PayPal buys security company for $170 million

When your company involves trading people's money and linking them online to their bank accounts, you'd hope your security and anti-fraud measures are pretty up to snuff. It hasn't always been the case for PayPal, who has been accused of lax security in the past. They are also a prime target of phishers, who try to steal people's PayPal identity long enough to pilfer money. To help combat these problems, PayPal is buying Fraud Sciences, a company that specializes in online risk assessment, among other things.

PayPal will be forking over around $170 million in cash for the company. Not much else is detailed about the transaction, other than they expect the deal to close by the end of next month. Hopefully PayPal will be able to use this as a way to enhance security, particularly in such a fashion to protect their users rather than accuse their users.