Deals

Jumio grabs $25M from Andreessen Horowitz to help merchants take credit cards via webcam

jumio-credit-card-webcam

jumio-credit-card-webcam

Online and mobile payments company Jumio has raised a new $25 million funding round from big dog investors Andreessen Horowitz and has a new product called Netverify that can help retailers confirm a customer’s ID.

Jumio’s main focus is to help retailers process credit card transactions quickly and securely using webcams. Its Netswipe technology lets consumers show their credit card to a webcam to get details instead of typing them in. Jumio can detect what type of material is being scanned, so a photocopy of the credit card will not work.

Similar to its Netswipe solution, Netverify can turn a webcam into a secure ID reader. Netverify lets merchants confirm an ID online without having a customer fax or scan the ID, making the process faster.

CEO Daniel Mattes told us that he has had his credit card details stolen twice and that his experience is not uncommon. Hackers can take credit card numbers you type online, so Jumio can theoretically make the process of buying online safer and quicker.

“We are enabling the [credit card] industry and are partnering with the industry,” Mattes told VentureBeat. “Netswipe and Netverify will make payments online more seamless and accurate.”

Jumio first came on our radar when it raised $6.5 million with backing from Facebook co-founder Eduardo Saverin. The company then popped up again at last October’s CTIA conference when Mattes talked on stage about a mobile payments addition to its service.

Along with Andreessen Horowitz leading the new funding round, AH General Partner Scott Weiss will join Jumio’s board of directors. “Daniel and the Jumio team understand the challenges facing online merchants when it comes to battling credit card [theft] … and they have encountered the problems that Jumio aims to solve,” Weiss said in a statement. “Jumio’s technology is a huge leap forward for online payments with potential to transform even more industries.”

Mountain View, Calif.-based Jumio has raised $32 million to date, including the new funding.

Credit card being scanned via webcam: Jumio


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