Facebook acquires smaller companies from time to time and normally, its intentions for the acquisition become clear soon after the fact. However, the company’s latest acquisition of Confirm has got people wondering about why Facebook decided to buy this company. Confirm was a small company based in Boston that developed tools which enabled startups to immediately verify government-issued IDs like driver’s licenses. Confirm’s software tools allow for proof of identity for online transactions, enabling its clients to detect potentially fraudulent activity.
Facebook has confirmed that it has acquired this company, saying that Confirm’s “technology and expertise will support our ongoing efforts to keep our community safe.” The world’s largest social network has provided no other reason for acquiring this company.
No terms of the deal have been revealed. Confirm is now going to wind down its operations and its 26 or so employees will join Facebook in Boston, according to Reuters. It’s possible that Facebook’s decision might have been based on its promise to require organizations running ads related to elections to confirm their identities.
The social network has been working to ensure that there’s no manipulation on its platform after reports that Russia-backed users used Facebook ads to divide the electorate during the 2016 presidential election in the United States. It would thus make sense for the company to acquire new technology that enables it to verify government-issued IDs.
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