Fraud Detection and Prevention Market to Grow by $86.68 Billion by 2028
Rising Adoption of Cloud-Based Services to Drive Revenue
Technavio: AI is Transforming the Market
The global fraud detection and prevention market is anticipated to grow significantly, from $136.96 billion in 2023 to $223.64 billion in 2028, at a compound annual growth rate (CAGR) of 9.82%, over the forecast period (2024-2028), as per a recent report by Technavio. The growing adoption of advanced technologies such as artificial intelligence (AI) and machine learning (ML) is changing the landscape of the fraud detection and prevention market. These technologies are used by financial institutions and businesses to detect and prevent fraudulent activities more effectively. The increasing use of cloud-based fraud detection and prevention solutions is another key factor driving the market's growth. These solutions offer benefits such as reduced costs, scalability, and flexibility.The increasing adoption of digital payments and online transactions has led to a rise in fraud attempts. This trend is expected to continue over the forecast period, thereby providing further impetus to the growth of the fraud detection and prevention market.
Key vendors in the global fraud detection and prevention market include Cisco Systems Inc., FICO, IBM Corp., Microsoft Corp., and SAS Institute Inc. These vendors offer a wide range of solutions that meet the needs of businesses and financial institutions of all sizes.
In addition to the above, other factors contributing to the growth of the fraud detection and prevention market include the increasing regulatory compliance requirements, the rising awareness about fraud prevention, and the growing adoption of mobile banking and e-commerce.
However, the implementation challenges associated with AI and ML solutions may hinder market growth to a certain extent. To address these challenges, vendors are focusing on providing user-friendly and cost-effective solutions, coupled with comprehensive training programs.
Overall, the fraud detection and prevention market is poised to witness significant growth over the next few years, driven by the increasing adoption of advanced technologies, the rising prevalence of fraud attempts, and the growing regulatory compliance requirements.
