The artificial intelligence gap between megabanks, community banks and credit unions

Claims regarding the impact of artificial intelligence (AI) on banking are getting out of control.

Claim #1: 

[Financial] institutions will turn AI-enabled back-office operations into external services, both accelerating the rate at which these capabilities improve and necessitating others to become consumers of those capabilities to avoid falling behind.” (Source: World Economic Forum)

No they won’t. Establishing external services requires marketing and customer service. And it takes someone who knows how to manage a profit-center to run the show–which doesn’t usually describe the folks running those departments today.

You really think a lot of institutions are going to make the investments required to turn some AI-infused back-office operation into its own line of business?

 

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