Vancouver’s GeoComply has landed a contract with DAZN, a major sports streaming company, to provide a service that foils the VPN spoofing that people can use to watch content that is not supposed to be available to them.
Streaming companies like Netflix.com Inc. (Nasdaq:NFLX) use geofencing to restrict content within geographical borders. But people can use a VPN (virtual private network) to mask their IP address and therefore circumvent the geofencing and gain access to content they either haven’t paid for or which would not typically even be available to them in their country.
The Canadian Netflix catalogue, for example, is smaller than the American one, so Canadians have used VPNs in the past to access American content.
GeoComply provides a service – GeoGuard – that streaming companies can use to identify subscribers who are using a VPN to access services that they should not be eligible to access. If a VPN is a cloaking device for IP addresses, GeoGuard is cloaking detection system. GeoGuard has a database of more than 270 million IP addresses and can detect and flag people using VPNs and proxy services.
“We can detect when someone is trying to spoof their location to then take advantage of – say, in this case – a lower subscription fee,” said William Parry, GeoComply’s press and communications manager.
DAZN, which streams dozens of sports channels around the world – from FIFA World Cup to NFL games – recently became one of GeoComply’s biggest clients.
“With over 20 million premium paying subscribers across 200 markets, DAZN’s business model depends on ensuring price differentiation across their global user base,” GeoComply says in a news release. “DAZN is using GeoComply’s technology to provide a secure and reliable solution that ensures robust geo-blocking and reduces the risk of fraudulent activity.”
Founded more than a decade ago, GeoComply began growing by leaps in bounds after a U.S. Supreme Court decision in 2018 allowed states to get into legalized sports betting, which led to a need for technology that ensured bets made online were placed in the proper jurisdiction.
GeoComply had the geo-location technology needed to identify geographic locations of online gamers, which also became useful to entertainment companies looking for ways to maintain the integrity of their geofencing.
"Tackling fraud is a big part of our ongoing business now," Parry said.
Some of GeoComply's clients include Amazon Prime and the BBC. GeoComply was previously deemed to have attained unicorn status (a valuation of more than $1 billion) and currently employs more than 600 people in 10 offices around the world, about 150 of whom are in Vancouver.
-- With files from Tyler Orton, BIV
