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This article was published on July 2, 2015

PayPal buys Xoom for $890 million to strengthen hold in the money transfer business

PayPal buys Xoom for $890 million to strengthen hold in the money transfer business
Napier Lopez
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Napier Lopez

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Napier Lopez is a writer based in New York City. He's interested in all things tech, science, and photography related, and likes to yo-yo in Napier Lopez is a writer based in New York City. He's interested in all things tech, science, and photography related, and likes to yo-yo in his free time. Follow him on Twitter.

With Facebook and Square reigning in on the money transferring business, PayPal isn’t resting on its laurels.

The company today dropped $890 million on Xoom, a payment transfer service similar to the already PayPal-owned Venmo.

PayPal says the acquisition will allow it broaden its services by cross-selling to Xoom’s 68 million active users, and expand its presence in Xoom’s 37 countries – Mexico, India, the Philippines, China and Brazil in particular.

Meanwhile, Xoom also gets access to PayPal’s customers. There’s no word on PayPal’s future plans for the company, but in the meantime it will continue to operate independently, much like Venmo.

PayPal to Acquire Xoom [Business Wire via Business Insider]

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