DIRECTV, the US's leading provider of digital television, is achieving solid ROI from its fraud management system. In the period January to October 2009 the company saved more than US$60m through the identification of fraudulent subscriptions using Neural Technologies' Minotaur™ Fraud Management Solution.
This healthy return on investment is calculated on the savings made by DIRECTV relating to the substantial upfront costs it faces each time it activates a new account. Kent Mader, Senior Director of Fraud Management for DIRECTV, explained, "The cost of activating a new subscription amounts to around US$700, therefore the ability to identify suspicious applications at the outset helps us to make serious savings. Minotaur™ not only helps us to identify individual fraudulent applications, it also enables us to identify fraud rings, i.e. multiple fraudulent accounts with linking account information. It enables DIRECTV to be tough on fraudsters - fifty percent of the fraud rings we identify are presented to law enforcement for criminal prosecution".
Minotaur™ was installed at DIRECTV in 2007 and paid for itself within 7 months of installation. The project received an Organisational Excellence Award by the British Computer Society, who named Neural Technologies 'Large Technology Supplier of the Year'.