AI Is Working On A Long-Lasting Weapon Against CybercriminalsOn December 21, 2017 by admin
AI is presently working on a piece of tech they believe will solve the merchants’ biggest problem— Fraud. We all agree that the high rate of transactions has made detecting fraud more complex especially since tricksters are also out to discover and take advantage of the new areas of weaknesses.
According to a Fraud report by Feedzai, a top AI company, keeping up with the fraud rates is becoming more challenging because Cybercriminals are utilizing advanced tech to launch attacks. For instance, they initiate bot attacks that add to carts five times quicker than human, and normally target valuable items or recently launched goods.
The Feedzai report disclosed that cybercriminals have shifted to two main strategies;
- Hiding on the large heaps of data
- Taking cover on spots where you least expect them to
Feedzai data science professionals discovered 78 percent of frauds occur when tricksters take cover on void spots in device IDs. Fraudsters use copycats to cover names associated with the devices they use.
At the same time, customers are insisting on more immediacy, a factor that may make online payments get more real-time. That’s why Artificial Intelligence is promising merchants a way out; an ultramodern solution that aims to shift the ecommerce economy back to the old days when it was a one-on-one buyer-seller experience.
We shouldn’t forget that eCommerce originally gained grounds because of the surety of transactions— business was real-time then. But currently, there’s not trust in the ecommerce world because all kinds of scam have pervaded the industry.
So Feedzai thinks the first move to fighting fraud is compressing these huge piles of data into wide-ranging and precise insights on every transaction initiated. AI derives the concept of making huge visible insights out of large data from theoretical physics. While physicists often understand complicated concepts by splitting them into simpler primary components, there’s also the method of “going big” which entails putting together major components to the see what patterns come forward.
Andrew Tikovsky, Top Data Science specialist at Feedzai, termed it as “putting together simple things to come up with new patterns.” He added that Feedzai develops all fraud and chargeback protection tech from simple ideas and components. And because we can tell the time a transaction is initiated and whether or not the person conducting the transaction is in the physical location, these sets of data can be combined to develop a concept that relates them in a financial ecosystem.
Business owners often lose to fraudsters who seem to be more brilliant and resourceful. But AI is working on something business owners can count on. Will this be a long lasting remedy to cybercrime.
Electronic payments expert, Blair Thomas, co-founded eMerchantBroker in 2010. His passions include writing/producing music, and travel. eMerchantBroker is America’s No.1 chargeback protection company, serving both traditional and high-risk merchants.