Telecom fraud is skyrocketing globally, now marking one of the biggest sources of lost revenues for operators. Just how big is the problem? According to the Communications Fraud Control Association (CFCA), it represented nearly $30 billion globally last year. 

Telecom Fraud Classification

Telecom Frauds can be classified broadly into Revenue Fraud and Non-Revenue Fraud. Telecom Frauds can be also divided into Usage Frauds (like misusing another subscriber’ service, Conference and Call Forwarding Frauds, running unauthorised Private Exchange and technical frauds like By-passing networks and subscription frauds (like Activation Fraud, unauthorised operations on customer account, subscriber data anomaly between network elements and billing, etc.).

Revenue Assurance systems & processes

Revenue Assurance system role is not only to track and identify discrepancies in usage as reported by OSS/BSS systems but also to ensure that usage is billed at appropriate rates. The Revenue Assurance system must be able to validate charges against rates and inventory of installed/activated equipment, leased facilities, and circuits. This requires a sophisticated rating technology that is able to accommodate a wide variety of charging models and do so with ease.

Leveraging Blockchain Technology

The blockchain ledger trending technology plays a role in the revenue assurance. Blockchain technology can be used to help design more leakage proof, efficient and real-time neurology for SDN/NFV, SLA Management, Storage Management, Real-time revenue recognition, Fraud detection, Convergence, and many more.

Some commonly e-available use cases:

Roaming Fraud Reduction – Smart Contracts can be implemented between Visited Public Mobile Network (VPMN) and Host Public Mobile Network (HPMN). This will result in real time authorization and also elimination of Data Clearing Costs

Subscription Identity Fraud Reduction – Public key of a device can be broadcasted in blockchain rather than IMSIs makes reduction in identity related frauds and faster device identification

How to uncover potential

• Start with Real & Early Use Cases with proof points 
• Focus on value capture and monetisation
• Partner with right tech providers with platform, standards and regulations in mind