AI saves banks billions of rupees every year

JPMorgan Chase, America’s largest bank $3.46 trillion In assets, it invests about $2 billion per year in AI technology. According to CEO Jamie Dimon, that investment has already paid off.

daemon told Bloomberg TV On Tuesday that the bank has saved about “$2 billion” every year by using AI in everything from risk management to customer service, and that AI is now helping operations in almost every part of the bank, from marketing to idea generation. About 150,000 employees per week use JPMorgan’s internal AI models, trained on the bank’s data, to conduct research, summarize reports and scan contracts, he said.

“We’ve shown that a $2 billion spend gives us about a $2 billion benefit,” Dimon told the outlet. “Some we can do in real detail: we did this, we reduced the number of staff, we saved time and money. Some you can’t: it’s just improved service.”

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Dimon claimed that the $2 billion cost savings were merely “the tip of the iceberg”. He said the bank already has hundreds of use cases for the technology, including fraud detection and risk management, and that number is set to grow. One use case is cash flow intelligence AI tools that reduced human-oriented manual work by nearly 90% last year.

However, Dimon also warned that AI has the potential to eliminate some jobs, and said the bank is focused on “retraining” and “redeploying” employees.

“For JPMorgan, if we are successful, we will have more jobs — but there will probably be (fewer) jobs in some functions,” he told Bloomberg TV.

Dimon also noted that JPMorgan has a long history with AI — the bank has been using and developing the technology since 2012Currently, it employs around 2,000 AI and machine learning experts.

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Dimon previously assessed the impact of AI on humanity, predicting in October 2023 a year later Thanks to technology the next generation will “live to be 100” and “work three and a half days a week”. He said AI is the next wave of technological advancement, like the steam engine or the Internet.

Meanwhile, JPMorgan’s business is performing well. The bank’s most recent earnings report for the second quarter of the year was “strong,” Dimon said in July. earnings press releaseReported net income of $15 billion. The bank’s next earnings report date is October 14.

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JPMorgan Chase, America’s largest bank $3.46 trillion In assets, it invests about $2 billion per year in AI technology. According to CEO Jamie Dimon, that investment has already paid off.

daemon told Bloomberg TV On Tuesday that the bank has saved about “$2 billion” every year by using AI in everything from risk management to customer service, and that AI is now helping operations in almost every part of the bank, from marketing to idea generation. About 150,000 employees per week use JPMorgan’s internal AI models, trained on the bank’s data, to conduct research, summarize reports and scan contracts, he said.

“We’ve shown that a $2 billion spend gives us about a $2 billion benefit,” Dimon told the outlet. “Some we can do in real detail: we did this, we reduced the number of staff, we saved time and money. Some you can’t: it’s just improved service.”