Fair Isaac Awarded Eight New Patents

Surge of innovation brings total patent portfolio to 80

(Minneapolis, Minnesota, USA) - Fair Isaac Corporation (NYSE: FIC), the leading provider of analytics and decision management technology, today announced that it was awarded eight new patents in the last four months for inventions in fraud detection, search technology, rules management and bioanalytics.

The new patents include two technologies used in the new Fair Isaac® Falcon® Fraud Manager version 6, which produces a 44 percent improvement in fraud detection model performance, increased fraud detection and fewer false-positives. The first, “Cascaded Profiles for Multiple Interacting Entities,” relates to the generation of enhanced profiles used in fraud detection which powerfully reflect interactions and relationship of key entities. The second, “Self-Learning Real-Time Prioritization of Fraud Control Actions,” uses adaptive models to learn new fraud patterns in real-time and by constantly re-weighting predictive fraud variables related to activity based on real-time case feedback.

The new portfolio also includes an additional patent in transactional profile analytics, entitled “Enhancing Delinquent Debt Collection Using Statistical Models of Debt Historical Information and Account Events.” This patent describes an automated system using predictive modeling based on real-time profiles (common to Falcon fraud models) including the use of unstructured data to optimize the use of collection resources on a portfolio of delinquent debt accounts.

The company also received its first Japanese patent for “Context Vector Generation and Retrieval,” adding foreign coverage to four Fair Isaac U.S. patents related to search tools. This invention is an improved system and method for generating and retrieving “context vectors,” which are widely used search tools, including for Web-based searching.

New technology incorporated into the Fair Isaac Blaze Advisor® business rules management system was also patented as “Relational Logic Management System,” a computer-implemented method to reconcile rule sets in models of business processes.

In bioanalytics - an area Fair Isaac now focuses on licensing to other companies - Fair Isaac’s original FastPanel® technology received its first three patents, each with the title “Devices for Generating Detectable Polymers,” related to using DNA to diagnose upper respiratory and gastrointestinal diseases in humans.

“In challenging times, industry leaders maintain and protect their investments in R&D,” said Henry Morris, senior vice president, Worldwide Software and Services Research for IDC. “Eight new patents in four months indicates a healthy pace of innovation, underscoring Fair Isaac’s continuing commitment to advance the practice of decision management.”

“Patents highlight the value we place on innovation and collaboration,” said Dr. Mark Greene, Fair Isaac CEO. “These new patents underscore the impact of our R&D investment, and also the depth of our commitment to helping our clients solve real-world challenges.”

Fair Isaac now holds 80 patents, nearly double the portfolio of two years ago. The company filed for 10 more patents in the past four months, and currently has 160 patent applications pending in the U.S. and other countries.