Detecting & Blocking Fraudulent Transactions with Intelligent Operational Insights
Fraud has been an ongoing problem for Communication Service Providers (CSPs) and their customers for decades, with a ever evolving cat and mouse game being played out between CSPs and fraudsters. Unfortunately telecom fraud claims billions of innocent victims across the globe. The cost of fraud to CSPs in 2017 was nearly $30 Billion. What is even more concerning however is that with 5G; the magnitude of the fraud problem will rise hundredfold. The surge in the amount of connected devices and sensors will lead to an exponential rise not just in the volume and velocity of data streaming in, but also significantly increase the level of complexity associated with processing the data to identify and prevent scams. Traditional fraud prevention techniques implemented by CSPs will just not be viable anymore.
CSPs have to constantly contend with hundreds of distinct fraudulent schemes; the ever changing schemes, along with their high frequency, globally dispersed origins, and multiple layers of machine and network generated anonymity makes these schemes extremely hard to detect and prevent.
It is important to note that when it comes to fraud, in-event detection and prevention is far more desirable than post-event reconciliation. Once the fraud occurs charges are levied either on the CSP or the subscriber and revenue is lost. At 5G scale and speed however, in-event fraud detection and prevention is easier said than done.