Checkout.com to acquire identity verification startup Ubble

Checkout.com, a payments startup that raised $1 billion, plans to acquire Ubble, a French startup that operates a remote identity verification service. Checkout.com isn't revealing the terms of the deal because it should close later this year.

Checkout.com is adding a new product with this acquisition. It means Checkout.com customers don't have to use another company's digital identity verification.

Identity verification is important for companies in the financial services industry. Checkout.com has a lot of customers in these two areas. Identity verification can be used to check the age of the customers or identify potential fraud before it happens.

Ubble supports thousands of documents from all over the world. Business angels and investors in the startup include Partech.

We were really impressed when we met the team. Checkout.com chief product officer Meron Colbeci told me that they were impressed with the tech that they built.

We thought there was a good match with them and we were blown away by their talent. Ubble had almost 100 employees before today's acquisition announcement. Everyone will join Checkout.com after the acquisition.

Checkout.com had a few criteria when looking at digital identity verification startups, such as accuracy, speed of decision, how many types of different frauds they can detect and how sophisticated it is.

Colbeci said that Checkout.com could start with identity verification.

The fact that Checkout.com can offer another service to its existing customer base seems to be a bigger opportunity for the company. Checkout.com can be used as a supplier for other products once a customer has evaluated and assessed the company.

There will be opportunities for us to bundle things together. Colbeci said that even more important than pricing is the fact that you could integrate with a single vendor and have several services.

Checkout.com could leverage Ubble internally. The company has to verify the identity of the new merchant when it onboards a new marchant. Checkout.com will have a solution that scales well to verify the identity of hundreds of thousands or even millions of merchants when it expands to marketplaces.

Checkout.com raises $1B round at $40B valuation