"Google's AI Scam Defense in India: Protection for the Few, Fraud for the Many"

Google is expanding its AI-powered scam protection measures in India, introducing on-device fraud detection and screen-sharing alerts to combat rising digital fraud. Despite these advancements, gaps in accessibility and coverage persist, leaving millions of users vulnerable to evolving scam tactics. The tech giant's initiatives, including real-time call analysis and SIM-based verification, aim to address India's surging digital fraud landscape, where scams cost over ₹70 billion in the first five months of 2025 alone according to reports.

Google's latest feature, powered by Gemini Nano, analyzes calls on Pixel 9 devices in real time to flag potential fraud without recording audio or transmitting data to servers. The system emits a beep during suspicious calls from unknown numbers, alerting users and scammers alike. However, the feature is limited to Pixel devices and English-speaking users, a significant constraint in a market where Android dominates 96% of the smartphone sector but Pixel models account for less than 1% of devices according to analysis.

To combat screen-sharing scams-where fraudsters trick victims into sharing sensitive financial information- Google is piloting alerts with Google Pay, Paytm, and Navi. These alerts notify Android 11+ users when they open financial apps during screen-sharing calls with unknown contacts, offering a one-tap option to terminate the interaction. The feature, while promising, remains in early stages, with plans to expand language support and partner apps according to reports.

Google is also replacing SMS-based one-time passwords (OTPs) with Enhanced Phone Number Verification (ePNV), a SIM-based authentication method that enhances security for sign-ins. This shift aims to counter vulnerabilities in SMS-based systems, which are prone to interception and spoofing. Additionally, the company's Play Protect service has blocked over 115 million attempts to install sideloaded apps linked to financial fraud, while Google Pay surfaces over 1 million weekly fraud warnings according to data.

Despite these measures, India's digital fraud ecosystem remains fraught with challenges. Google Play has been criticized for allowing predatory loan apps to bypass its review process, and fake apps continue to proliferate according to analysis. Many scams go unreported due to users' reluctance to seek help or navigate bureaucratic complaint systems. The Reserve Bank of India reported 13,516 digital transaction fraud cases in 2024, resulting in ₹5.2 billion in losses according to official data.

Google's initiatives are part of a broader strategy to leverage AI for India's digital safety. The company has partnered with institutions like IIT Madras and the CyberPeace Foundation to develop AI safety benchmarks and tools, including SynthID, which detects AI-generated content. Digital literacy programs, such as LEO and Super Searchers, aim to educate millions of users -particularly seniors and educators- on identifying online risks.

Evan Kotsovinos, Google's vice president of privacy, safety, and security, emphasized that India's scale and diversity make it a "proving ground for reliable AI safety," with lessons applicable to the Global South according to reports. Preeti Lobana, Google India's country manager, highlighted a "360-degree approach" combining product protections, cloud-based defenses, and ecosystem collaboration according to statements.

While Google's AI-driven tools represent a significant step forward, their limited reach and the sophistication of evolving scams underscore the need for further innovation and collaboration. With India's digital economy projected to grow, the balance between technological advancement and equitable access will remain critical to curbing fraud effectively.