Artificial intelligence (AI) may cut costs, but financial services companies have reportedly been slow to embrace it.
That’s according to a report Sunday (June 30) by the Financial Times (FT), which said that regulatory concerns and worries about job losses have kept banks from adopting AI products.
“The big banks will definitely not adopt [the technology] as quickly as any of the FinTech,” said Tom Blomfield, co-founder of neobank Monzo and group partner at Silicon Valley startup incubator Y Combinator.
He added that generative AI will “make banks more efficient and able to provide the same products at a cheaper cost.”
The report cited a study by Capgemini showing that just 6% of retail banks are ready for widespread AI implementation.
However, the FT also pointed to an estimate by McKinsey that AI could add up to $340 billion in value per…
