Apple to Buy Mobile Security Company AuthenTec for $356 Million

logoReuters reports that Apple will be acquiring AuthenTec for $356 million.

AuthenTec Inc (AUTH.O), which makes fingerprint sensor chips used in personal computers, said it agreed to be bought by Apple Inc (AAPL.O) for about $356 million.

Reuters describes AuthenTec as a maker of fingerprint sensor chips. AuthenTec recently had announced a partnership with Samsung as their VPN Security provider.

ATRIX AES1750 AuthenTec
From their fact sheet, AuthenTec describes its technology:

AuthenTec's award-winning smart fingerprint sensors provide multiple touch-powered features that extend beyond user authentication to include convenience, personalization and touch control. The Company's TouchChip area fingerprint sensors and modules comply with government and industry standards and offer the ruggedness, strong security and ease of integration needed for quick and broad deployment. TouchChip sensors dramatically lower the size, cost and power of fingerprint sensors versus optical-based fingerprint solutions.

AuthenTec's "swipe sensors" is described to use sub-surface technology to read the live layer of skin beneath the skin's surface.

Notably, one sensor is marketed for use specifically for authentication for mobile wallets. Apple has been rumored to be looking into mobile payments. Their Passbook technology in iOS 6 is a first step, but Apple has yet to deploy a more full scale system. Fingerprint authentication could fit into a larger payment strategy.

SeekingAlpha had recently speculated that AuthenTech may supply security chips for the next generation iPhone.

Apple is not going to the trouble of adding a biometric sensor just so that you don't have to use a four digit password. They are adding a biometric sensor so that the iPhone can become a safe and secure payment device.

Popular Stories

Early Black Friday Deals 1

The Best Early Black Friday Apple Deals on AirPods, Apple Watch, iPad, and More

Saturday November 8, 2025 6:16 am PST by
We're officially in the month of Black Friday, which will take place on Friday, November 28 in 2025. As always, this will be the best time of the year to shop for great deals, including popular Apple products like AirPods, iPad, Apple Watch, and more. In this article, the majority of the discounts will be found on Amazon. Note: MacRumors is an affiliate partner with some of these vendors. When ...
2024 iPhone Boxes Feature

Apple Adjusts Trade-In Values for iPhones, iPads, Macs, and More

Thursday November 6, 2025 11:12 am PST by
Apple today updated its trade-in values for select iPhone, iPad, Mac, and Apple Watch models. Trade-ins can be completed on Apple's website, or at an Apple Store. The charts below provide an overview of Apple's current and previous trade-in values in the U.S., according to its website. Maximum values for most devices either decreased or saw no change, but the iPad Air received a slight bump. ...
All Screen iPhone 2027 Feature 1

Apple to Hide Selfie Camera Under Display of 20th Anniversary iPhone

Monday November 10, 2025 1:55 am PST by
Apple will conceal the front-facing camera under the screen of its 2027 iPhone, a Chinese leaker said today, corroborating reports that Apple's 20th anniversary iPhone will have no visible cutouts in the display. Weibo-based account Digital Chat Station said Apple's development of under-screen camera technology was progressing as planned for adoption in 2027, one year after it will...
Apple fitness plus feature

Future of Apple Fitness+ 'Under Review'

Sunday November 9, 2025 5:30 am PST by
The future of Apple Fitness+ is "under review" amid a reorganization of the service, according to Bloomberg's Mark Gurman. In the latest edition of his "Power On" newsletter, Gurman said that Apple Fitness+ remains one of the company's "weakest digital offerings." The service apparently suffers from high churn and little revenue. Nevertheless, Fitness+ has a small, loyal fanbase that...
m1 chip slide

Five Years of Apple Silicon: M1 to M5 Performance Comparison

Monday November 10, 2025 1:08 pm PST by
Today marks the fifth anniversary of the Apple silicon chip that replaced Intel chips in Apple's Mac lineup. The first Apple silicon chip, the M1, was unveiled on November 10, 2020. The M1 debuted in the MacBook Air, Mac mini, and 13-inch MacBook Pro. The M1 chip was impressive when it launched, featuring the "world's fastest CPU core" and industry-leading performance per watt, and it's only ...
iphone air thinness

iPhone Air Sales Are So Bad That Apple's Delaying the Next-Generation Version

Monday November 10, 2025 11:41 am PST by
The thin, light iPhone Air sold so poorly that Apple has decided to delay the launch of the next-generation iPhone Air that was scheduled to come out alongside the iPhone 18 Pro, reports The Information. Apple initially planned to release a new iPhone Air in fall 2026, but now that's not going to happen. Since the iPhone Air launched in September, there have been reports of poor sales...
Liquid Glass General Feature

Apple Shares Liquid Glass Design Gallery

Thursday November 6, 2025 2:45 pm PST by
Apple is promoting the new Liquid Glass design in iOS 26, showing off the ways that third-party developers are embracing the aesthetic in their apps. On its developer website, Apple is featuring a visual gallery that demonstrates how "teams of all sizes" are creating Liquid Glass experiences. The gallery features examples of Liquid Glass in apps for iPhone, iPad, Apple Watch, and Mac. Apple...
iOS 26

iOS 26.1 Available Now With These 8 New Features

Monday November 3, 2025 5:54 am PST by
Following more than a month of beta testing, Apple released iOS 26.1 on Monday, November 3. The update includes a handful of new features and changes, including the ability to adjust the look of Liquid Glass and more. Below, we outline iOS 26.1's key new features. Liquid Glass Toggle iOS 26.1 lets you choose your preferred look for Liquid Glass. In the Settings app, under Display...
iPhone Satellite Feature

Apple Developing These 5 New Satellite Features for iPhone

Sunday November 9, 2025 6:07 am PST by
Apple is working on a series of new satellite connectivity features for the iPhone, Bloomberg's Mark Gurman reports. In this week's "Power On" newsletter, Gurman revealed that the new features in development include: Apple Maps via satellite: Navigation in Apple Maps without cellular or Wi-Fi connectivity. Photos in Messages via satellite: Support for sending photos in the Messages...
maxresdefault

In-Depth iPhone Battery Experiment Pits Slow Charging Against Fast Charging

Friday November 7, 2025 1:19 pm PST by
HTX Studio this week shared the results from a six-month battery test that compared how fast charging and slow charging can affect battery life over time. Using six iPhone 12 models, the channel set up a system to drain the batteries from five percent and charge them to 100 percent over and over again. Three were fast charged, and three were slow charged. Another set of iPhones underwent...

Top Rated Comments

acidblue Avatar
174 months ago
Real stuff = Costs less

Please note that I am a professional software engineer...

It's amazing to me that hardware companies, such as AuthenTec, who produce actual tangible products are purchased for significantly less than some silly, single shot app (like silly photo apps, and wow there was a pun in there) development companies. There is so much more needed in the engineering of hardware, and the accompanying software than there is in a stupid 'social app'. Hardware companies have to deal with real world engineering, real-world supply chain management etc. Where silly little software companies can just offload all the distribution off to the cloud. An app company can make a silly picture taking app that distorts your photos and they are all of a sudden worth a billion dollars; crazy.

/rant.

But, all-in-all, it's a cool acquisition. Hopefully they do something cool with it.
Score: 16 Votes (Like | Disagree)
samac92 Avatar
174 months ago
from 9to5mac:
Just last week, AuthenTec entered an agreement (http://www.authentec.com/News/ViewNews/tabid/473/ArticleId/518/Samsung-Selects-AuthenTecs-VPN-Security-to-Enhance-Enterprise-Security-in-New-Android-Smartphones-Ta.aspx) with Samsung to implement secure VPNs for its Android hardware. Whoops.
Score: 11 Votes (Like | Disagree)
DTphonehome Avatar
174 months ago
I find it hilarious how many people think they know the cost vs. benefit of Apple's acquisitions more than Tim Cook and Co. They don't just buy up companies for no reason, and they don't waste money, but, like all things, they keep it close to the chest.

Well obviously they know what they're doing. I'm not implying otherwise. I was just hoping geniuses such as yourself would have some more insight on this than morons like me.
Score: 9 Votes (Like | Disagree)
MisterK Avatar
174 months ago
Not replacing your credit cards... you're WALLET

Apple realizes (I think) that the goal is not replacing a credit card. That's a short-sighted goal. Apple WILL replace the credit card, of course, but as a stop-gap measure. Swiping your iPhone will charge to your iTunes account, which is tied to whatever credit card you want. Eventually this middle-man route also leaves Apple to negotiate better deals or remove the credit card companies altogether and you'll not notice (or care) because the system will be the same; you'll still be charging to your AppleID. But, like I said, this is all stop-gap.

The real goal is to replace the entire wallet and maybe even my keys. Why replace the credit card when I still have to carry around my driver's license, passport, and other IDs? I'd still have to carry a wallet anyway.This is a longer term goal, but significantly better. Your phone trusting that you are you is the first step.
Score: 7 Votes (Like | Disagree)
arn Avatar
174 months ago
Please note that I am a professional software engineer...

It's amazing to me that hardware companies, such as AuthenTec, who produce actual tangible products are purchased for significantly less than some silly, single shot app (like silly photo apps, and wow there was a pun in there) development companies.
If it makes you feel any better, Instagram was purchased more for its massive number of users than its software technology.

arn
Score: 6 Votes (Like | Disagree)
Macboy Pro Avatar
174 months ago
I'd like the ability to get a fingerprint if your phone is stolen and have it reported to a database. Bet there would be a lot less stolen phones. The alternative is a remote self destruct like a James Bond Movies. (Hot Potato anyone? ) :D
Score: 6 Votes (Like | Disagree)