VeriSign Finds A Pay Pal For BusinessPayments Market

October 12, 2005, 1:00 a.m. EDT 1 Min Read

MOUNTAIN VIEW, Calif. - (10/12/05) -- eBay said its PayPal unit has agreedto acquire the payment gateway business of VeriSign, whichprocessed more than $40 billion worth of merchants business lastyear, for $370 million. Under the deal, PayPal will combineVeriSign's payment gateway with its own merchant services platform,adding tens of thousands of new small and medium-sized businesscustomers online. The deal also calls for eBay to invest in thedeployment of VeriSign technologies that enable and protect onlinetransactions, including the purchase of up to one milliontwo-factor authentication tokens. The two companies plan to rollout a two-factor authentication security system in 2006.

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