Thanks to RIME, Intelligent Wave can build more performant fraud detection models that optimally adopt to changes in the authorization data. Possessing impressive technology and agility, Robust Intelligence is a great partner for us to combat the ever-changing fraudulent trends. Improving fraud detection is one of our most important efforts to solve the world's social issues. Intelligent Wave, as a leading vendor of fraud detection in Japan, will continue to work with Robust Intelligence to further improve our fraud detection AI. - Yasuhide Natsume, Senior Manager of 2nd System Development Dep., 2nd System Development Div.
Intelligent Wave Inc., Ltd. (IWI) is the leading fraud detection company in Japan, offering an AI-powered fraud detection engine to credit card issuers to capture card transaction fraud. After partnering with Robust Intelligence last year and integrating the Robust Intelligence Model Engine (RIME) with its platforms, IWI has vastly improved the detection accuracy of its fraud detection model, reducing the damage caused by unauthorized card use across Japan and beyond.
How IWI uses AI to prevent fraud
Card payments and cashless transactions have increased across all industries internationally in the last decade. Alongside this shift, the number of fraudulent transactions has also increased, and is only expected to grow more in the future. Partly due to the growing need for contactless transactions during the COVID pandemic, IWI has started various fraud detection efforts, including scoring research, automatic defense function against fraudulent attacks, and the development of fraudulent information sharing systems.
As part of its fraud detection efforts, IWI has developed a scoring service called “FARIS,” which is an advanced algorithm that uses AI to determine whether fraudulent activity has occurred. Partnering with Robust Intelligence has allowed IWI to improve the detection accuracy of its FARIS scoring service -- as will be detailed below.
How RIME has improved the accuracy of IWI's fraud detection AI
IWI uses RIME in the following ways:
(1) Based on the RIME AI Stress Testing results applied to IWI's scoring AI model, IWI was able to drastically improve the accuracy of card usage obstruction and fraudulent damage detection.
(2) After generating a better scoring model using RIME, IWI applied RIME to fine-tune their model for each customer. They were able to improve the accuracy of detecting fraudulent transactions for each customer as well.
After partnering with RI, IWI has seen significant improvements in the accuracy of its FARIS service. RIME has been invaluable in reducing the damage caused by unauthorized card use across IWI's clients, and the company intends to continue its partnership with RI.
RIME and IWI in the future
Through IWI, Robust Intelligence is helping to secure AI for the entire Japanese finance industry. In fraud detection, the consequences of poor or inadequate detection are catastrophic – IWI’s services have a butterfly-effect across the financial information security sector, from banks and card influencers down to everyday people using contactless payment to purchase everyday necessities. Having secure and robust models is absolutely essential for the cards and payment industry, and securing models is what RI (and RIME) do best.
Robust Intelligence and Intelligent Wave Inc have been working together for just over a year, and IWI has stated their full confidence in RIME to make their fraud detection services stronger and more finely-tuned. RI looks forward to helping IWI keep the Japanese finance industry safe -- and to keeping artificial intelligence systems robust, and IWI and beyond.
