Paysafe operates in the highly competitive payments industry, which has seen considerable venture capital funding, the rise of “digital-born” fintech companies, and growing global competition. Additionally, new regulations such as the General Data Protection Regulation (GDPR) and California Consumer Privacy Act (CCPA) have increased data privacy requirements and fines for privacy violations. Consequently, companies like Paysafe have taken a fresh look at their security and compliance standards.
Early on, Paysafe leaders realized that transforming the company’s business with cloud services would increase its competitiveness and strengthen security and compliance. At the start of the initiative, Paysafe was facing the following challenges:
- The payment company had difficulty aggregating compliance data for auditing, increasing work cycles.
- Paysafe rented a co-located data centre, meaning they had maintenance and operational obligations and high OpEx costs.
- One of the California data centres was in an area prone to wildfires, which could pose a risk to business continuity.
- The organization had struggled with some “shadow IT” issues, which increased business and technology risks.
- Paysafe lacked a dedicated staff to execute the cloud migration successfully.
Sev Kelian, Director of Cloud Services, Paysafe
"We wanted to become a cloud-first organisation because of our desire to improve agility, automation, scalability, and risk mitigation across the business. Microsoft Azure was a great fit for us because of the services it offers around security, compliance and governance."
Cloudreach worked with Paysafe to move the iPayments business to Microsoft Azure and ensure that key security and regulatory standards were met on an ongoing basis, including the Sarbanes-Oxley Act (SOX), the National Institute of Standards and Technology (NIST), PCI Security Standards, GDPR, CCPA, and more. Azure simplifies compliance by consolidating relevant data, integrating policies, and setting guardrails on self-provisioning. Azure provides companies like Paysafe with a comprehensive compliance view of all resources, real-time policy enforcement and evaluation, automated remediation of existing resources, and cloud policy management and security at scale.
The initiative included:
- Developing a business case and roadmap and educating internal functions on how to operate their businesses on Azure.
- Implementing a controlled, managed Azure environment for the iPayments business.
- Using Azure management groups and policies to ensure effective security and compliance.
- Moving on-premises SQL databases to Microsoft Azure and using best practices to make the migration seamless.
- Creating a Paysafe Azure landing zone to empower businesses with self-provisioning capabilities.
- Standing up secure Azure DevOps capabilities to help modernize legacy applications.
“Cloudreach and Microsoft helped us develop our cloud transformation strategy, business case, and migration plan for internal buy-in. Cloudreach helped Paysafe understand where we were, where we wanted to go, and how to get there.”Sev Kelian, Director of Cloud Services, Paysafe
Since Paysafe had run co-located data centres, its leaders knew that they needed strategic guidance developing a cloud transformation strategy. Cloudreach and Microsoft helped Paysafe gather security and compliance requirements, develop a solid business case, educate stakeholders, and streamline the path forward. “You cannot take an existing IT structure and try to make it work in the cloud world. Instead, it’s better to take a few weeks, listen to the advice Cloudreach gives you on developing a cloud operating model, and take a development approach to your cloud journey rather than an infrastructure one,” says Sev Killian.
Paysafe selected the Microsoft Azure platform for their iPayments business because of its robust services and built-in security and compliance, including strong identity and access management (IAM) capabilities. Equally important, Azure provides robust services, local availability zones around the world for optimal service delivery and maximum uptime, and limitless scale to help Paysafegrow its business into new areas.
“Paysafe wanted to work with a partner who had expertise in migrating to the cloud, could demonstrate global reach, and had done it many times for many partners. Cloudreach helped us use the right strategy, guidelines, and tools, so that we moved fast and didn’t make mistakes along the way.”Sev Kelian, Director of Cloud Services, Paysafe
Paysafe has established a solid foundation for its iPayments business on the Microsoft Azure platform, with the goal of eventually moving to a Software as a Service (SaaS) delivery model.
The company has achieved significant ROI by avoiding hardware refreshes and evolving its licensing model. Paysafe expects to achieve further cost savings as it continues its migration to a serverless model. In addition, IT teams can focus on new business initiatives, rather than just installing and patching servers. “I think this initiative helps us have the advantages of a startup that began on the cloud. Our IT teams can experiment with new capabilities for very little cost, which will accelerate innovation in our business,” says Sev Kelian.
“Cloudreach helped Paysafe reach its strategic objectives of future-proofing its business and security and compliance. With Microsoft Azure managing groups and policies, compliance reporting is much more efficient and transparent.”Dwayne Monroe, Cloud Architect, Cloudreach
Paysafe is a multinational fintech company headquartered in London, England, which provides diverse payment services to European and North American companies in industries such as retail, the lottery, and iGaming. Paysafe wanted to future-proof its ability to grow its business and meet regulatory and compliance requirements by moving its iPayments business to Microsoft Azure.