stripeThe online payments start up Stripe Inc. has reportedly raised new funding that will value the company at $5 billion. New investors include Visa Inc. and the venture-capital firm Kleiner Perkins Caufield & Byers, these additions sit alongside existing investors Sequoia Capital and American Express. Stripe’s $5 billion dollar valuation is 40% higher than December 2014 when it was valued at $3.6 billion.

Emerging from the lauded Y-Combinator, Stripe have been able to maximise their potential by providing easy-to-add code for use on independent websites and apps. Stripe take a percentage of each transaction and a fee.

Stripe has expanded rapidly as it has expanded into more areas of commerce. As well as being involved in businesses process transactions from their own sites and apps Stripe has been able to land a huge deal to facilitate transactions from major social networks like Facebook, Twitter and Pinterest.

Stripe are included on Apple’s list of partners for Apple Pay- a list that includes Visa and First Data Corp.

We’re hugely excited about the Apple announcement, but this is just another step along the way- Patrick Collison co-founder of Stripe Inc.

As more services become mobile based- Uber, Snapchat, Airbnb- a market is emerging that will supersede desktop computing. Stripe is only 5 years old, based in the innovation hub that is San Francisco they are competing with industry giants like Apple and Paypal who currently provide for Uber and Airbnb’s respective mobile payment methods.

But America is not the world, Stripe have been able to land a deal with Alipay, owned by China’s renowned Alibaba Group, which will open the doors to 300 million users- almost the size of the entire United States! Spending via mobile is expected to reach $720 billion in 2017, therefore it comes as no surprise that Stripe are being touted for an IPO despite assurances from Patrick Collison that the startup is only interested in building their platform, not selling off or out.