IBM is going to apply machine learning to fraud busting with Iris Analytics.
While that makes it sound as though it will be using Watson AI systems to identify fraudsters by gazing deep into their eyes, this is really about its acquisition of a German software firm called Iris Analytics.
Iris monitors banking transactions and uses machine learning to spot previously unknown patterns of fraudulent transactions in real time. The system can work alone or in conjunction with human analysts, according to IBM
With only one bank in six equipped with real-time fraud detection systems, and even those taking a month or more to learn to stop new attacks once they are identified, IBM sees a big market for integrating systems like that of Iris with its existing antifraud products.