Telecommunications companies are facing rising fraud risks as artificial intelligence tools enable criminals to scale and automate scams, according to a global industry report.
The report estimates that telecom fraud cost the industry approximately $38.9 billion in 2023.
It stated that generative AI allows scammers to produce highly personalised phishing messages, eliminate common spelling errors, and automate large-scale attacks.
Deepfake technologies and AI-powered voice cloning were also identified as emerging threats, enabling impersonation of trusted individuals to extract sensitive information.
The report highlighted SIM swap fraud, SMS phishing (smishing), SIM box fraud, and international revenue share fraud as major risks amplified by AI capabilities.
It noted that telecom operators can also deploy AI-driven systems to detect and prevent fraud by analysing network data and identifying suspicious patterns.
“With their vast data resources, telecom companies can train AI models to identify and mitigate risks, effectively fighting fire with fire,” the report stated.
The report urged operators to conduct regular fraud risk assessments, invest in advanced anti-fraud technologies, strengthen employee training, and enhance customer awareness.
It also called for stronger collaboration between telecom companies, financial institutions, and regulators to improve coordinated fraud prevention efforts.
