Despite both consumer and institutional interest in artificial intelligence continuing to grow across the financial services industry, the majority of leaders are still unsure about the technology and its potential uses — leaving a select group of executives to lead their organizations into the fray.
Arizent, the publisher of American Banker,
Respondents represent banks ranging from less than $10 billion of assets to more than $100 billion of assets, as well as credit unions of all asset sizes.
The results showed that familiarity is the largest hurdle for adoption. Tech-minded changemakers helping prepare their organizations for AI said the top two things they are doing are researching providers and attending industry conferences or events on AI. They are also creating working groups for responsible AI usage and educating stakeholders.
October 30, 2023 6:56 PM
Among banks and credit unions that have begun using AI, many have adopted tools for
But with the
James McPhillips, partner at Clifford Chance, said regulators abroad are more progressive than their American counterparts when it comes to overseeing the intersection of banking and technology, including the recent passage of the European Union's Artificial Intelligence Act. This disparity has left financial institutions pondering what similar efforts will look like domestically.
"As it stands, federal regulators appear to be planning to use existing laws to regulate the use and deployment of AI, but banks have not yet seen how those regulators will actually enforce those regulations in the context of AI," McPhillips said.
Below are highlights of the report's findings that give deep insight into how leaders are getting better informed about the implications of AI and whether or not it can pave the way for future innovation.
