Square has boosted its technology capabilities while expanding its presence in Canada through the acquisition of Toronto-based Kili Technology Corp.
The acquisition will help Square, of San Francisco, develop new technology for its small business customers and help them keep pace with new standards in the wake of U.S. advancements in EMV and Near Field Communication, Jesse Dorogusker, Square's hardware lead, stated in a March 11 blog post.
Kili's technology team will help Square "continue to make the smartest and sexiest payments hardware on the planet accessible" to small businesses, Dorogusker wrote.
Dorogusker calls Kili "relentless innovators" who have developed silicon, electronics, and software that simplify and optimize payment processing.
Kili payment modules include secure processors and board designs that pass EMV or Payment Card Industry certifications, with Android-based software application identifiers to integrate to a payment gateway, according to Kili's website. Kili payment modules operate with NFC for two-way communication.
Kili will continue operations at its headquarters in Toronto, which will become Square's second office in the country. Square has operated an office in Kitchener-Waterloo, Ontario since the spring of 2014.
The acquisition of Kili comes nearly six months after Square landed $100 million in new funding, which it has been using to expand its product line and pursue other opportunities.
Since launching its first mobile card reader more than five years ago, Square has added many other services to strengthen relationships with merchants. Last year, Square bought Caviar, a food delivery company, to complement its then-new Square Order app.
Square's purchase of Kili follows two rapid-fire acquisitions by its San Jose, Calif.-based rival PayPal, which is preparing to separate from its parent company, eBay. This month, PayPal announced its purchase of both the Israeli cyber-security company CyActive and the Boston-based mobile payment provider Paydiant.