|American online security specialist Iovation says its device reputation technology checked out more than one billion transactions across the Internet last year and stopped over 10,000 fraudulent activities a day.|
The Portland-based company stated that it expects this number to nearly double by the end of the year making a trust infrastructure for online retail, financial services, gaming and communities a necessity.
”These significant milestones reaffirm the value of stronger, more effective fraud management tools that enable online businesses to reduce the rate of fraud and abuse that occurs every 24 hours,' said Greg Pierson, Founder and Chief Executive Officer for the Oregon firm.
'As Internet businesses look to strengthen arsenals to combat more sophisticated fraud schemes, Iovation alerts customers each time a computer associated with fraud or abuse tries to make a transaction or log onto one of our client's websites. Providing the device intelligence needed to stop over 10,000 fraudulent activities each day further validates the impact Iovation is having in the fight against online fraud and abuse.'
Pierson stated that, using patented technology, the company's Reputation Manager fraud management service identifies devices that have been used for fraud and abuse and creates a web of association providing managers with deeper insights into the relationships between accounts and devices within a network.
'While overall fraud rates have dropped, the sophistication of fraudulent activity has risen, partly because of major weaknesses in the user authentication schemes available to online financial service and e-commerce providers,' said George Peabody, Director of Emerging Technologies Advisory Service for payments research firm Mercator Advisory Group.
'For financial transactions to succeed within social networks, solid reputation and trust are essential. The same holds for mobile banking and payments. Device fingerprinting and the behavioural monitoring of those devices as delivered by Iovation promise to keep downward pressure on fraud and abuse.'