Final answer:
A service provider is a business that handles cardholder data on behalf of another entity.
Step-by-step explanation:
A service provider is a business that is not a payment brand, directly involved in the processing, storage or transmission of cardholder data on behalf of another entity. It can include companies that provide services such as data centers, cloud providers, payment processors, and IT support.
For example, if a retail store outsources its payment processing to a third-party company, that company would be considered a service provider since it handles the cardholder data on behalf of the store.
Service providers play a crucial role in maintaining the security of cardholder data by following the standards set by the Payment Card Industry Data Security Standard (PCI DSS).x