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Applications of Machine Learning in Fraud Detection and Document Analysis



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Machine learning can be used in many ways. AlphaGo was able to defeat Lee Sedol, who used machine learning in order to analyze data in the game Go. Google Image Search has been one of the most prominent machine-learning applications. It hides the complexity of search while processing over 30,000,000 image searches each day. This article will focus on some of its most commonly used applications. It is also useful for fraud detection.

Face detection

Face detection uses algorithms to recognize faces from images or videos. Facial Recognition is the process of determining an individual's age, gender, and emotion. Face detection uses mathematical models to map the features of a person's face and store them in a faceprint. This algorithm combines facial features with the corresponding information from previous photographs or videos to create a unique code that recognizes a particular face.


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Document analysis

Machine learning is a promising technology that can be used to analyze document content. The goal of document analysis is to extract meaning from text and to synthesize it with human input. Documents are complex webs that contain many references. Each idea builds upon the other and conflicts are solved. Despite the vast diversity in document structure, human beings have provided significant clues to the big ideas within them. Document analysis tools must capture these clues by capturing document titles, section headings, paragraph boundaries and sentence boundaries. Additionally, they will need to determine the purpose of each paragraph or section, which is often dependent on domain.


Classification

Machine learning has many applications, but image processing is one of the most important. A face recognition system might need to determine whether a photograph is one-of-a-kind or if it's one of many. A decision tree uses machine learning algorithms to divide examples into two different categories. Once a new point is labeled it uses the neighboring points as a basis to assign the new label.

Fraud detection

Machine learning algorithms are used in fraud detection for a variety of purposes. Machine learning algorithms can be used to detect fraud. These methods, however, require large datasets in order to train them. Unbalanced datasets can make it difficult for fraud detection algorithms to recognize fraudulent transactions. Machine learning algorithms, on the other hand, can learn from data with no pre-labeled variables.


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Autonomous driving

Situational awareness is a critical problem for autonomic drivers. While human drivers need to pay close attention to their surroundings, an automated vehicle must be able to maintain complete situational awareness at all times. Autonomic driving software uses deep learning algorithms to simulate traffic situations. Stanford University School of Engineering and California Institute of Technology have conducted a study that shows how AI algorithms could help autonomous vehicles improve their situational awareness.




FAQ

Is there another technology that can compete against AI?

Yes, but still not. There have been many technologies developed to solve specific problems. None of these technologies can match the speed and accuracy of AI.


What are some examples AI applications?

AI is being used in many different areas, such as finance, healthcare management, manufacturing and transportation. Here are just some examples:

  • Finance - AI can already detect fraud in banks. AI can scan millions of transactions every day and flag suspicious activity.
  • Healthcare - AI is used to diagnose diseases, spot cancerous cells, and recommend treatments.
  • Manufacturing – Artificial Intelligence is used in factories for efficiency improvements and cost reductions.
  • Transportation – Self-driving cars were successfully tested in California. They are currently being tested around the globe.
  • Utilities can use AI to monitor electricity usage patterns.
  • Education - AI is being used in education. Students can communicate with robots through their smartphones, for instance.
  • Government – Artificial intelligence is being used within the government to track terrorists and criminals.
  • Law Enforcement - AI is used in police investigations. Databases containing thousands hours of CCTV footage are available for detectives to search.
  • Defense - AI can be used offensively or defensively. Artificial intelligence systems can be used to hack enemy computers. Defensively, AI can be used to protect military bases against cyber attacks.


How does AI work

Basic computing principles are necessary to understand how AI works.

Computers save information in memory. They process information based on programs written in code. The code tells the computer what to do next.

An algorithm is an instruction set that tells the computer what to do in order to complete a task. These algorithms are typically written in code.

An algorithm can also be referred to as a recipe. A recipe could contain ingredients and steps. Each step represents a different instruction. A step might be "add water to a pot" or "heat the pan until boiling."


How will governments regulate AI

AI regulation is something that governments already do, but they need to be better. They need to ensure that people have control over what data is used. Companies shouldn't use AI to obstruct their rights.

They should also make sure we aren't creating an unfair playing ground between different types businesses. For example, if you're a small business owner who wants to use AI to help run your business, then you should be allowed to do that without facing restrictions from other big businesses.


What can AI be used for today?

Artificial intelligence (AI) is an umbrella term for machine learning, natural language processing, robotics, autonomous agents, neural networks, expert systems, etc. It is also known as smart devices.

Alan Turing wrote the first computer programs in 1950. He was curious about whether computers could think. In his paper "Computing Machinery and Intelligence," he proposed a test for artificial intelligence. This test examines whether a computer can converse with a person using a computer program.

John McCarthy in 1956 introduced artificial intelligence. He coined "artificial Intelligence", the term he used to describe it.

We have many AI-based technology options today. Some are very simple and easy to use. Others are more complex. These include voice recognition software and self-driving cars.

There are two major categories of AI: rule based and statistical. Rule-based uses logic in order to make decisions. To calculate a bank account balance, one could use rules such that if there are $10 or more, withdraw $5, and if not, deposit $1. Statistics are used for making decisions. For example, a weather prediction might use historical data in order to predict what the next step will be.


What is AI and why is it important?

In 30 years, there will be trillions of connected devices to the internet. These devices will include everything from fridges and cars. Internet of Things, or IoT, is the amalgamation of billions of devices together with the internet. IoT devices can communicate with one another and share information. They will also make decisions for themselves. Based on past consumption patterns, a fridge could decide whether to order milk.

According to some estimates, there will be 50 million IoT devices by 2025. This is an enormous opportunity for businesses. However, it also raises many concerns about security and privacy.



Statistics

  • By using BrainBox AI, commercial buildings can reduce total energy costs by 25% and improves occupant comfort by 60%. (analyticsinsight.net)
  • In 2019, AI adoption among large companies increased by 47% compared to 2018, according to the latest Artificial IntelligenceIndex report. (marsner.com)
  • Additionally, keeping in mind the current crisis, the AI is designed in a manner where it reduces the carbon footprint by 20-40%. (analyticsinsight.net)
  • In the first half of 2017, the company discovered and banned 300,000 terrorist-linked accounts, 95 percent of which were found by non-human, artificially intelligent machines. (builtin.com)
  • While all of it is still what seems like a far way off, the future of this technology presents a Catch-22, able to solve the world's problems and likely to power all the A.I. systems on earth, but also incredibly dangerous in the wrong hands. (forbes.com)



External Links

en.wikipedia.org


forbes.com


hbr.org


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How To

How to build an AI program

To build a simple AI program, you'll need to know how to code. Although there are many programming languages available, we prefer Python. There are many online resources, including YouTube videos and courses, that can be used to help you understand Python.

Here's an overview of how to set up the basic project 'Hello World'.

First, you'll need to open a new file. For Windows, press Ctrl+N; for Macs, Command+N.

Enter hello world into the box. Enter to save the file.

Press F5 to launch the program.

The program should say "Hello World!"

This is just the beginning, though. These tutorials can help you make more advanced programs.




 



Applications of Machine Learning in Fraud Detection and Document Analysis