This article addresses the topical issue of unwanted calls, which are a source of frustration and a security risk for both individuals and businesses. In 2021, consumers lost more than $5.8 billion to phone fraud, a 70 percent increase over the previous year. To combat this problem, several strategies have been developed, including the adoption of the STIR/SHAKEN approach, which allows phone networks to verify the authenticity of caller IDs. In addition, artificial intelligence can be used to create an intelligent anti-fraud network that can learn from data and adapt to new fraud patterns. In conclusion, combating unwanted calls is a shared responsibility, and by leveraging innovative solutions, we can pave the way for a more secure and connected future.
Leveraging technology to combat unwanted calls
In today’s digital age of ubiquitous connectivity, unwanted calls have emerged as a persistent source of frustration for both individuals and businesses. These unwanted calls not only disrupt productivity but also pose significant security risks. Addressing this pervasive problem requires a comprehensive, multifaceted approach that combines technological innovation with proactive strategies.
As Federal Trade Commission (FTC) data show, consumers reported losing more than $5.8 billion to fraud in 2021, an increase of more than 70 percent from the previous year. Moreover, according to the Communications Fraud Control Association (CFCA), telecommunications fraud alone costs companies worldwide more than $32 billion annually. These statistics underscore the growing threat posed by deceptive calls and highlight the urgent need for robust countermeasures.
These unwanted communications can range from telemarketing offers to fraudulent schemes, often exploiting vulnerabilities in traditional telephone systems. With the advent of Voice over Internet Protocol (VoIP) technology, malicious actors can easily spoof caller ID and evade detection, making it difficult to filter out illegitimate calls. In addition, the risks associated with using Artificial Intelligence (AI) to carry out phone scams are rapidly evolving: fraudsters can exploit AI to produce fake, personalized voices that resemble those of people known to the victims, such as relatives, friends, financial advisors, or even government authorities. This can make it more difficult for victims to protect themselves from the risk of fraud.
The risk of loss of trust
In addition, the erosion of trust in caller ID information undermines the reliability of phone numbers for communication. This loss of trust has ripple effects in various areas of communication, affecting business relationships, customer service interactions, and personal relationships.
At the forefront of this battle against unwanted calls are companies that leverage advanced technologies to provide effective solutions and view these calls as more than simply a nuisance. In order to adopt the best strategies, it is crucial to understand the underlying technical complexities and the proactive measures we can take to mitigate their impact.
Implementation of anti-fraud strategies
In the past, the fight against fraudulent calls was conducted by communications service providers through static screening services easily bypassed by rapidly adaptable spoofing systems. In reality, these checks often proved costly and ineffective. Some device manufacturers (e.g., smartphones) and Over-The-Top (OTT) have also tried to improve trust in communications, but with the limitation of solutions that work only for a small group of users adopting the same technology, with potential risks induced by the lack of security for the information collected.
Regulatory agencies also formulate and enforce policies and regulations aimed at preventing and reducing call fraud. These policies include requirements for call authentication, standards for secure communication protocols, and guidelines for operators to follow. Agencies enforce these policies by imposing fines, revoking licenses, or taking legal action against violators to deter fraudulent behavior. Despite all these efforts, the phenomenon has continued to progress.
As a result, new strategies have been designed and innovative approaches have been developed to strengthen protection against spoofing, embracing technological innovation as shown below.
Adopting the STIR/SHAKEN Approach
The telecommunications industry, in collaboration with regulators, has developed the STIR/SHAKEN suite of protocols, which has already been adopted in some countries (e.g., the United States, Canada, and France) and is set to spread globally in the coming years. STIR/SHAKEN is a set of standards that allows telephone networks to verify the authenticity of caller IDs using digital certificates that ensure that the incoming call is verified as an identity included in the request.
In fact, in the verification process, the STIR client functionality of the network on the termination side (typically a SIP-based controller) invokes the verification server through the HTTPS protocol, as outlined in the Alliance for Telecommunications Industry Solutions (ATIS) 100082 specification. The specification also establishes the standard for such interfaces to decode and validate the content of the identity received from the originating network and to define the treatment to be applied to the call (e.g., block it or admit it).
The solution incorporates “incident reporting” mechanisms that allow operators to communicate and report problems related to call authentication, misuse of the STIR/SHAKEN protocol, or other violations of regulations or procedures. This includes reporting fraudulent calls, violations of authentication rules, misuse of the protocol by unauthorized service providers, or other failures related to communications security.
Incident reports are forwarded to the appropriate authorities and organizations responsible for communications management and control.
A positive example of adoption
In France, in order to comply with the Naegelen law that requires all operators and service providers to implement a solution to protect their customers from phone fraud and robocalls, French ISPs Koesio and Canal Plus Telecom have successfully implemented Italtel’s STIR/SHAKEN solution, which includes a proprietary analytics platform for “incident report” management with centralized governance system.
According to Hiya’s Q323 Global Threats report, worldwide unwanted calls were more than 73 million per day in the third quarter of 2023, including both fraudulent and nuisance calls. In Europe, France was among the countries with the highest spam rate (42.7 percent).
The Naegelen law was introduced in July 2023 to combat this problem, and ARCEP, the French regulatory authority, established and chaired the MAN (Mechanisms for the Authentication of Numbers) working group of the Fixed Number Portability Association (APNF) to manage the governance of the project to make STIR/SHAKEN effective in France in 2023.
Further evolutionary approaches
The integration of advanced applications into next-generation networks provides access to verification capabilities of transmitted signaling information and previously collected data. This enhancement provides greater communications protection for all users, regardless of device type.
The communication interface between the network and anti-fraud applications uses modern REST technologies, facilitating rapid integration, as demonstrated by Italtel’s proprietary solutions. Leveraging proprietary technology, particularly the Routing and Policy (i-RPS) asset, Italtel provides solutions that are not only robust and reliable, but also customized to meet the evolving needs of the industry.
In addition, the ability to interact in real time with advanced applications represents an evolution in terms of openness for next-generation networks, which is essential for the future development of such networks with a view to increasing integration with high value-added services.
Toward an artificial intelligence-driven approach
One possible evolution is to leverage the potential of artificial intelligence (AI) to create an intelligent anti-fraud network that can learn from data and adapt to new fraud patterns. This solution relies on using advanced algorithms and machine learning techniques to analyze call patterns and identify suspicious behavior in real time, without relying on predefined rules or blacklists. This allows fraud to be detected more accurately and proactively, reducing false positives and false negatives.
Advanced artificial intelligence methodologies in voice fraud prevention include using voice biometrics, detecting anomalies in voice patterns, monitoring conversations for suspicious activity, analyzing content with NLP (Natural Language Processing), and using machine learning models trained on historical data to improve detection accuracy.
Artificial intelligence not only provides greater detection capability, but also greater integration with existing fraud management systems (FMSs), which are responsible for managing workflows and corrective actions in the event of fraud. By integrating the AI-driven fraud network solution with existing FMSs, control can be improved and the fraud detection process streamlined. In addition, this integration fosters collaboration among the various operational and security teams, enabling them to work together to prevent and counter fraud more effectively.
As a result, this innovative approach offers numerous benefits to telecommunications companies, which can benefit from increased protection and security.
A shared responsibility
In conclusion, as telecom equipment providers, we have a responsibility to leverage our expertise to develop solutions that safeguard the integrity of communications networks and enable users to regain control over their digital experiences. Together, we can turn the tide against disruptive calls and pave the way for a more secure and connected future.
Recognizing that communication is not only vital to everyone’s daily lives, but also a strategic asset, our collective efforts in combating fraudulent calls reinforce the importance of safeguarding this essential aspect of modern society. By strengthening our defenses and leveraging innovative solutions, we uphold the integrity of communications networks, ensuring that they remain reliable, secure and indispensable for all.
