RSA and TeleSign released a report earlier this year with key findings on the state of mobile fraud in ecommerce. "An uptick in online fraud resulting from today's environment of large-scale data breaches and security incidents is something TeleSign is seeing first-hand," said Steve Jillings, CEO of TeleSign.
"Illicit activities including spamming, phishing attempts, affiliate fraud and e-commerce fraud all have a common primary motivation: money." Below are some key findings from the report, with more details here:
Average revenue loss due to mobile fraud: $92.3M per year (among 250 organizations with average revenue of $2.54 billion). Mobile growth trend: More than 50 percent of respondents believe that mobile revenues will grow 11-50 percent over the next three years, and 30 percent believe it will grow 51-100 percent. Rising fraud trend: The growth of mobile interactions is expected to increase the percentage of mobile incidents significantly, with 19 percent of companies already indicating that 25-49 percent of their fraud incidents are due to mobile. These rates are expected to grow, and in some cases at least double over the next 2-3 years as mobile revenue contributions increase, unless significant remedial actions are implemented quickly. Current lack of adequate security: One in four businesses currently don't require login identification for mobile users. Addressing the problem: In the next 2-3 years, next generation authentication technologies like biometrics, soft tokens and other two factor authentication will largely replace the user name and password as the primary method of authentication.