While AI presents a lot of promise for the financial services sector, survey respondents cited some potential concerns. Data quality and access to data and talent are seen as major obstacles for AI implementations (cited by over 80% of respondents). Traditional tech companies may be better equipped to leverage the technology to evolve into major competitors in financial services, a threat cited by nearly half of all survey respondents. And there are fears that AI-driven credit analytics using alternative datasets could lead to new biases or exacerbate existing ones.
Yet the transformative potential is undeniable. The full report (pdf) also provides a detailed look into AI’s role in digital transformations and the distance between leaders and laggards; its impact on the competitive landscape between incumbents, FinTechs and Big Tech; and the emerging risks and opportunities driven by regulation.
Through its ability to predict, adapt and learn, AI presents a compelling new solution to address today’s business challenges and enable tomorrow’s business models, empowering business decisions and uncovering opportunities. It also allows organizations to power their human enterprise by unlocking the core strengths of ingenuity, adaptability, empathy and trust using technology at speed and innovation at scale. This EY-supported research provides an important reference for leaders in all sectors to better understand current areas of focus, attitudes toward AI and future considerations that need to be addressed.
AI is transforming the financial services industry, and we can expect widespread adoption to continue. As the technologies start to disrupt business models and transform business functions, it’s increasingly important for organizations to focus on the broader context of AI adoption: trust in AI, workforce transformation, and how customer and stakeholder value can be radically reimagined.