Banks to spend additional $31 billion on 'artificial intelligence' to reduce frauds

Banks worldwide are expected to spend an additional $31 billion on artificial intelligence (AI) embedded in existing systems by 2025 to reduce fraud, according to a report. Similarly for banking executives worldwide, fraud management is featured strongly as a priority, the IDC report mentioned. "In the process of coming up with digital products and services, new channels, and new payment methods, businesses might be overestimating the adequacy of their current defense mechanisms against fraud," said Michael Araneta, Associate Vice President, IDC Financial Insights. "What worked well before simply would not be enough now in the more digital world of business. There needs to be a constant upgrade of fraud management capabilities," Araneta added.