Authorize.Net
Authorize.Net, founded in 1996 and a wholly owned Visa subsidiary since 2007, is a payment gateway serving more than 445,000 SMB merchants with multi-channel credit card, ACH, and digital wallet processing, fraud protection, and recurring billing tools.
- Company typePrivate
- Founded1996
- HeadquartersAmerican Fork, United States
- Headcount501–1,000
- GTM typeB2B
- OfferingSoftware
What Authorize.Net does
Authorize.Net is a U.S.-based payment gateway founded in 1996 and operated as a wholly owned subsidiary of Visa Inc. since Visa's 2007 acquisition of CyberSource Corporation. The platform connects merchants to payment processors and card networks, handling authorization, capture, and settlement of credit card, debit card, eCheck (ACH), and digital wallet transactions across online, in-person, and phone channels for an installed base of more than 445,000 merchants processing over one billion transactions and $149-200 billion in payments annually.
Authorize.Net firmographics
Firmographics- Name
- Authorize.Net
- Legal name
- Authorize.Net
- Website
- https://authorize.net
- Company type
- Private
- Founded year
- 1996
- Operating status
- Operating
- Headcount range
- 501–1,000 employees
- Short description
- Authorize.Net, founded in 1996 and a wholly owned Visa subsidiary since 2007, is a payment gateway serving more than 445,000 SMB merchants with multi-channel credit card, ACH, and digital wallet processing, fraud protection, and recurring billing tools.
- Ownership category
- akta.pro rank
Authorize.Net industry classification
Industry- Product category
- Payment Gateway
- NAICS
- Financial Transactions Processing, Reserve, and Clearinghouse Activities (52232)
- SIC
- Finance Services (6199)
- akta.pro primary industry
- Bank-to-Bank Transfers & Pay-by-Bank (Consumer & Merchant) (FSAMAFAC)
- akta.pro secondary industry
- Embedded Payments (Pay-ins, Pay-outs, Wallets) (FSAGALAB)
Keywords
Where Authorize.Net is headquartered
LocationHeadquarters
- HQ city
- American Fork
- HQ country
- United States
- HQ region
- North America
Offices1 record
Markets served
Authorize.Net business model
Business model- GTM type
- B2B
- Offering type
- Software
- Cost components
- Technology or R&D, Personnel, Infrastructure, Operations, Marketing or Sales
Revenue model
- Transaction Processing Fees: Percentage-based fees plus fixed per-transaction fees charged on every payment processed. All-in-one plan: 2.9% + $0.30 per transaction. Gateway only: $0.10 per transaction plus $0.10 daily batch fee.
- Monthly Gateway Subscription: Monthly service fee for gateway access and account maintenance. All-in-one plan: $25/month including merchant account.
- eCheck/ACH Processing: Low percentage fee (0.75%) on ACH transactions processed through the bank's payment rails, with no fixed per-transaction fee.
- Account Updater: Optional paid feature with per-update charges for automatic card data updates, with 20-35% of cards typically updating in the first month.
Pricing tiers
| Model | Billing | Price |
|---|---|---|
| Hybrid | Monthly | All-in-one solution with merchant account, gateway, and full feature set |
| Transaction based/ take rate | Monthly | Gateway connection for existing merchant account holders |
| Transaction based/ take rate | Monthly | Gateway with eCheck/ACH payment capability |
| Transaction based/ take rate | Monthly | Account Updater add-on |
Go-to-market motion3 records
Distribution channels4 records
Marketing channels6 records
Authorize.Net product offering
Product offeringCore offering
Authorize.Net is a payment gateway platform that connects merchants to payment processors and card networks, enabling authorization, capture, and settlement of credit card, debit card, eCheck (ACH), and digital wallet transactions. The platform supports online, in-person (card reader and Tap to Pay), phone/mail order (Virtual Terminal), and mobile payment acceptance channels, with add-on capabilities for recurring billing, digital invoicing, customer profile management, automatic card updates, and rules-based fraud screening.
Product overview
Authorize.Net is a payment gateway platform owned by Visa that offers a comprehensive suite of payment processing solutions for small and mid-sized businesses. The core offering consists of Online Payments (eCommerce), Mobile Point of Sale, Virtual Point of Sale, Phone Payments, and eCheck/ACH Payments. These are supported by add-on modules including Digital Invoicing, Simple Checkout, Advanced Fraud Detection Suite (AFDS), Account Updater, Recurring Payments (ARB), and Customer Information Manager (CIM). The platform is offered through three pricing tiers: All-in-One (includes merchant account and gateway), Gateway Only, and Gateway + eCheck. Developer tools including APIs and SDKs (iOS, Android) enable custom integrations. The reimagined platform now includes AI-powered features like the Ask Anet conversational support agent and enhanced fraud protection.
Differentiator
Problem solved
Functional benefit
Products and services
- Online Payments (eCommerce) Accept credit card payments, digital wallets (Apple Pay, Google Pay, PayPal), and eChecks through websites, hosted payment forms, or full API integration. Designed for online merchants and eCommerce businesses needing secure card-not-present transaction processing.
- Mobile Point of Sale (mPOS) Accept secure mobile payments using smartphones with support for QR codes, digital wallets, and tap-to-pay options. Includes the Authorize.Net 2.0 mobile app for SMBs and merchants accepting payments on the go.
- Virtual Point of Sale (VPOS) Turn a computer into a virtual point of sale by connecting a compatible card reader. Supports EMV chip cards, contactless tap-to-pay, and EMV transactions on First Data Nashville and TSYS platforms for in-person retail environments.
- Phone Payments (Virtual Terminal) Process phone, mail, and fax orders securely through a web browser-based Virtual Terminal with batch upload capability for multiple transactions. Designed for merchants taking manual orders over the phone or by mail.
- eCheck/ACH Payments Accept electronic check payments directly from customers' bank accounts through the ACH network. Lower cost alternative to credit cards capped at 0.75% per transaction with secure bank-level encryption and Nacha compliance. Available only for U.S.-based businesses.
- Recurring Payments (Automated Recurring Billing / ARB) Automated Recurring Billing (ARB) accepts and submits monthly recurring or installment payments via credit card or direct bank account (eCheck). Supports trials, customizable billing schedules, and subscription management for merchants with subscription-based or recurring revenue models.
- Digital Invoicing Send custom digital invoices to customers via email with secure online payment links. Supports credit cards, debit cards, eCheck, Apple Pay, Google Pay, and PayPal through PCI-DSS-compliant hosted invoice pages.
- Simple Checkout Add Buy Now or Donate buttons to websites, generate shareable payment links, or create QR codes for fast contactless payment. Enables merchants and nonprofits to accept payments without a full website.
- Advanced Fraud Detection Suite (AFDS) Rules-based fraud protection with 13 customizable filters for transaction thresholds, velocity settings, and country limitations. Includes actions: hold for review, authorize and hold, report and process, or decline. Award-winning fraud protection included at no extra cost on all plans.
- Account Updater Automatically updates stored card details in CIM profiles and ARB subscriptions when customer card information changes, with 20-35% of cards typically updating in the first month followed by 7-8% monthly. Reduces failed recurring payments and lost revenue.
- Customer Information Manager (CIM) Securely stores customer payment details in a PCI-compliant vault, enabling returning customers to checkout without re-entering card information. Supports multiple payment methods and shipping locations per customer profile.
- Authorize.Net API and SDKs Developer tools including APIs, SDKs, client libraries, and documentation for integrating digital payments into any application. Supports native iOS and Android SDKs, mobile-optimized responsive hosted payment forms, simplified PCI compliance with secure data transmission and storage on Authorize.Net servers, integrated customer profiles, and digital wallet support.
- Tap to Pay Transforms NFC-enabled smartphones (iPhone and Android) into secure contactless payment terminals with no extra hardware required. Supports tap-to-pay acceptance for merchants needing on-the-go card acceptance.
Quantifiable outcome
- Saves businesses significant money compared to PayPal: on a $100 sale, PayPal charges ~$3.98 while Authorize.Net charges $3.20
- +4 more outcomes
Companies that use Authorize.Net
Customer profileNamed customers6 records
Segments4 records
Ideal customer profiles5 records
Authorize.Net technology and API
TechnologyTechnology focussed Yes
API detail
- Has API
- Yes
- API docs
- API detail
Core technology
AI maturity
App detail
Integration18 records
AI capability4 records
Feature10 records
Authorize.Net partnerships and signals
Strategic signalPartnerships
Twelve partnerships are on record, tiered core, major and minor.
- CybersourcecoreCybersource is a sibling company under Visa alongside Authorize.Net, providing additional payment solutions. Authorize.Net recommends Cybersource for businesses requiring international locations beyond the U.S., Canada, U.K., Europe, and Australia.
- TSYSmajorTSYS has been an Authorize.Net Preferred Reseller for more than 10 years, processing tens of billions of dollars in sales volume for approximately 650,000 merchants and financial institution partners annually.
- Chase Payment SolutionsmajorChase Payment Solutions is an Authorize.Net Preferred Reseller offering competitive rates, secure payment processing, 24/7 U.S.-based customer support, and no annual fees for merchants.
- Wells FargomajorWells Fargo offers Authorize.Net payment processing with flexible solutions for online, onsite, or mobile acceptance, integrated with Wells Fargo banking services.
- Bank of America Merchant ServicesmajorBank of America Merchant Services helps clients of all sizes manage and grow their businesses by enabling great commerce experiences through Authorize.Net integration.
- ShopifymajorShopify is a certified integration partner allowing merchants to connect Authorize.Net payment gateway directly from their Shopify store settings for seamless checkout.
- WooCommercemajorWooCommerce offers an Authorize.Net integration plugin enabling WordPress-based online stores to process payments through the Authorize.Net gateway.
- BigCommercemajorBigCommerce provides Authorize.Net integration for merchants requiring enterprise-level eCommerce capabilities with secure payment processing.
- Adobe CommercemajorAdobe Commerce (Magento) provides Authorize.Net integration for cloud-native eCommerce with high-performance, scalable online stores.
- InstaCódigominorInstaCódigo integrated with Authorize.Net to promote blockchain and smart contract technologies for digital trust, with applications in real estate asset tokenization and supply chain transparency.
- ElavonmajorElavon is a leading payment processing partner integrated with Authorize.Net, leveraging innovative technology for online, mobile, and in-person payments.
- WorldpaymajorWorldpay is an Authorize.Net preferred reseller offering simple in-store, on-the-go, or online payments with security and insights tools.
Scale indicators6 records
Recent moves6 records
Expansion highlights6 records
Authorize.Net competitors and assessment
Company assessmentDirect peers
- Stripe: Stripe is a leading API-first payment gateway and online payment processor serving SMBs through enterprise, with developer-centric APIs, hosted checkout, and fraud tools (Radar). Most directly comparable to Authorize.Net on online payment gateway functionality, though Stripe is generally perceived as more modern and developer-friendly.
- Braintree: Braintree (owned by PayPal) is a developer-focused online payment gateway serving SMBs through enterprise with vault, recurring billing, and global merchant of record services. Directly competes with Authorize.Net's API, CIM (vault), and ARB (recurring) product suite for online merchants.
- Square (Block): Square provides multi-channel payment acceptance (in-person, online, mobile Tap to Pay, ACH) targeted at SMBs with simple bundled pricing. Overlaps directly with Authorize.Net's SMB multi-channel strategy and recently launched Tap to Pay on iPhone/Android, mirroring Square's longstanding mobile POS capabilities.
- PayPal: PayPal operates PayPal Checkout and Braintree, competing head-to-head with Authorize.Net in hosted checkout and merchant gateway services. Authorize.Net's own marketing explicitly compares its pricing to PayPal (~$3.98 vs $3.20 on a $100 sale), making PayPal a direct head-to-head competitor for SMB and online merchant share.
- Adyen: Adyen is a global unified payment gateway combining gateway, acquiring, and fraud (RevenueProtect) into a single platform targeting mid-market and enterprise merchants. Comparable to Authorize.Net's gateway + fraud suite offering but with broader international reach that Authorize.Net explicitly lacks.
Broad incumbents
- Worldpay: Worldpay is one of the largest global payment processors, offering gateway, acquiring, and merchant services across in-person, online, and omnichannel. Authorize.Net lists Worldpay as a preferred reseller, reflecting their hybrid competitor-partner relationship across SMB and enterprise segments.
- Global Payments: Global Payments is a large diversified payments and software company offering gateway, acquiring, and integrated POS solutions to SMB and enterprise merchants. Overlaps with Authorize.Net in SMB payment gateway and omnichannel processing.
- Fiserv: Fiserv is a major merchant acquiring and gateway provider (including the legacy First Data platform on which Authorize.Net VPOS runs). Competes with Authorize.Net in SMB merchant acquiring and omnichannel payment processing, and supplies the underlying processor for some Authorize.Net flows.
Emerging players
- 2Checkout (Verifone): 2Checkout (now part of Verifone, branded Vertima) provides online payment gateway and merchant of record services for SMBs and digital goods sellers. Listed in Authorize.Net's own partner ecosystem alongside Zoho integrations, and competes for similar digital SMB merchants with global ambitions.
- Checkout.com: Checkout.com is a modern API-based payment gateway focused on global enterprise and high-growth digital merchants, with strong international coverage. Comparable to Authorize.Net's gateway and international ambitions, though typically skews larger than Authorize.Net's SMB core.
Market position
Strengths5 records
Weaknesses4 records
Competitive moat7 records
Key risks5 records
Key highlights3 records
Customer concentration
Authorize.Net social profiles
Digital presenceAuthorize.Net compliance and trust
Trust signalCompliance3 records
Authorize.Net financial estimates
Financial estimateRevenue estimate
Valuation estimate
Authorize.Net leadership team
Management profileNumber of profiles
Authorize.Net funding detail
Funding detailFunding overview
Funding rounds1 record
Investors1 record
Funding detail is available on the Subscription and Enterprise plan.Contact sales →
Authorize.Net M&A and investment
M&A and investmentM&A
Investments
M&A and investment is available on the Subscription and Enterprise plan.Contact sales →
Frequently asked questions about Authorize.Net
What does Authorize.Net do?
Authorize.Net is a payment gateway platform that connects merchants to payment processors and card networks, enabling authorization, capture, and settlement of credit card, debit card, eCheck (ACH), and digital wallet transactions. The platform supports online, in-person (card reader and Tap to Pay), phone/mail order (Virtual Terminal), and mobile payment acceptance channels, with add-on capabilities for recurring billing, digital invoicing, customer profile management, automatic card updates, and rules-based fraud screening.
Is Authorize.Net a public or private company?
Authorize.Net is a private company. It is classified as corporate owned and is currently operating.
When was Authorize.Net founded?
Authorize.Net was founded in 1996. It employs 501 to 1,000 people.
Where is Authorize.Net based?
Authorize.Net is headquartered in American Fork, United States, in the North America region.
How does Authorize.Net make money?
Four revenue lines are on record. Transaction Processing Fees are the primary driver. The others are monthly Gateway Subscription, eCheck/ACH Processing and account Updater.
Who are Authorize.Net's main competitors?
Direct peers on record are Stripe, Braintree, Square (Block), PayPal and Adyen. Broad incumbents are Worldpay, Global Payments and Fiserv. Emerging players are 2Checkout (Verifone) and Checkout.com.
Does Authorize.Net have an API?
Yes. Authorize.net provides a comprehensive API for developers to integrate digital payments into any application. The Developer Center offers SDKs, client libraries, and APIs for optimal control over user interface design and transaction handling. Features include: efficient payment experience, mobile-optimized responsive payment forms, simplified PCI compliance with secure data transmission and storage on Authorize.Net servers, integrated customer profiles for tracking payments across multiple payment methods, digital wallet support for secure storage of customer payment information, and native iOS and Android SDK support for mobile applications. The API supports APIs, SDKs and documentation. Developer documentation is at developer.authorize.net.
What industry is Authorize.Net in?
Authorize.Net's product category is Payment Gateway. Its primary akta.pro industry code is FSAMAFAC, Bank-to-Bank Transfers & Pay-by-Bank (Consumer & Merchant), with a secondary code of FSAGALAB, Embedded Payments (Pay-ins, Pay-outs, Wallets). Its NAICS code is 52232 and its SIC code is 6199.