AI to protect Nexi's
payments
Nexi and Data Reply partner to deliver an advanced fraud intelligence solution: security, speed and precision at the service of payments.
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SCENARIO
The challenges of transactional security
At Nexi, ensuring a secure and smooth payment experience is a top priority. Millions of transactions are processed every day, an amount that involves two significant challenges: the management of fraud, although statistically rare, must be impeccable to avoid negative impacts, and response times must be extraordinarily fast, in the order of milliseconds, so as not to compromise the user experience.
Added to this scenario are the transformations introduced by the regulatory environment of PSD2 in 2018, which required the implementation of strong authentication mechanisms (SCA - Strong Customer Authentication) and has expanded the information assets available on transactions. These developments have made a technologically advanced approach essential to guarantee the highest level of security without sacrificing the fluidity of payments.
The solution
AI and fraud intelligence to monitor payments
Traditional fraud detection methods are based on rule engines with different levels of complexity, developed by domain experts. This approach, as useful as it is, has two main limitations. On the one hand, the maintenance of these systems requires a consistent operational effort, with a constant need for manual updates to deal with new fraud scenarios. On the other hand, it typically has a significant incidence of false positives (genuine transactions that are incorrectly classified as suspected fraud), with a negative impact on the customer experience and less fluid processes.
To overcome these limitations, Nexi has collaborated with Data Reply to develop a fraud intelligence solution based on artificial intelligence on AWS cloud infrastructure.
This system, designed to monitor 3DS Full Secure transactions, has optimised the way in which Nexi manages payment security, maintaining an optimal balance between protection and service fluidity. The new solution is able to:
Leverage machine learning models to ensure accurate and easily interpretable analysis of transactions.
Evaluate suspicious transactions in milliseconds, while complying with stringent latency requirements.
Integrate a containerised architecture with Docker, making it lightweight, scalable and compatible with existing infrastructure provided by AWS.
We innovate with AI to make every payment safer, faster and smoother: because trust is built, one transaction at a time.
Alberto Danese
Head of Data Science @ Nexi
Increased accuracy
Significant reduction in false positives, improving operational efficiency and limiting inconvenience for customers.
Guaranteed response times
Real-time processing without compromising service speed.
Reduction of operating costs
The optimisation of the infrastructure has made the system more sustainable and efficient.
Increased transparency
Thanks to an interpretable model, the Nexi team can better understand risk decisions and intervene promptly.
Thanks to this solution, Nexi successfully addresses the challenges of payment security and consolidates its role as a leader in PayTech innovation, ensuring an increasingly reliable ecosystem.
Nexi is the European PayTech, present in high-growth, attractive European markets and in technologically advanced countries. Listed on Euronext Milan, Nexi has the scale, geographical reach and capabilities to drive the transition to a cashless Europe. Thanks to its portfolio of innovative products, ecommerce expertise and industry-specific solutions, Nexi is able to provide flexible support for the digital economy and the entire global payment ecosystem through a wide range of different payment channels and methods. Nexi's technological platform and best-in-class professional skills in the sector allow the company to operate at its best in three market segments: Merchant Solutions, Issuing Solutions and Digital Banking Solutions.
Data Reply is the Reply group company specialized in Big Data Analytics and Artificial Intelligence. Through multidisciplinary teams of specialists in Big Data Engineering, Data Science and Intelligent Process Automation, Data Reply supports companies in different sectors in optimizing processes through the design and implementation of solutions, quantum algorithms and Machine Learning and Artificial Intelligence models.