A survey conducted among approximately 500 executives within major banks and insurance companies anticipates that Generative Artificial Intelligence (GenAI) will eventually replace the roles of three-quarters of current financial services executives, as revealed by FintechOS’s report, “Generative artificial intelligence: the technology polarising the financial services industry.”
The survey outcome suggests that 73% of these executives foresee GenAI taking over their positions in due course. Over the next three years, 57% expect GenAI to lead to a 30% reduction in the workforce across financial services companies. The FintechOS survey also indicates a balanced split among executives regarding their perception of generative AI as either a friend or a foe.
Teodor Blidarus, CEO at FintechOS, highlighted the contrasting sentiments within the financial services sector toward GenAI: “While opinions are deeply divided, there is a shared consensus: the belief that generative AI will drive revenue growth but inevitably reshape the workforce, resulting in job displacement.”
The survey further discloses that half of the largest finance firms are already investing in and implementing GenAI. Notably, NatWest Bank in the UK recently announced its collaboration with IBM to leverage GenAI in expanding the capabilities of its virtual assistant.
NatWest intends to enhance its virtual assistant, Cora, by utilizing IBM’s data platform and Watson AI technology to develop Cora+, aimed at bolstering customer support through more informative interactions.
Additional research from IBM’s Institute for Business Value indicates that over 40% of leaders in banking and financial markets foresee GenAI, deep learning, and machine learning contributing to delivering financial results in the next three years.
However, the enthusiasm for GenAI extends beyond the finance sector. An Accenture study involving nearly 5,000 senior executives worldwide, titled “When atoms meet bits: the foundations of our new reality,” discovered that 98% of these leaders believe AI will significantly fuel creativity and innovation. Additionally, 95% foresee AI ushering in a new era of enterprise intelligence.
Commenting on the study’s release in March, Paul Daugherty, group chief executive at Accenture Technology, emphasized the need for swift action among IT leaders to realize GenAI’s potential: “While its impact will be extensive, leaders must act promptly to fully leverage generative AI’s potential, requiring substantial investments in data, talent, and customizing foundational models to suit each organization’s unique requirements.”
