Telesign is a Business Reporter client.
Research suggests that people are wary of artificial intelligence, so it's critical that businesses take steps to keep customers (and their own reputation) safe.
Organizations around the world rely heavily on digital technology, which helps them improve customer services, drive internal efficiency and identify new opportunities using big data.
But while digital technologies offer significant advantages, they have also injected more risk into organisations’ operations. A successful cyberattack can cause serious financial, legal and reputational damage, and the more reliant companies become on data, the more at risk they are. Since many organisations hold vast amounts of sensitive customer data, they must protect it if they want to continue to retain customer trust.
The advent of artificial intelligence (AI), and generative AI (genAI) in particular, has only served to increase organizations’ reliance on technology and the risk they face of attacks. CompTIA Data finds that more than half of companies (55 percent) are now engaged in at least some form of AI implementation.
AI itself can be used to create cyberattacks, in particular by creating highly convincing deepfake videos and voice messages. Investigation suggests there has been a more than 1,200 percent increase in phishing attempts since ChatGPT was launched alone.
The growing impact of AI is a major focus of Telesign 2024 Confidence Indexwhich explores how AI is impacting the business world and society at large. The research finds that many people remain complacent about the risks they are exposed to due to generative AI, but also see brands as responsible for protecting them from fraud. “This could leave people vulnerable if the services they interact with online do not provide protection against digital fraud,” warns Telesign CEO Christophe Van de Weyer.
The message for businesses, however, is that the responsibility for keeping people’s data and digital identities, as well as their own reputations, safe lies with them, not consumers. The Trust Index revealed several digital fraud trends resulting from AI, which businesses will need to address if they want to retain customer trust:
Account Acquisitions: Generative AI is helping cybercriminals create far more convincing fraudulent emails (as well as videos and voice messages) that can trick people into providing login information or access to customer data. This means they can access customers’ card details and other information and use it to make transactions or sell to other cybercriminals.
Leverage multi-factor authentication: The data suggests that multi-factor authentication was not active in around 99 percent of successful attacks on digital systems, even if it was present. Many digital platforms still do not consistently use multi-factor authentication as a default option. Companies need to ensure it is active at all times and train both IT staff and other employees to understand why it is so important.
Fake accounts: Creating fake accounts is an increasingly common way for malicious actors to commit fraud, infiltrating social media platforms and communities and causing embarrassment for brands. Fake accounts can also be used to spread deepfakes. While many tech companies are making strides in how to quickly identify, label and remove AI-generated images and videos, distributing this content remains a key challenge. For online businesses, it’s vital to put in place Know Your Customer checks to make it easier to spot fake accounts.
In this context, all companies must have access to comprehensive, data-driven digital identity systems that use multi-factor authentication to help ensure that people are who they say they are.
“In an increasingly digital world, multi-factor authentication is an essential security measure,” says Van de Weyer. “Any business with a digital presence, regardless of size or industry, must prioritize security. Whether you interact with customers online, process transactions, or simply manage user accounts, multi-factor authentication acts as a critical barrier against the ever-increasing threats of cyberattacks and data breaches.”
For example, Telesign’s Verify API allows businesses to verify identities across seven different messaging channels – push, voice, and over-the-top (OTT). This means that security and fraud teams can choose which primary channel works best for them and specify an alternative channel for automatic fallback in case one fails. The omnichannel approach also makes multi-factor authentication a simpler, more customer-friendly experience. Channels can be selected by country or region to optimize experience and cost. Additionally, verified business accounts are available with WhatsApp, Viber, and RCS messaging to help prevent social engineering and phishing attacks.
Customer trust is vital to the success of any organisation, so businesses cannot afford to ignore this aspect. “In the age of AI, businesses are at a crossroads, not only with the need to adopt innovative technologies, but also to foster trust,” says Van de Weyer. “Those who can overcome this challenge will become beacons of trust in the digital world.”
To learn more about how Telesign can help you get a simple and powerful tool for secure authentication, visit telesign.com/contact-sales.
