Artificial Intelligence (AI) is evolving quickly as the go-getter technology for companies across the world to redefine their services and offerings. The technology itself is inching to become better and smarter day by day, giving high adoption goals to newer industries.
There is huge interest garnered when one talks about AI in banking and other financial sectors, a domain which is showing very high adoption rates. The rudimentary applications into AI include introducing smarter chatbots for customer service, placing an AI robot for self-service at banks and personalising services for individuals.
AI enables the Banks to bring in more efficiency to their back-office in a bid to reduce fraud and security risks.
Here are the top banks and their quest to embrace AI into their business-
American multinational financial services company and the world’s fourth-largest bank by market capitalization Wells Fargo recently announced the establishment of a new Artificial Intelligence Enterprise Solutions team. Armed with several hundred employees, the company has begun to pilot an AI-driven chatbot through the Facebook Messenger platform. This virtual assistant communicates with users to assist them with account information helping them to reset their passwords. It was as early as 2009 that Wells Fargo communicated with customers through Facebook.
JPMorgan Chase recently announced its COiN platform or the Contract Intelligence platform developed to analyse legal documents for information. The giant depended on the manual review of 12,000 annual commercial credit agreements which required approximately 360,000 hours. A test run on the initial implementation of the COiN technology showed that the same amount of agreements could be reviewed in seconds making the company exploring additional ways to implement this powerful tool.
JPMorgan Chase has been investing into emerging technologies of late and invested over $9.5 billion in technology in 2016, with $3 billion specially dedicated towards new initiatives and $600 million earmarked for emerging fintech solutions. Specific interests of the company include exclusive partnerships with the fintech companies to develop new and enhancing current mobile and digital services.
The First National City Bank of New York, Citibank has been quite active in fostering technological partnerships. Citibank recently established a set of rewarding partnerships with innovative tech companies to expand its range of services and operations. The bank boasts a global network of tech companies through its investment and acquisitions wing, Citi Ventures which participate into six Citi Global Innovation Labs.
Through Citi’s global corporate venturing arm, Citi Ventures, the bank has invested in Feedzai, a data science company that detects fraud in online and in-person banking. Through its continuous and rapid evaluation of large amounts of data, Feedzai is empowered to conduct large-scale analyses identifying fraudulent or questionable activity alerting the customer.
The service also assists payment providers and retailers to monitor and protect financial activities in connection with their companies. Feedzai utilizes machine-based learning algorithms to evaluate big data and potentially fraudulent activities.
Bank of America
One of the world’s largest financial institutions, and celebrating a decade of mobile banking this year, Bank of America Corporation recently made investments into AI technology debuting with an intelligent virtual assistant named Erica. Erica was officially unveiled at the world’s largest payment and financial services innovation event, the 2016 Money 20/20 conference held in Las Vegas. Erica is a chatbot leveraging predictive analytics and cognitive messaging providing financial guidance to the bank’s over 45 million customers.
Back in 2016, the Bank of America Corporation reported a $3 billion innovation budget to explore potential partnerships, solve some of today’s challenges and discuss market trends.
AI in Banking the Exciting Future ahead
Leading banks have prioritized strategic technological advancements with mighty investments into AI applications to serve their customers efficiently, set new performance standards and increase revenue. The future of finance will be heavily influenced by emerging fintech with technology setting the stage for increasing competitiveness among the banks and financial institutions.
Expect more to happen in the banking and financial sector as banks get ready to adapt to the changes that technology adoption brings. In recent times, the competition in the banking space just got a bit more exciting with AI and its allied technologies powered my NLP and Machine learning powering banks with a new