Global Fraud Detection and Prevention Market Assessment, By Component [Solution, Services], By Application [Insurance Claims, Money Laundering, Electronic Payment, Others], By Deployment [On-Premise, Cloud], By Enterprise Type [Large Enterprises, Small & Medium Enterprises], By Industry [BFSI, IT & Telecom, Retail & Consumer Packaged Goods, Government, Construction & Real Estate, Energy & Utilities, Manufacturing, Healthcare & Life Sciences, Others], By Region, Opportunities and Forecast, 2018-2032F

Global fraud detection and prevention market was valued at USD 38.42 billion in 2024. The market is expected to grow at a CAGR of 18.36% and reach USD 154.30 billion by 2032F, owing to the increased frequency of fraudulent activities worldwide, driven by stringent government regulations and the widespread adoption of digital technologies. 

Fraud Detection and Prevention Market Growth Report 2031

Global fraud detection and prevention market was valued at USD 38.42 billion in 2024. The market is expected to grow at a CAGR of 18.36% and reach USD 154.30 billion by 2032F, owing to the&nbsp;increased frequency of fraudulent activities worldwide, driven by stringent government regulations and the widespread adoption of digital technologies. For instance, the European government has introduced the General Data Protection Regulation (GDPR), whereas the United States of America has brought the California Consumer Privacy Act (CCPA) to ensure a high standard of data protection. These regulatory frameworks are fueling the fraud detection and prevention of market demand and growth.
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Report Attributes
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Details
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Base Year
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2024
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Forecast Period
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2025-2032F
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Historical Period
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2018-2023
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Projected Growth Rate
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CAGR of 18.36% between 2025 and 2032
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Revenue Forecast in 2032
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USD 154.30 billion
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Additionally, a growing number of data loss cases worldwide is driving the fraud detection and prevention market demand. For instance, in 2023, projected losses from digital payment fraud reached approximately USD 485.6 billion worldwide, underscoring the significant financial impact of fraud on both businesses and consumers. Furthermore, NICE Limited, a prominent company in global fraud detection and prevention, reported that global fraud transaction attempts surged by 92% in 2022 compared to the previous year, with the amounts involved increasing by 146%.
<h2>Integration of Advanced Technologies is Driving the Market Growth</h2>
The integration of AI, data analytics, and machine learning (ML) technologies acts as a critical market driver in the global fraud detection and prevention market landscape. Data analytics is increasingly recognized as an indispensable skill in modern fraud detection and prevention. As fraud tactics become more sophisticated, organizations are focusing on hiring professionals with expertise in advanced data analytics to enhance detection accuracy and automate risk decisions. This involves leveraging statistical techniques, machine learning algorithms, and data visualization tools to identify patterns, anomalies, and potential fraud indicators within vast datasets.&nbsp; Moreover, AI and ML amplify fraud detection through real-time monitoring and analysis. Also, machine learning models are capable of detecting abnormal patterns or deviations from predefined rules, hence flagging suspicious cases against fraud more effectively when compared to their static rule-based counterparts. This capability offers much quicker response times and far more accuracy in identifying suspicious activities while reducing false positives for improved security.
Therefore, organizations are achieving dynamic and proactive fraud management by combining AI with ML to significantly improve their potential to detect or prevent fraud with high accuracy and speed, which is driving the fraud detection and prevention market. &nbsp;Currently, as per Authority Hacker, which is a prominent&nbsp;online&nbsp;marketing education company, 77% of devices being used have some form of AI, which is further anticipated to increase in the forecast period, further driving the market growth and demand.
<h2>Rising Quick Commerce and Online Payment Trends&nbsp;Driving the&nbsp;Market</h2>
Driven by the increasing popularity of quick commerce and online payment solutions, the global fraud detection and prevention market is experiencing significant growth. With faster transaction speeds and seamless digital experiences, businesses are grappling with elevated fraud risks. The surge in online shopping and digital payments has created new opportunities for fraudsters to exploit vulnerabilities, leading to increased account takeovers and payment fraud. Moreover, the rise of threats such as synthetic theft, where fraudsters create fictitious identities to open accounts and obtain credit, is exacerbating these challenges. To counteract these threats, organizations are investing heavily in advanced fraud detection and prevention solutions. According to the PYMNTS&nbsp;Intelligence&nbsp;report, with 85% of Generation Z and 82% of millennials preferring contactless digital payments, cash is losing its dominance as digital wallets become integral to younger consumers&rsquo; financial lives. The growing demand for digital payment technology is reshaping the payments industry, traditional cash transactions are being replaced, with 24% of U.S. adults now favoring digital alternatives. The shift is not a fleeting trend but a transformation, driven by the convenience of digital payments, thereby directly accelerating the demand for advanced fraud detection and prevention technology.
<h2>The Cloud Segment by Deployment Type is Expected to Rise Exponentially</h2>
The cloud deployment type segment is estimated to be the fastest-growing segment and is projected to hold a significant share of the global fraud detection and prevention market in 2024. This growth is fueled by the rapid adoption of cloud-based solutions across various industries. Cloud-based fraud detection solutions offer scalability, flexibility, and real-time threat monitoring, making them a popular choice for businesses looking to protect their digital environments. The increasing reliance on cloud infrastructure, along with its ability to seamlessly integrate with existing systems, is fostering innovation and growth in this area, shaping the future of fraud prevention strategies.
According to Flexera, in 2023, 89% of IT executives said they now have multiple cloud applications in their workplace, and 80% deployed a hybrid cloud, which combines the use of public and private clouds. Also, according to a recent Flexera study of more than 750 industries and organizations, 37% of companies that have between 1,000 and 10,000 employees say that their average annual cloud spending is around USD 12 million, which represents up to 30% of their revenue. Therefore, the growing trend towards cloud computing is anticipated to accelerate the advancement in the fraud detection and prevention market landscape globally.
North America Holds a Significant Share of the&nbsp;Market
The North America segment is holding a considerable share of the global fraud detection and prevention market in 2024. The region is experiencing continuous growth and is expected to reach USD 55.81 billion by 2032F, due to the region's high adoption of advanced technologies and its strong focus on cybersecurity. In terms of innovation in fraud detection and prevention, the United States and Canada have been at the forefront of the market. North America, with a significant number of established tech companies and startups specializing in cybersecurity, has developed advanced tools powered by artificial intelligence, machine learning, and big data analytics and positioned itself as a prominent region in the global fraud detection and prevention market.
With the evolution of cyber threats, North America is applying proactive approaches, coupled with investment in research and development, to ensure its significant position in the fraud detection and prevention market, setting benchmarks for other regions.
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Future Market Scenario (2025 &ndash; 2032F)
<ul>
<li>Due to the&nbsp;growing&nbsp;frequency of fraudulent activities worldwide, along with the stringent government regulations and the widespread adoption of digital technologies, the global fraud detection and prevention market is anticipated to grow exponentially.</li>
<li>The integration of advanced technologies such as artificial intelligence (AI), data analytics, and machine learning (ML) is acting as a critical driver for the expansion and growth of the global fraud detection and prevention market landscape.</li>
<li>Additionally, the increasing popularity of quick commerce and online payment solutions is further boosting the growth trajectory of the global fraud detection and prevention market. The surge in online shopping and digital payments is expected to create new opportunities for fraudsters to exploit vulnerabilities, leading to increased demand for robust fraud detection and prevention techniques.</li>
<li>North America holds a significant share of the global fraud detection and prevention market and is estimated to experience robust growth in the forecast period due to the region's high adoption of advanced technologies and its strong focus on cybersecurity.</li>
</ul>
Report Scope
&ldquo;Global Fraud Detection and Prevention&nbsp;Market Assessment, Opportunities and Forecast, 2018- 2032F&rdquo;&nbsp;is a comprehensive report by Markets and Data, providing in-depth analysis and qualitative and quantitative assessment of the current state of the global fraud detection and prevention market, industry dynamics, and challenges. The report includes market size, segmental shares, growth trends, opportunities, and forecasts between 2025 and 2032. Additionally, the report profiles the leading players in the industry, mentioning their respective market share, business models, competitive intelligence, etc.
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Details
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Segments Covered
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Component, Application, Deployment, Enterprise Type, Industry
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Regions Covered
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North America, Europe, South America, Asia-Pacific, Middle East, and Africa
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Key Companies Profile
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IBM Corporation, Thales S.A., Oracle Corporation, SAP SE, Fiserv, Inc., NICE, Ltd., F5 Inc., SAS Institute Inc., Fair Isaac Corporation (FICO), and ACI Worldwide Inc.
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Customization Scope
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15% free report customization with purchase
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Pricing and Purchase Options
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Avail the customized purchase options to fulfill your precise research needs
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Delivery Format
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PDF and Excel through email (subject to the license purchased)
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In the report,&nbsp;the global&nbsp;fraud detection and prevention market&nbsp;has been segmented into the following categories:&nbsp;
<ul>
<li>By Component
<ul>
<li>Solution
<ul>
<li>Fraud Analytics
<ul>
<li>Predictive Analytics</li>
<li>Customer Analytics</li>
<li>Social Media Analytics</li>
<li>Big Data Analytics</li>
<li>Behavioral Analytics</li>
</ul>
</li>
<li>Authentication
<ul>
<li>Single-Factor Authentication</li>
<li>Multi-Factor Authentication</li>
</ul>
</li>
<li>Governance, Risk and Compliance</li>
</ul>
</li>
<li>Services</li>
</ul>
</li>
<li>By Application
<ul>
<li>Insurance Claims</li>
<li>Money Laundering</li>
<li>Electronic Payment</li>
<li>Others (Identity Theft)</li>
</ul>
</li>
<li>By Deployment
<ul>
<li>On-Premise</li>
<li>Cloud</li>
</ul>
</li>
<li>By Enterprise Type
<ul>
<li>Large Enterprises</li>
<li>Small &amp; Medium Enterprises (SMEs)</li>
</ul>
</li>
<li>By Industry
<ul>
<li>BFSI</li>
<li>IT &amp; Telecom</li>
<li>Retail &amp; Consumer Packaged Goods</li>
<li>Government</li>
<li>Construction &amp; Real Estate</li>
<li>Energy &amp; Utilities</li>
<li>Manufacturing</li>
<li>Healthcare &amp; Life Sciences</li>
<li>Others</li>
</ul>
</li>
<li>By Region
<ul>
<li>North America</li>
<li>Europe</li>
<li>Asia-Pacific</li>
<li>South America</li>
<li>Middle East and Africa</li>
</ul>
</li>
</ul>
Key Players Landscape and Outlook
Key players are making huge investments in new products and services to increase their market presence. For instance, in March 2024, Visa introduced AI-powered risk and fraud prevention tools. Similarly, in June 2024, Oscilar launched an AI-powered ACH fraud detection product, utilizing ML algorithms, generative AI, and real-time data analysis to avoid fraudulent transactions.
Furthermore, firms are integrating multiple fraud detection solutions into their platforms to offer a more advanced solution. Additionally, many companies are strategically forging partnerships and pursuing acquisitions to expand their presence and share. For instance, in August 2024, Rippleshot and CPI Card Group announced a strategic alliance to integrate Rippleshot&rsquo;s advanced fraud prevention services into CPI&rsquo;s offerings. This collaboration aimed to improve fraud management, reduce associated costs, and boost customer retention and satisfaction. Also, in March 2024, FIS, a global player in the financial technology sector, announced that its SecurLOCK card fraud management solution is aimed at significantly improving the accuracy of identifying and preventing fraudulent card transactions through a new collaboration with Stratyfy, a graduate of the FIS Fintech Accelerator program. In May 2024, Swiggy Limited, the online food delivery platform, announced a partnership with SHIELD, a device-first risk AI platform, to strengthen its fraud prevention and detection capabilities. This strategic collaboration is designed to tackle promotional abuse and counter fraudulent activities within Swiggy&rsquo;s Delivery Partner network.
Additionally, in March 2025, IBM Corporation forged new partnerships with NVIDIA Corporation, focusing on integrating the NVIDIA AI Data Platform reference design. This initiative aims to empower enterprises to optimize their data utilization, facilitating the development, scaling, and management of generative AI workloads and agentic AI applications. Additionally, IBM Corporation is set to introduce a content-aware storage feature within its hybrid cloud infrastructure, known as IBM Fusion, enhancing its offerings in data management and security. With the growing number of strategic collaborations, acquisitions, expansions, and innovations, the fraud detection and prevention sector is poised to experience robust growth in the forecast period.
Key Players Operating in the Global Facial Recognition Technology (FRT) Market are:
<ul>
<li>IBM Corporation</li>
<li>Thales S.A.</li>
<li>Oracle Corporation</li>
<li>SAP SE</li>
<li>Fiserv, Inc.</li>
<li>NICE, Ltd.</li>
<li>F5 Inc.</li>
<li>SAS Institute Inc.</li>
<li>Fair Isaac Corporation (FICO)</li>
<li>ACI Worldwide Inc.</li>
</ul>
If you can't find what you're searching for or have any custom requirements for the global fraud detection and prevention market, you may approach our team at&nbsp;<a href="mailto:info@marketsandata.com">info@marketsandata.com</a>

Global Fraud Detection and Prevention Market Assessment, Opportunities and Forecast, 2018- 2032F

The fraud detection and prevention market is experiencing robust growth as a result of the growing number of cyberattacks and data breaches globally. 

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