Illustration: Shoshana Gordon/Axios
Credit card giant Mastercard announced plans Tuesday to acquire Minna Technologies, a startup making it easier to cancel subscriptions, for an undisclosed sum.
Why it matters: Everything is fintech, and every financial company needs to be in tech (and offer more than just payments) to compete with newfangled entrants.
Driving the news: Sweden-based Minna embeds into banking and fintech applications, enabling consumers to manage their subscriptions from within the app.
- Minna raised some $27 million in its lifetime from investors including Nineyards Equity, 13books Capital and MiddleGame Ventures.
State of play: The move comes as Mastercard and Visa have each been expanding outside their core payments business.
- Last year, Mastercard acquired Baffin Bay, which offers cybersecurity services to businesses, and this year it agreed to acquire Recorded Futures for $2.7 billion, growing its fraud prevention services.
- Last week, Visa agreed to buy cybersecurity firm Featurespace; it bought Tink in 2022.
Context: Subscription management services emerged as a product in the last decade as companies jumped onto the monthly payment trend.
- Several fintechs, including Rocket Money (previously known as savings app TrueBill) and Clarity Money, have made subscription management part of their offering. Apple has a similar service for iOS users.
- DoNotPay was last valued around $210 million in 2021, pitching consumers on its ability to help cancel subscriptions, among other legal issues.
