Cloud communications platform operator Twilio closed the acquisition of US-based mobile app authentification technology producer Authy for an undisclosed amount today.
The purchase allowed investors including cloud computing company Salesforce.com and internet company Digital Garage to exit Authy.
Both companies invested in Authy’s $3m seed round, raised in September 2014, along with venture capital firms CrunchFund, Winklevoss Capital and Data Collective, angel funding platform AngelList and angel investors including Aaron Levie and Sam Yagan.
Authy had already received a reported $750,000 in seed funding in 2012 from incubator Y Combinator and Crypto Currency Partners. Starling Ventures and Idealab were also reportedly backers.
Founded in Colombia in 2011 before it moved to California, Authy has created a two-factor authentication system to protect people and businesses from online phishing.
Twilio will incorporate Authy’s technology, the communications for which it has powered since 2012, into a cloud-based product that will embed authentification and phone verification into any app.
Jeff Lawson, Twilio’s chief executive, said: “We’ve seen increased demand from Twilio customers for easy-to-implement, strong authentication options for mobile and web apps.
“With Authy’s deep identity expertise and product capabilities, combined with Twilio’s global reach, we make it easy for customers to secure their applications and customer information. We are thrilled to welcome the Authy team to the Twilio family. We can’t wait to see what our customers build.”