ATO is the weapon of choice for fraudsters leading up to the holiday shopping season, new data from Sift shows, and consumers place account security burden on businesses.
Account takeover (ATO) fraud attempts to steal from consumers and e-commerce merchants swelled 282% between Q2 2019 to Q2 2020, new data from digital trust and safety provider Sift finds. The ATO rate is the ratio of attempted fraudulent logins over total logins. ATO rates for physical e-commerce businesses jumped 378% since the start of the COVID-19 pandemic, Sift’s Q3 2020 Digital Trust & Safety Index found. This indicates that fraudsters are leaning heavily on this attack vector to steal payment information and rewards points stored in online accounts on merchant websites, according to the company.
SEE: Identity theft protection policy (TechRepublic Premium)
The index includes analysis from Sift’s global network of 34,000 sites and apps and from a survey of US consumers, the company said.
According to Deloitte’s annual holiday retail forecast, e-commerce sales are forecasted to grow between 25% and 35% and are expected to generate $182 billion and $196 billion this season. When combined with the surge in ATO rates, the 2020 holiday shopping season presents the perfect opportunity for fraudsters to leverage account takeovers to take advantage of more people shopping online, Sift said. “This can have a devastating impact on companies including financial repercussions and brand abandonment,” the company said.
Account hacking leads to brand abandonment
ATO attacks also create significant and lasting brand damage, Sift said. In surveying 1,000 US adult consumers, the company said it found that more than one-quarter (28%) of respondents would completely stop using a site or service if their accounts on that site were hacked.
SEE: How to combat cyber threats amid the shift to remote working (TechRepublic)
Google’s $2.1 billion Fitbit takeover is set for regulator approval after the tech giant made new concessions on user data, according to reports
- Google is expected to win EU approval for its $2.1 billion Fitbit deal after it addressed competition and data concerns, Reuters reported.
- The internet giant has promised it will not use Fitbit data to personalize adverts for 10 years, according to a Financial Times report.
- It will also ensure competitors can use its Android and Cloud platforms, according to people familiar with the matter.
- The EU opened a four-month long investigation into Google’s acquisition of Fitbit in August. The deal was first announced in November 2019.
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Google’s $2.1 billion acquisition of wearables company Fitbit appears to have cleared a major hurdle.
It will be cleared by EU antitrust regulators after the tech giant agreed Tuesday to restrict how it uses customer data, according to multiple reports.
Google promised regulators that it would not personalize adverts based on user data for 10 years, up from a previous promise of five years, sources with knowledge of the matter told the Financial Times.
The tech giant also guaranteed that other devices will be able to use Fitbit’s health data, if a user consents, and that Fitbit devices will still work with services like Strava and Map My Run, the FT report said.
Google also said it would let wearables competitors use the Android application programming interface (API), making it easier for them to connect to Google’s Android platform, people familiar with the matter told Reuters.
The European Commission is scheduled to consult with Google rivals and customers, and decide on a ruling by December 23, but the latest concessions will be enough for it to approve the deal, Reuters reported.
The commission declined to comment to Reuters, and has not published details