IBM buys fraud sniffing biz for real-time protection
This will help in ‘dramatically lowering false positives’, says Big Blue
IBM has assimilated a German payment fraud prevention business, IRIS Analytics, a provider of a real-time fraud analytics engine using machine learning algorithms, for undisclosed terms.
"By integrating IRIS Analytics with IBM's counter fraud technology, we will help organisations more accurately detect fraud at scale and speed so they're in a position to implement countermeasures quickly," said Alistair Rennie, general manager of Industry Solutions at IBM, "while at the same time assisting with dramatically lowering false positives."
Banks typically detect fraud after the fact, and take on average four days to deploy counter-measures. Combined with the increasing sophistication of online menaces, this has left Big Blue reckoning it makes sense to expand in prevention technologies.
"Defenses against financial crime are in critical need of innovation and improvement," said Constantin von Altrock, IRIS Analytics CEO. "As the payments industry evolves with new payments methods, the ability for financial institutions to accurately make decisions about what is suspicious and what is legitimate, before the payment is executed, is required."
"The combination of IRIS technology with IBM's Counter Fraud capabilities creates a comprehensive solution for real time payment fraud prevention," Von Altrock added. ®