Updated · CNBC · Aug 3
Visa Buys BioCatch for $2.4 Billion as AI-Powered Scams Top $1 Trillion
3 articles · Updated · CNBC · Aug 3
Summary
$2.4 billion in cash will give Visa control of BioCatch, a fraud-detection startup, with the deal expected to close by the end of Visa's fiscal second quarter of 2027 pending approvals.
BioCatch's behavioral biometrics platform tracks signals such as keystroke timing and touchscreen pressure to separate legitimate users from scammers and bots before a payment is made.
Visa is making the purchase as banks face a rise in AI-driven scams and account takeovers; the company estimates fraud and scam losses now exceed $1 trillion a year globally.
The acquisition also expands Visa's fast-growing value-added services unit, adding BioCatch's reach across 760 million users and about 350 banks to a network that already connects nearly 14,500 financial institutions.
Can Visa’s $2.4 billion BioCatch deal really stop AI scams before payment, or will smarter fraudsters and privacy rules blunt its edge?
Why is Visa betting billions on behavioral biometrics now—and could continuous session monitoring become banking’s new frontline against account takeovers?