Fraudsters No Match for Adaptive Intelligence


In a recent conversation with one of my customers, we talked about how bad guys are an alarmingly creative bunch. Earlier this year, a fraud ring was uncovered where the alleged participants created a multilayered scam of fake businesses with credit card terminals and multiple false identities with histories deeming them creditworthy. The FBI believes they stole over $200 million. How do businesses protect themselves from this kind of ongoing criminal innovation?

My customer has put up some impressive defenses. This longtime Terracotta customer performs fraud detection against huge volumes of transactions with an internally developed system built around in-memory data and rules managed in BigMemory. His organization has already gained significant competitive advantage and bottom line revenue growth through this activity.

An early innovator in fraud detection and Big Data, this customer still struggled, however, to constantly adapt its home-grown IT environment to new approaches to fraudulent attacks, fresh regulatory demands, and modifications of its environment to incorporate new product lines. Each new significant shift required expensive development efforts and created a time-to-market lag.

When I first met with this customer all I could offer was sympathy.  Now with the availability of Software AG’s Adaptive Intelligence offering they can move beyond their custom solution, improving their ability to respond quickly to new requirements.

The business advantage gained through BigMemory can be enhanced further with the addition of the other elements of Adaptive Intelligence offering.  Adaptive Intelligence means that, in addition to BigMemory’s best-in-class in-memory data management, the company also has access to an all-in-one low-latency messaging from Terracotta, a real-time event processing engine from Apama, and data visualization from Software AG’s Presto.

Now, in order to combat illegal innovators my customer is on a path to:

  • Perform constant analysis and detection against data in motion, taking action to prevent validation of the transaction even more rapidly than they can at present
  • Rapidly allow business and IT to together adapt and implement new rules or complex patterns for inspection and identification, putting them quickly into action to stop new breaches
  • Quickly incorporate new streaming data sources to evaluate, stepping up the surveillance against new data for pattern matching and verification
  • Leverage its investment and expertise in fraud management as new product lines or businesses are created

In short, our final score is Adaptive Intelligence–4, Bad Guys–0. We know that the bad guys aren’t going to quit and will continue to create new approaches. In order to reduce loss and improve bottom line performance while remaining competitive, businesses with high-volume, high-velocity data must look to solutions that are equally adaptive and which improve their ability to beat back the bad guys and win.

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