Will Gaming Platforms Adopt AI for Customer Risk Profiling? Posted on : May 22 - 2018

The gaming industry is growing at an unprecedented rate. Here are some of the actuarial risks that customers may present to digital gaming brands and how AI can help to fight against this.

The gaming industry is growing at an unprecedented rate. Most experts predict that it will beworth $2.2 trillion by the end of 2021. A number of factors are converging to drive the rapid growth in this sector. At the same time, some of these factors are creating new risks that must be monitored carefully.

One of the biggest concerns is the risk of fraudulent customers or losses incurred from unprofitable players. Global gaming brands will need to invest in big data solutions to tackle these problems.

Here are some of the actuarial risks that customers may present to digital gaming brands and the measures that they will need to take to address them.

Mitigating the risk of fraud

Fraud is a very prevalent problem among many gaming platforms. It can manifest in a variety of ways:

People may violate the terms of service by selling their accounts. They may even sell fake accounts to swindle unwitting players. This was a problem a few years ago, when a Reddit user claim that they were selling their Steam account. Other users quickly realized this was a scam.

Some platforms offer customers the opportunity to win money. They may be competing against other players or the house’s online casino platform. With online poker, strategy games simulations and other play for pay systems, they may attract a number of cheaters. Gaming brands must pay close attention to the people that abuse their platforms and try to prevent them from signing up in the first place.

Some people may use these platforms to try to find sensitive information about other players. They can then use this to work around the security questions and other fraud prevention safeguards.

Big data helps these brands assess the threats that individual players may create. They can perform an actuarial analysis before allowing them to create an account. This may entail analyzing:

• The risk profile associated with their region of origin.
• Whether or not their IP addresses associated with any Tor nodes or blacklists that are regularly used by hackers.
• If their names are on any fraud watch lists.
• The type of payment provider they are using to make deposits.
• The number of accounts that have been created from similar IP addresses. View More