Apple is reportedly making another move in the fintech sector.
As reported by CNBC, the company has acquired Credit Kudos, a financial technology startup in the United Kingdom. According to people familiar with the matter, Apple finalized the deal earlier this week to the tune of $150 million.
A spokesperson for Apple said the U.S. tech giant “buys smaller technology companies from time to time, and we generally do not discuss our purpose or plans.” Credit Kudos was not immediately available for comment when contacted by CNBC.
Based in London, Credit Kudos develops software that uses consumers’ banking data to make more informed credit checks on loan applications. It is a challenger to the big credit reporting agencies, which include Equifax, Experian and TransUnion.
The company operates in a nascent space in the world of fintech known as “open banking,” where third-party firms securely link to people’s bank accounts to extract information and make payments on their behalf, provided they’ve got consent to do so.
It’s currently unclear exactly what Apple has planned for Credit Kudos’ technology. It currently operates Apple Card which requires an application process, but the company is partnered with Goldman Sachs for its credit card. Goldman is a huge player in the credit industry, so it’s unlikely Apple needs its own credit check processing.
There have also been many hints about bringing Apple Card to more countries, but Credit Kudos’ technology is more focused on lending than credit cards, so the purpose of the acquisition is very mysterious.
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