Digitalization has simplified many everyday activities, from financial transactions to communication. However, beneath the surface lies a volatile system vulnerable to exploitation. As digital services expand, fraud risks grow, requiring proactive strategies to mitigate threats.
The Rising Threat of Fraud in Growing Economies
Emerging economies face heightened exposure to fraudulent tactics. In a globalized economy, where cross-border transactions are crucial, organizations across sectors must develop robust strategies to protect themselves against diverse fraud schemes. However, balancing innovation with compliance often creates vulnerabilities that fraudsters exploit.
The economic cost of cyber fraud goes beyond direct monetary losses, affecting businesses’ reputations. Furthermore, from a social perspective, the victims experience psychological stress, loss of privacy, and diminished confidence in digital services.
According to Prakash Siva, Senior Vice President, Head of Technology & Architecture at Radisys, combatting rising fraud lies in delivering carrier-grade solutions that combine scalability, reliability, and cost efficiency. He noted that this approach supports applications from basic media transcoding to cutting-edge AI-driven use cases such as fraud detection.
The Role of Telcos in Fraud Protection
During the fintech panel at the 18th edition of the Telecom Review Leaders’ Summit, panelist Edgard Tawk, CEO and Co-founder of Eurisko, noted that “crypto will be the next payment means,” signaling a shift toward digital currencies. Abdulaziz Qambar, Group Founder and Group CEO of Fimpact Group, noted the growing influence of younger generations, stating, “Gen Z and Alpha are becoming more mobile-savvy; they want to manage their entire lifecycle through a mobile app.” He described the next generation as the “real driver of fintech.”
Serving as a critical component of digital finance, serving millions worldwide, mobile money platforms are prime targets for fraud. Common threats include SMS spoofing, USSD manipulation, and insider fraud.
Telecommunications companies (telcos) must enhance fraud risk assessment programs as part of their enterprise services, particularly for mobile money platforms. Their role should go beyond network security.
Telcos should provide support in exposing systems that are vulnerable to fraud and point out the loopholes across a wide threat landscape, whilst providing clear, actionable fixes to strengthen protection.
While telecom service providers must employ modern technology to combat criminal activities on their networks, early detection of fraudulent activity is the key to mitigating long-term damage, building customer trust, and ensuring a positive customer experience (CX).
Also Read: Oman’s TRA Launches Cyber Fraud Awareness Campaign
Additionally, telcos should focus on raising anti-fraud awareness, educating users and businesses on emerging threats and implementing security best practices.
For example, Ericsson and INFORM, a leading provider of anti-money laundering (AML) and fraud management solutions (FMS) collaborated to support Ericsson’s global customer base, including communication service providers (CSPs) and enterprises such as banks and fintech companies, in mitigating financial risks, detecting and preventing fraud, and securing their ecosystems.
Exclusive: Ericsson: Guaranteeing Secure and Reliable Connectivity Across Industries
Similarly, du and Nokia provide secure private 5G network solutions for the manufacturing, chemical, pharmaceutical, and utility industries, among others. “Our partnership with du will further enable industries to operate with greater efficiency and security, paving the way for a smarter future,” noted Mohamed Samir, Vice President, Mobile Networks Middle East, at Nokia.
In addition, du is exploring generative AI (GenAI) solutions that drive operational effectiveness and enhance safety measures across various sectors. These AI solutions include predictive maintenance, AI-driven workplace safety protocols, video-based anomaly detection, and platforms that keep workers connected.
Similarly, the Huawei Digital Risk Control Solution protects various aspects of digital finance through technologies such as data analysis, machine learning (ML), and knowledge graphs, helping financial institutions quickly build up adaptable, quantifiable, and intelligent anti-fraud systems.
The UAE’s Telecommunications and Digital Government Regulatory Authority (TDRA) runs extensive security awareness programs to enhance cybersecurity resilience. These include simulated attacks using fraudsters' own tools to identify vulnerabilities without disrupting services. The Phishing Assessment service helps assess exposure to phishing threats, while incident management systems (IMS) provide real-time alerts on potential risks. Additionally, the TDRA implements endpoint protection measures to prevent attackers from exploiting servers and devices while actively detecting intrusions.
Also Read: UAE Successfully Thwarts Ransomware Attacks; Warns of Advanced AI-Powered Tools
International collaborations also play a key role. Organizations such as the ITU (International Telecommunication Union), in partnership with the Internet Society, provide knowledge-sharing initiatives and training programs to combat online fraud, phishing, and cyber deception.
The Power of Data Analysis in Fraud Prevention
Fraud detection relies heavily on data analysis, particularly in areas such as disbursement and purchasing. Effective data-driven techniques include internal structured data analysis to detect anomalies and suspicious patterns as well as AI-powered monitoring to enhance threat detection, response, and recovery.
A 2024 cybersecurity study found that 91% of surveyed UAE organizations are incorporating AI into their security measures. By integrating AI and generative AI (GenAI) into foundational telecom systems—billing, customer management, and network operations—telcos can transform vast data pools into actionable insights.
Challenges in Implementing New Anti-Fraud Technologies
Fraud is a pervasive corporate problem, affecting organizations of all sizes around the world. Federal organizations should have a framework for ensuring that fraud is prevented, as far as possible, and that any fraud that does occur is detected quickly and dealt with appropriately.
While anti-fraud technologies continue to evolve, their adoption comes with challenges. Organizations must ensure seamless integration, compliance with federal regulations, and adaptability to emerging threats.
Despite these challenges, during a topical Telecom Review webinar, Obaid Rahman, Head of International Wholesale, du, underscored that AI holds the potential to enhance anti-fraud solutions and cybersecurity in the technology sector.
“AI superimposed on a software-defined network (SDN) is going to be a game changer for us. I am quite optimistic about AI applications within our wholesale sector in how we utilize it going forward.”
The Future of Anti-Fraud Monitoring
The future of fraud prevention will rely on a proactive, data-driven, and globally connected approach. Institutions must continuously adapt by leveraging AI, automation, and regulatory intelligence. Some advanced strategies include:
- Leveraging machine-learning fraud detection, predictive analytics, and artificial intelligence to expose unusual patterns.
- Behavioral biometrics is an emerging technique that analyzes a user’s typical behavior, from mouse movements to keystroke dynamics, and uses this data to detect anomalies that indicate fraud.
- Deep learning, a subset of AI, enables the recognition of complex patterns in large data sets, contributing to the prediction and prevention of sophisticated fraud schemes.
- Blockchain, a decentralized digital ledger of economic transactions, can ensure transaction transparency and traceability, making it difficult for fraudsters to alter or forge data.
- AI-powered chatbots and virtual assistants (VA) can detect potentially fraudulent behavior.
In an exclusive interview with Telecom Review during MWC Barcelona 2025, Erik Ekudden, Senior Vice President, Chief Technology Officer, and Head of Group Function Technology, Ericsson, elaborated on security in the wake of digitalization, stating, “I think governments are taking different routes here, but the common denominator is that networks, as critical infrastructure, require guardrails for what you do for in-country operations and global activities. Enterprises also have their own security and privacy requirements.”
“As an industry, we have a responsibility to take these requirements seriously, and we are well-positioned to do so, whether in local networks serving enterprises, government sectors, or nationally critical infrastructure like public safety. These systems not only follow interoperable open standards but also incorporate security architectures that ensure security and privacy-by-design.”
In Conclusion
As digital transactions grow, so do fraud risks. Telcos must take a proactive stance by enhancing fraud detection, implementing AI-driven security solutions, and fostering awareness programs.
Combining fraud detection systems with risk management and cybersecurity tools can create a comprehensive defense framework. By collaborating with governments and global entities, they can create a more secure digital environment, ensuring both innovation and protection go hand in hand.
