AI Adoption Correlates with Growth in Fraud Teams, Report Finds
Despite near-universal AI adoption for fraud detection and compliance, fraud teams are still growing, according to a new report from SEON. The survey of over 1,000 global fraud and compliance leaders found that AI has not replaced the need for human oversight. Fragmented, siloed AI tools can introduce new risks, necessitating continued investment in both technology and human expertise.
- The SEON report, which surveyed 1,010 fraud and compliance leaders, found that 94% plan to increase headcount in 2026, an increase from 88% in 2025. Additionally, 83% of these leaders expect their budgets for fraud and anti-money laundering (AML) to grow. - A primary challenge is system fragmentation; while 95% of organizations have some integration between fraud and AML systems, only 47% operate with fully integrated workflows. This lack of a unified data view is a significant hurdle for 80% of respondents. - The top three fraud threats reported by leaders were account takeovers (26%), promotion and discount abuse (18%), and return fraud (18%). This highlights the diverse and evolving nature of fraudulent activities that require both automated and human-led responses. - The issue is compounded by criminals leveraging AI to scale their attacks. AI-driven fraud attempts against some major U.S. companies rose by 1,210% during 2025. In the retail sector specifically, one analysis saw AI-powered fraud attacks increase by 330% in just two months during the fall of 2025. - While 98% of organizations now utilize AI in their fraud and AML workflows, its main role is seen as augmentation rather than replacement. 85% of leaders view AI agents as a support tool for human teams, with only 12% foreseeing an eventual replacement of human roles. - The implementation of new AI tools is not immediate, with 38% of companies reporting it takes 1-3 months to go live, and for 24%, it takes over four months. Delays in implementation can lead to increased costs and prolonged exposure to fraud. - Looking ahead, 78% of fraud and compliance leaders believe that decentralized digital identity will become a central component of their strategies. Furthermore, 25% point to criminals' advancing use of AI as a major external force shaping their future plans. - Despite the widespread adoption of AI tools, a Deloitte survey found that only 3% of retailers feel well-prepared to handle AI-enabled fraud risks. This sentiment is echoed by the fact that 69% of retailers experienced AI-enabled fraud in the past year, with 87% expecting these incidents to continue to rise.
