How Cyber Attacks Propel Fraud Detection and Prevention Market Growth

February 3, 2019 / GuidesFor Team

One of the biggest security attacks in recent history involved the most well-loved social media platform of the decade – Facebook. Last October, the social giant explained how attackers may have gained access to user data through a vulnerability in its code. Allegedly, the vulnerability existed from July 2017 to September 2018. The whole world was aghast about their data being divulged as it exposes them to attacks by perpetrators.

The threats that lurk in the online world prompted different parties to set stringent measures just so they could protect themselves from these attacks. For organizations, this is a great need as their reputation and money are at risk. This demand is seen as the major reason why the industry has grown exponentially. With the nature of attacks becoming more and more sophisticated, this comes as a no surprise. – Crischellyn Abayon

Cyber-attacks have become much more prevalent in the recent years and major corporations have faced some sort of breach. These breaches can compromise consumer information as well as directly impacting the company itself. Cyber-attacks are continuously advancing and becoming more complicated to detect and prevent, which is leading businesses to adopt a cybersecurity defense solution. According to data compiled by Marketsand Markets research, the global fraud detection and prevention (FDP) market is projected to grow from USD 19.5 Billion in 2018 to USD 63.5 Billion 2023. Additionally, the market is projected to register a CAGR of 26.6%. The FDP market will be accelerated by the growth of electronic transactions and companies’ increasingly losing revenue due to cyber-attacks. Glance Technologies Inc. (OTC: GLNNF), Cisco Systems, Inc. (NASDAQ: CSCO), Oracle Corporation (NYSE: ORCL), Proofpoint, Inc. (NASDAQ: PFPT), Juniper Networks, Inc. (NYSE: JNPR)

FDP solutions can help companies operate efficiently while saving costs, which in return will help the business grow. By application, the most common types of fraud are identity theft, payment fraud, money laundering and other transaction-based offenses. The retail segment is expected to witness the highest CAGR during the forecast period due to the large amount of fraudulent incidents. As more retailers are transitioning into e-commerce, online transactions are expected to increase, which can result in more fraudulent cases. Due to the amount of transactions performed in the retail segment, high demand for FDP solutions for payment applications is arising. “With the exponential increase in customers using their mobile device for more transactions than ever before, from ordering coffee to transferring money digitally to a friend, to getting cash from an ATM with their smartphone, it’s not surprising that fraudsters continue to seek ways to exploit the mobile channel, making it imperative to protect against malware and crimeware attacks,” said Michael Lynch, Chief Strategy Officer at InAuth.

Glance Technologies Inc. (OTCQB: GLNNF) is also listed on the Canadian Securities Exchange under the ticker (CSE: GET). Just earlier today the company announced breaking news that, “in the almost 2 years since it launched the current version of its proprietary fraud prevention technology, its platform has experienced less than 0.018% of its transactions being fraudulent across all of its live locations (which includes even what is called ‘friendly fraud’ whereby users mistakenly identify transactions as fraudulent). This represents less than one instance of fraud for every 5,500 transactions. Glance is not aware of any payment firms that have had this level of success with card-not-present transactions, providing an additional key competitive advantage.  

“We believe payment platforms that can reduce or eliminate fraud will be best positioned to succeed in the long run,” said Desmond Griffin, CEO of Glance Technologies. “That is why Glance has placed security and anti-fraud technology as its highest priority and at the core of its platform. Our best-in-class performance on security has been an important differentiator that has been key to us signing many of our merchant customers.”

Glance Pay has consistently demonstrated a high level of anti-fraud performance while other mobile payment providers have struggled to combat fraud. For example, it was recently reported by the Wall Street Journal that PayPal-owned Venmo’s transaction loss rate rose to 0.40% of overall Venmo transaction volume in March (which is more than 22 times higher than Glance’s aforementioned 0.018% performance). According to the Wall Street Journal, in the first three months of 2018, Venmo recorded an operating loss of about $40 million – nearly 40% larger than the loss for which the company had budgeted.  Expenses related to fraudulent transactions were reported to be a big factor for these losses.  The Wall Street Journal article also quoted a PayPal spokeswoman as saying that Venmo’s loss levels are lower than the overall average for PayPal and compare favorably to the industry.

About Glance Technologies Inc. – Glance Technologies is the owner of Glance Pay and Glance PayMe, a pair of complementary smartphone payment applications that enable merchants to provide their customers with quick secure payments, digital rewards, and a better customer experience. For more information about Glance, please go to

Cisco Systems, Inc. (NASDAQ: CSCO) is the worldwide technology leader that has been making the Internet work since 1984. Recently, Cisco introduced new email security services to more effectively prevent phishing and spoofing attacks. Employees remain an organization’s greatest asset however they can be a risk when it comes to cybersecurity. Attackers are crafting highly targeted, fraudulent emails that look legitimate and use them to deliver malware to unsuspecting users. When successful, it costs the majority of companies USD 500,000 or more in lost revenue, customers, opportunities, and out-of-pocket costs. To combat the rise of advanced threats targeting employees, Cisco is announcing new email security services to protect users from these fraudulent emails, as well as new capabilities to protect employees’ devices from ransomware, cryptomining, and fileless malware. “Cisco understands that protecting employees and their endpoints requires more than just antivirus. Attackers leverage the Internet, email, and the network as vectors for breaching the endpoint,” said Jeff Reed, Senior Vice President of Product for Cisco’s Security Business Group. “We deliver greater employee protection using cloud-delivered defense against threats hosted on the Internet. Cisco is also now one of the few organizations paving the way toward eliminating email identity deception. Through our expanded partnership, investments, and technology innovations, we are committed to delivering to our customers the best email and endpoint protection.”

Oracle Corporation (NYSE: ORCL) The Oracle Cloud delivers hundreds of SaaS applications and enterprise-class PaaS and IaaS services to customers in more than 195 countries and territories while processing 55 billion transactions a day. Recently, Oracle announced enhancements to Oracle Retail XBRi Loss Prevention Cloud Service that help retailers quickly identify and investigate fraudulent activities across store and online transactions. With embedded science, Oracle Retail XBRi can detect new data anomalies and alert loss prevention analysts to potential risks and drive quick resolution by providing the transactional insight needed to investigate. The Oracle Retail XBRi enhancements also include embedded science developed over 20 years of research and development in retail including more than 4,000 reporting metrics and attributes representing experiences and best practices of global retailers.”This new generation of cloud services accelerates the path to ROI within months of deployment,” said Chris Sarne, Senior Director of omnichannel strategy, Oracle Retail.  “The result is a smart, holistic approach to preventing fraud and saving money that scales to grow with your business.”

Proofpoint Inc. (NASDAQ: PFPT) is a leading next-generation security and compliance company that provides cloud-based solutions to protect the way people work today. Proofpoint, Inc. recently announced four new people-centric security solutions to help organizations as they continue to conduct business beyond the enterprise perimeter, often in cloud environments. These innovations provide organizations with deep visibility into their greatest security risk-their people-and include Proofpoint Cloud App Security Broker (PCASB), 360 Degree Email Fraud Protection, Threat Response Auto-Pull (TRAP) Abuse Mailbox Monitoring, and Executive and Location Threat Monitoring for social media and dark web channels. “Threat actors increasingly target people, not infrastructure, and the move to the cloud changes the way organizations need to protect themselves,” said Ryan Kalember, Senior Vice President of Cybersecurity Strategy for Proofpoint. “Today’s announcement emphasizes our relentless focus on enabling organizations to safeguard their greatest risk-their people-by defending, preventing, and responding to threats across an ever-changing landscape. We invest twenty percent of our revenue back into research and development, a rate that is well above the security industry average and these innovations are the most recent testament to that mission.”

Juniper Networks, Inc. (NYSE: JNPR) simplifies the complexities of networking with products, solutions and services in the cloud era to transform the way we connect, work and live. Juniper Networks recently announced that Banca di San Marino SpA has selected Juniper Networks’ unified cybersecurity platform, powered by Software-Defined Secure Networks (SDSN), to protect its core and online banking systems and safeguard its customers. “Like many mission-critical organizations, financial institutions around the world understand that the results of a cyber attack affect more than just their infrastructure – a large-scale cyber breach can result in the loss of customer data, costing the bank and their customers millions of euros. These sophisticated attacks extend far beyond their inception point and continue to erode customer trust through large-scale fraud and account takeovers. Juniper Networks is pleased that Banca di San Marino selected our unified cybersecurity platform and entrusted us to protect the data of its private and commercial customers.” said Samantha Madrid, Vice President, Security and Business strategy, Juniper Networks.

Read the source article at PR Newswire

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