29 April 2017
Find out more

Following VeriFone spat and Visa investment, Square adds encryption

03 May 2011  |  9282 views  |  0 Security/Risk

After a high-profile spat with rival VeriFone over its security credentials, mobile payments start-up Square is set to roll out new, encryption-capable, hardware.

VeriFone launched a public attack on its smaller rival in March over Square's hardware which cannot encrypt card data. In an open letter, VeriFone CEO Douglas Bergeron accused Square of "serious security flaws" that put "consumers in dire risk".

Square boss Jack Dorsey insisted VeriFone's allegation was "not a fair or accurate claim" and the scuffle was generally viewed as a public relations loss for the aggressor.

However, last week Square received a strategic investment from Visa on the same day that the card giant released a set of mobile acceptance best practices for merchants, software developers and device manufacturers.

The guidelines say firms should "encrypt all account data including at the card-reader level and in transmission between the acceptance device and the processor - especially important given the use of wireless or public networks".

Square COO Keith Rabois took to the Visa Security Summit Web site, writing a blog in which he says: "Of course, Square complies with all current industry standards, and we are committed to meeting or exceeding industry guidelines as they evolve - all while keeping our card reader free."

Then, according to the StorefrontBacktalk site, Sam Quigley, security lead at Square confirmed at the Visa conference that the firm will begin rolling out an encrypting card reader this summer.

Comments: (0)

Comment on this story (membership required)

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board: sign up now

Related stories

Visa invests in Square

Visa invests in Square

28 April 2011  |  14713 views  |  1 comments
VeriFone taps Facebook to bash Square

VeriFone taps Facebook to bash Square

22 March 2011  |  9059 views  |  0 comments
Square accused by rival of massive security failing

Square accused by rival of massive security failing

10 March 2011  |  12840 views  |  5 comments
Square processing $1m per day; Apple boasts payment stats

Square processing $1m per day; Apple boasts payment stats

03 March 2011  |  12225 views  |  4 comments
Square begins mass-market roll out

Square begins mass-market roll out

10 November 2010  |  11664 views  |  4 comments
Square roll-out delayed over security concerns

Square roll-out delayed over security concerns

21 June 2010  |  13761 views  |  1 comments
Twitter founder Dorsey launches mobile phone credit card reader

Twitter founder Dorsey launches mobile phone credit card reader

02 December 2009  |  14970 views  |  2 comments

Related company news

 

Related blogs

Create a blog about this story (membership required)
Visit capgemini.comvisit dh.comvisit vasco.com/news/PSD2-compliant-solutions

Top topics

Most viewed Most shared
Six global banks join Swift DLT trialsSix global banks join Swift DLT trials
7900 views comments | 16 tweets | 36 linkedin
BBVA steps up fintech acquisition strategy with purchase of OpenpayBBVA steps up fintech acquisition strategy...
7070 views comments | 17 tweets | 16 linkedin
JPMorgan formally quits R3JPMorgan formally quits R3
6535 views comments | 25 tweets | 14 linkedin
Should central banks open up payment and settlement systems to non-banks?Should central banks open up payment and s...
6207 views comments | 22 tweets | 21 linkedin
Token raises $15.7 million as PSD2 approachesToken raises $15.7 million as PSD2 approac...
5986 views comments | 20 tweets | 20 linkedin

Featured job

Six Figure Base + Commission + Stock Options
London

Find your next job