NeuroID — a Valley company whose founders developed new anti-fraud technology through research at the University of Arizona — has been acquired by global credit services giant Experian.
The acquisition comes at a time when companies are working to get ahead of fraud emerging from new generative artificial intelligence technology. Experian said that NeuroID’s technology adds a new layer of insight into its fraud risk suite.
NeuroID’s technology provides analytics of the digital behavioral signals of customers as they open accounts, conduct logins and make transactions. The technology is now available on the Experian Ascend Technology Platform through its Crosscore product, Experian said.
“Together with NeuroID, we’re excited to build new blended offerings that detect risk but also empower businesses to confidently navigate the online landscape and trust in their transactions,” said Robert Boxberger, President of Experian’s North American identity and fraud business, in a statement. “In today’s highly competitive and digital-first world, the use of behavioral analytics is now vital for innovating for the future of fighting fraud.”
NeuroID, founded in 2015 in Tucson, eventually moved its headquarters to Montana.
Financial details of the acquisition, which closed earlier this month, were not disclosed.
NeuroID CEO Jack Alton said joining forces with Experian will help companies navigate fraud risks that many companies are encountering for the first time.
“We are in a new era of fraud driven by AI. Companies are under immense pressure to rapidly innovate and advance their approach to fighting fraud. NeuroID unlocks a new view into a user’s riskiness based on behavioral interactions,” said Jack Alton, CEO at NeuroID. “This view arms companies with a proactive, first line of defense to detect sophisticated fraud rings and bot attacks.”
NeuroID had early help from Tech Launch Arizona
NeuroID was founded by Joe Valacich, professor of management information systems at the U of A’s Eller College of Management, along with Jeff Jenkins, who at the time was a Ph.D. student and now is a professor of information systems at Brigham Young University’s Marriott School of Business.
The two were researching mouse-cursor tracking, typing and other human-computer interaction, and they eventually found a method to assess a computer user’s credibility by measuring the user’s familiarity with the data they enter and interact with and analyzing whether the users are human and whether they present a risk.
From there, NeuroID was born with support from Tech Launch Arizona, or TLA, the office that brings U of A research and developments to market. TLA helped protect the intellectual property and strategize the launch of the startup.
The company was named TLA’s Startup of the Year in 2024. In May, Valacich received the University Distinguished Innovation and Entrepreneurship Award.
“When TLA first began working with Dr. Valacich on the IP that eventually formed the foundation of NeuroID, we knew there was really something ‘there’ and Joe’s passion for moving it into the market was infectious,” said Douglas Hockstad, associate vice president of TLA, in a statement. “I’m not surprised that Experian found this company, and the technology, so compelling. With this acquisition, the impact of their research and innovation will continue to grow. I look forward to more cutting-edge innovations from Eller and Joe.”
The Eller College of Business’s information systems program was its leading graduate business program in this year’s U.S. News & World Report rankings of the 2024 Best Graduate Schools. The program ranked No. 3 in the nation.
