MasterCard is launching customizable bots for merchants and banks; they have partnered with Kasisto, the company that created KAI Banking, a conversational AI platform; consumers will be able to manage their money inside Facebook Messenger, asking questions about their accounts, purchase history, spending levels, etc.; transactions will also be able to take place on Messenger with MasterCard’s Masterpass, a digital payment service. Source
Happy New Year everyone. As I do every year at this time I make a few predictions for the year...
Fraud protection is a leading factor for consumers and MasterCard has recognized this demand; it has recently introduced a Decision Intelligence security platform that utilizes artificial intelligence technology; the technology uses a scoring system that seeks to reduce fraudulent charges and falsely declined transactions; the Decision Intelligence platform is one of many services the firm is using to help increase card usage and retain large client relationships. Source
Artificial intelligence (AI) solutions are emerging in the wealth management space as a rival for robo advice; AI solutions are providing more sophisticated investment portfolio options than robo advisors using machine learning data optimization capabilities; there are a number of AI solutions supporting investment management that are already being used broadly within wealth management including Watson, Alladin, Kensho and Sqreem; these artificial intelligence systems and others under development have the capability to develop investing portfolios based on a range of technological data inputs while also using machine learning to analyze, interpret and act on information obtained from various sources such as news articles and social media; it's predicted that these AI solutions could evolve into offering more robust portfolio advice directly for retail investors. Source
CompareEuropeGroup is a London fintech company using artificial intelligence to develop digital and automated services for financial companies; it has obtained 20 million euros ($21.32 million) in new capital from a Series A funding round; investors included ACE & Company, Pacific Century Group, Nova Founders Capital, SBI Holdings, Mark Pincus and Peter Thiel; the company will use the funds to develop its technology and machine learning services. Source
Artificial intelligence company, Flamingo, has listed on the Australian Securities Exchange and partnered with online lender, DirectMoney; the company seeks to help increase the sales conversion rate of online customers through web chat, web forms and artificial intelligence that guides customers through an online purchase. Source
Japanese insurer Fukoku Mutual Life Insurance Co. has announced plans to replace 30% of its payment assessment department with an artificial intelligence system; the insurance company has partnered with IBM for use of IBM's Watson; the system will analyze and interpret medical documents for insurance payments; the company estimates it will save approximately 140 million yen ($1.19 million) per year by utilizing the new system; other insurance companies also exploring artificial intelligence for similar types of work include Dai-ichi Life Insurance Co., Japan Post Insurance Co. and Nippon Life Insurance Co. Source
Artificial intelligence innovation is an important focus for many companies in 2017. Fukoku Mutual Life Insurance Company has taken a lead in the insurance market with its announcement to replace 34 workers in its payment assessment department with an IBM Watson artificial intelligence solution. The firm says the Watson system will improve productivity and save approximately 140 million yen ($1.21 million) per year. This is one of the first times we've seen a public announcement of how employees have been replaced as a direct result of artificial intelligence. Source
Consumers are increasingly relying on voice technology for messaging and also through services like the Amazon Echo Alexa and Apple Siri; in voice technology, innovators are now seeking new ways for systems to more broadly understand context and speak coherently in conversations; however as the technology evolves, privacy and security have become concerns; overall, demand from consumers for voice technology is likely to continue because of the convenience it offers. Source
Artificial intelligence is maturing and has gained significant traction in some of the market's leading industries; Finovate provides eight areas where artificial intelligence is being utilized and gives predictions on its potential value; top industry services using artificial intelligence include robo advisory, advisory tools, fraud detection and underwriting; services with significant value potential in 2017 include regulatory compliance, marketing, customer service and reporting tools. Source