DOJ Sues to Block Plaid Acquisition by Visa - Daily Crunch

The Department of Justice is contesting Visa’s purchase of a financial technology company, Apple has launched its newest iOS iteration, and goPuff has completed the acquisition of a well-known alcohol retailer. This is your Daily Crunch for November 5, 2020.

Key development: DOJ initiates lawsuit to block Plaid acquisition

The Justice Department is legally challenging Visa’s planned $5.3 billion acquisition of the financial services company Plaid. Reports surfaced last month indicating a DOJ investigation into the deal, and now the department has officially filed a lawsuit.

The DOJ stated, “The acquisition of Plaid by Visa would eliminate an emerging competitive force, likely leading to significant cost reductions and more innovative online debit services for both businesses and consumers.”

Visa responded with a statement asserting that the lawsuit demonstrates “a misunderstanding of Plaid’s operations and the intensely competitive payments environment in which Visa functions.”

Major technology companies

Facebook removes the ‘Stop the Steal 2020’ group, which disseminated false claims regarding election integrity — Facebook has removed a group that had grown to over 300,000 members while spreading misinformation and organizing around unsubstantiated allegations of election fraud in the 2020 elections.

Apple releases iOS 14.2, featuring new emojis and an accessibility function utilizing lidar technology to locate individuals — This update includes the addition of over 100 new emojis, among other improvements.

Review: Microsoft’s Xbox Series X represents a leap forward in gaming technology — This console boasts impressive technical specifications.

Startups, financing, and venture capital

Delivery service goPuff acquires BevMo for $350 million — This acquisition occurred less than one month after goPuff secured a $380 million funding round, which valued the company at $3.9 billion.

Proctorio utilized DMCA takedown requests to suppress a student’s critical tweets — A series of tweets from a Miami University student expressing criticism of a proctoring software company were removed from Twitter after the company submitted a copyright takedown notice.

Vivid Money secures $17.6 million in funding for its European challenger bank — Vivid Money is a challenger bank offering several innovative features.

Insights and analysis from Extra Crunch

Three strategies for SaaS founders aiming to reach $1 million in annual recurring revenue — Successfully building a SaaS business requires a well-defined and proven methodology.

Adopting a data-focused strategy to ensure fair, equitable, and transparent employee compensation — A lack of transparency in compensation can create confusion and negative feelings, impacting productivity and employer-employee relationships.

A detailed look at fintech startup Upstart’s IPO filing — The fintech company connects consumers with lending partners, having previously attracted approximately $144 million in investment before its IPO.

(Note: Extra Crunch is our subscription service, designed to provide accessible information about startups. You can register here.)

Other news

DOJ announces the seizure of over $1 billion in bitcoin from the Silk Road illicit marketplace — The Justice Department confirmed today the seizure of 70,000 bitcoins generated from drug sales on the Silk Road online marketplace.

NASA seeks innovative storytelling technologies to document its Artemis lunar missions — NASA has issued a request for proposals from partners capable of enhancing its storytelling capabilities in new and creative ways.

Mixtape podcast: Maintaining wellness during challenging times — Shine co-founder and co-CEO Marah Lidey discusses mental health, venture capital, portfolio diversification, and connecting with fellow founders.

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