PUBLISHER: Stratistics Market Research Consulting | PRODUCT CODE: 1925019
PUBLISHER: Stratistics Market Research Consulting | PRODUCT CODE: 1925019
According to Stratistics MRC, the Global Telecom Fraud Management Market is accounted for $7.6 billion in 2025 and is expected to reach $16.8 billion by 2032 growing at a CAGR of 12% during the forecast period. Telecom Fraud Management refers to the comprehensive set of strategies, tools, and processes that telecommunications companies use to detect, prevent, and mitigate fraudulent activities within their networks. It involves monitoring call patterns, data usage, and financial transactions to identify suspicious behavior, such as subscription fraud, SIM card cloning, identity theft, or international revenue share fraud. By leveraging real-time analytics, machine learning, and automated alerts, telecom operators can minimize revenue losses, protect customers, and ensure regulatory compliance. Effective fraud management also enhances network security, customer trust, and operational efficiency, making it a critical component of modern telecom operations.
Escalating financial losses due to fraud
Service providers need advanced fraud management systems that detect and prevent subscription and payment-related fraud. Modernized platforms enable real-time monitoring, predictive analytics, and automated alerts to reduce risks. Vendors are embedding AI-driven tools to strengthen detection accuracy and responsiveness. Rising demand for financial protection is amplifying adoption across global telecom ecosystems. Escalating fraud losses are positioning fraud management solutions as a decisive safeguard for revenue assurance in telecom markets.
Integration challenges with legacy infrastructure
Existing IT systems often lack compatibility with modern fraud detection platforms. Smaller firms face higher risks compared to incumbents with larger budgets. High costs and technical barriers further slow modernization initiatives. Vendors are introducing modular frameworks and APIs to ease integration burdens. Persistent infrastructure challenges are reshaping deployment strategies and making interoperability a critical success factor.
Expansion in emerging 5G networks
Next-generation connectivity requires advanced safeguards to protect against evolving fraud risks. Advanced platforms enable real-time analytics, automated prevention, and adaptive monitoring across high-speed networks. Vendors are deploying AI-driven solutions to address new fraud risks associated with 5G services. Rising investment in next-generation connectivity is amplifying demand for robust fraud management frameworks. Growth in 5G networks is redefining fraud management as a proactive enabler of secure digital transformation.
Regulatory and data privacy compliance complexities
Global mandates impose stricter requirements on how customer data is stored and processed. Smaller providers struggle to maintain compliance compared to incumbents with larger resources. Regulatory frameworks add delays to deployment and increase operational costs. Vendors are embedding encryption, anonymization, and compliance features to strengthen trust. Rising compliance complexities are shifting competitive advantage toward providers that embed resilience into fraud management systems.
The Covid-19 pandemic accelerated demand for telecom fraud management as digital service usage surged. On one hand, disruptions in workforce and supply chains slowed modernization projects. On the other hand, rising demand for secure digital transactions boosted adoption of fraud management platforms. Enterprises increasingly relied on real-time monitoring and automated detection to sustain operations during volatile conditions. Vendors embedded advanced analytics and compliance features to strengthen resilience. The pandemic underscored fraud management as a vital enabler of trust and continuity in telecom ecosystems.
The subscription fraud segment is expected to be the largest during the forecast period
The subscription fraud segment is expected to account for the largest market share during the forecast period, driven by demand for solutions that prevent identity theft and unauthorized access. Enterprises are embedding subscription fraud detection into workflows to strengthen compliance and reduce losses. Vendors are developing solutions that integrate real-time monitoring, predictive analytics, and automated alerts. Rising demand for secure onboarding processes is amplifying adoption in this segment. Enterprises view subscription fraud management as critical for sustaining consumer trust and operational integrity. Subscription fraud solutions are becoming the frontline defense against revenue leakage in telecom markets.
The payment security segment is expected to have the highest CAGR during the forecast period
Over the forecast period, the payment security segment is predicted to witness the highest growth rate, supported by rising demand for secure digital transactions. Telecom operators increasingly require fraud management systems that protect payment gateways and mobile wallets. Vendors are embedding AI-driven monitoring and encryption into workflows to strengthen responsiveness. SMEs and large institutions benefit from scalable solutions tailored to diverse payment ecosystems. Rising investment in secure transaction frameworks is amplifying demand in this segment. Payment security solutions are evolving into a strategic pillar for safeguarding financial integrity in telecom services.
During the forecast period, the North America region is expected to hold the largest market share by mature telecom infrastructure and strong enterprise adoption of fraud management frameworks. Operators in the United States and Canada are leading investments in advanced fraud detection platforms. The presence of major technology providers further strengthens regional dominance. Rising demand for compliance with data privacy regulations is amplifying adoption across industries. Vendors are embedding advanced analytics and automation to differentiate offerings in competitive markets. North America's leadership is defined by its ability to merge innovation with regulatory discipline in telecom fraud management.
Over the forecast period, the Asia Pacific region is anticipated to exhibit the highest CAGR, fueled by rapid digitalization, expanding mobile penetration, and government-led connectivity initiatives. Countries such as China, India, and Southeast Asia are investing heavily in fraud management systems to support telecom growth. Local startups are deploying cost-effective solutions tailored to diverse consumer bases. Enterprises are adopting AI-driven and cloud-native platforms to strengthen scalability and meet compliance expectations. Government programs promoting digital transformation are accelerating adoption. Asia Pacific's growth is being shaped by evolving fraud risks making it the most adaptive hub for telecom fraud management innovation.
Key players in the market
Some of the key players in Telecom Fraud Management Market include Amdocs Ltd., Subex Ltd., Mobileum Inc., Tata Consultancy Services Ltd., Tech Mahindra Ltd., Ericsson AB, Nokia Corporation, Huawei Technologies Co., Ltd., NEC Corporation, IBM Corporation, Hewlett Packard Enterprise Company, FICO (Fair Isaac Corporation), TEOCO Corporation, Araxxe SAS and WeDo Technologies.
In January 2026, Subex completed the acquisition of the Security Analytics Fabric (SAF) technology assets from a niche cybersecurity firm to bolster its AI-driven threat detection engine. This integration enhanced the ROC platform's ability to identify new and adaptive fraud vectors.
In April 2024, Amdocs expanded its strategic collaboration with Microsoft to integrate Microsoft Azure OpenAI Service and Amdocs' data platform, enhancing AI-driven fraud detection and security capabilities for communication service providers (CSPs).
Note: Tables for North America, Europe, APAC, South America, and Middle East & Africa Regions are also represented in the same manner as above.