5 Companies Owned by Block

Operations management, website builder, mobile payments, AI, online broker

Fact checked by Yarilet Perez
Reviewed by Charles Potters

Block Inc. (SQ), formerly Square, is a financial technology company specializing in mobile payment solutions. The startup was founded in 2009 by two veteran entrepreneurs, Twitter, Inc. (now X) co-founder Jack Dorsey and Jim McKelvey.

Key Takeaways

• Block is a mobile payments fintech that helps startups grow their business and provide financial products to individuals.
• The company has acquired AI and cash management companies.
• Block operates a Seller ecosystem and a Cash App ecosystem.

History and Financials

Dorsey and McKelvey focused on electronic payment technology when they established Square. It was an industry leader in creating technology for merchant services and mobile payments as a single, easy-to-use service. In 2021, Square Inc. changed its corporate name to Block, Inc. The name change was intended to reflect the company’s expanded focus on a variety of fintech offerings.

Block operates both the Square ecosystem and the Cash App ecosystem. The Square ecosystem helps sellers start, run, and grow their businesses by offering a range of tools, including a POS virtual terminal, invoicing, and other types of business management and financial software. In the year ended Dec. 31, 2024, over 4 million sellers used the Square ecosystem to make 5.2 billion sales transactions totaling $228 billion.

The Cash App ecosystem allows individuals to manage their money. In 2024, Cash App brought $283 billion in inflows. Customers can fund their Cash App accounts through a peer-to-peer transfer service, transferring money from a bank account, mobile checks, physical cash, or by payroll direct deposit. 

Important

Block Inc. manages two additional ecosystems. TIDAL is a global platform for musicians. The company’s cryptocurrency ecosystem manages Bitkey, a self-custody wallet; Proto, a mining system; and Spiral, which focuses on open-source work.

1. Stitch Labs Inc.

• Type of Business: Operations Management Software
• Acquisition Price: Financial terms not disclosed
• Acquisition Date: July 10, 2020

Tech startup Stitch Labs was founded in 2011 by Brandon Levey, Jake Gasaway, and Michelle Laham. The company operates a commerce operations management platform, providing businesses with inventory and order management, channel management, and fulfillment solutions.

In May 2014, Stitch Labs and Square began integrating their separate platforms. The partnership enabled businesses using Square’s mobile payments platform to track inventory, invoices, and shipping information via Stitch Labs’ platform. In July 2020, Square acquired the startup for an undisclosed amount.

2. Weebly Inc.

• Type of Business: Website Building Platform
• Acquisition Price: Approximately $272.5 million
• Acquisition Date: May 31, 2018

Weebly, a San Francisco-based tech startup, was founded in 2007. The company offers a global platform that simplifies the process of building a unique website, blog, or online store. Weebly serves millions of businesses on over 50 million sites globally.

In May 2018, Weebly was acquired by Square in a cash-and-stock deal worth $272.5 million. The acquisition was meant to widen Square’s global customer base and provide a new recurring revenue stream.

3. Verse Technologies Inc.

• Type of Business: Mobile P2P Payments App
• Acquisition Price: Financial terms not disclosed.
• Acquisition Date: June 15, 2020

Verse Technologies, a Spain-based tech startup offering mobile peer-to-peer (P2P) payment solutions, was founded in 2015. The company’s mobile payment app offers users a simple way to send money to their phone contacts for free. It also allows users to request payments from their contacts and to transfer balances from the app to their bank account.

Verse had raised $37.6 million in funding before the acquisition. Square’s own P2P payment app, named Cash App, was only available in the U.S. and the U.K. before Verse.

4. Eloquent Labs

• Type of Business: Conversational AI Software
• Acquisition Price: Financial terms not disclosed
• Acquisition Date: May 7, 2019

Eloquent Labs, a conversational artificial intelligence (AI) services startup, was founded in 2016 by two top researchers in natural language processing. The company’s software utilizes AI in place of live chat customer support agents employed by e-commerce companies.

Eloquent Labs was acquired by Square, now Block, in May 2019. to enhance messaging services across the payments ecosystem. To expand Eloquent Labs, Square acquired Dessa in 2020, a Canada-based tech company specializing in the research and development of emerging AI technologies.

5. Cash App Investing LLC

• Type of Business: Online Brokerage
• Acquisition Price: Financial terms not disclosed
• Acquisition Date: 2019

Third Party Trade, an Oregon-based online brokerage, was founded in 2015 by Michael Giles. The company provides an application programming interface (API) platform for building investment financial applications. Following the 2019 acquisition by Square, now Block, Third Party Trade was renamed Cash App Investing LLC, which is registered with the Securities and Exchange Commission (SEC).

Where Is Block Headquartered?

The company is headquartered in Oakland, CA.

What Is a Peer-To-Peer Payment System?

P2P payments are digital transactions that allow individuals to transfer funds directly to one another using electronic platforms or applications. Cash App is a peer-to-peer payment system that competes with services like Zelle, Venmo, and PayPal.

How Many Employees Does Block Have?

As of Dec. 31, 2024, Block had 11,372 full-time employees worldwide.

The Bottom Line

Block, Inc., formerly Square, is a fintech company for mobile payments. The Square ecosystem helps startups grow their business, while the Cash App ecosystem provides financial products to individuals. Block made several acquisitions that allowed it to expand its footprint in the fintech world and create more avenues for acquiring customers.