FICO Gets Nod as Leader in Financial Services AI

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FICO was named a category leader in both AI analytics and packaged AI applications.

FICO was named a category leader in both AI analytics and packaged AI applications.

Analytics company FICO has been named a category leader in the AI in Financial Services, 2019; Market and Vendor Landscape report from Chartis Research. It was named a leader in packaged AI applications and AI analytics.

“While the use of AI is now prevalent across many industries and emerging use cases, FIs, in many ways, pioneered the use of AI in commercial applications. FICO was among the first to provide AI tools to FIs, and it has continued to invest in ML R&D focused on helping banks meet ever-more sophisticated customer requirements,” said the Vendor Analysis: FICO; Artificial Intelligence in Financial Services, 2019 report.

The services the report evaluated are available in FICO Falcon X. Falcon X is a cloud-based financial crimes solution that allows the in-house data science teams of banking institutions combine their open source machine learning libraries with FICOs intellectual property for better risk management, compliance, governance and threat detection. The Chartis Vendor Analysis report emphasized FICOS AI technology in two specific threat and risk areas, real-time payments and anti-money laundering.

“Real-time payments are rapidly gaining traction in the US, spurred partly by dramatic growth in the use of P2P services and mobile payments. FICO’s ML capabilities play a role in protecting these digital interactions, which are especially susceptible to account takeover. FICO’s AI techniques for real-time payments also apply to aspects of recent Payment Services Directive 2 (PSD2) and Open Banking requirements in the UK,” the Vendor Analysis report continued. “FICO has also developed AI techniques in response to regulatory encouragement for innovation and efficiency in AML programs. Recently introduced models monitor transactions to detect anomalies, as well as transaction streams that indicate previous SAR filings by the institution.”  

In 2018 FICO was named a category leader in Chartis’ report on Enterprise Fraud, and earlier this year was a category winner in the 2019 Chartis RiskTech100 report in three categories: Innovation, AI, and Cyber Risk Quantification.

“A lot of companies talk about AI without delivering — in fact, a recent report by MMC Ventures found that 40 percent of European AI start-ups didn’t actually have any AI,” said Stuart Wells, executive vice president and chief technology officer at FICO. “At FICO, we condense decades of banking experience into cloud-based machine learning applications that use the latest Big Data technologies. This Chartis report validates FICO’s deep experience in AI solutions, which have been helping global banks prevent fraud and strengthen consumer loyalty since 1992. With 100+ patents related to machine learning and AI in our portfolio, we continue to lead the field for AI in financial services.”

Sue Walsh

About Sue Walsh

Sue Walsh is News Writer for RTInsights, and a freelance writer and social media manager living in New York City. Her specialties include tech, security and e-commerce. You can follow her on Twitter at @girlfridaygeek.

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