BNY Mellon and OpenAI Forge Partnership to Revolutionize Banking with AI

BNY and OpenAI strike deal to develop AI platform

This content has been selected, created and edited by the Finextra editorial team based upon its relevance and interest to our community. According to a Wall Street Journal (WSJ) report, the deal will give BNY, previously known as Bank of New York Mellon, access to OpenAI's numerous resources including Deep Reseach, a web-browsing tool that has just been rolled out to all ChatGPT users. The report quotes Sarthak Pattanaik, head of BNY's AI hub, as saying: "We feel AI has transformational power and will be part of every product and service. In return, OpenAI will gain more insight into how its models perform when carrying out complex tasks in real-world situations, according to the WSJ report. OpenAI's chief operating officer Brad Lightcap cited the banking sector as one of the most prolific users of AI as well as a recruiter of top talent and a filer of numerous AI-related patents. "We've felt a lot of pull and a lot of demand there," said Lightcap. "I don't suspect that's going to let up."

BNY Teams With OpenAI to Bring 'Transformational' AI to Banking | PYMNTS.com

"We feel AI has transformational power and will be part of every product and service," said Sarthak Pattanaik, head of BNY's AI hub, per the report. "We've felt a lot of pull and a lot of demand there," Lightcap said, per the report. "I don't suspect that's going to let up." The BNY partnership is also a chance to work with a company well into its AI efforts, as the bank debuted Eliza last year, according to the report. A report last year by PwC argued that generative AI was poised to transform the banking industry, offering opportunities for efficiency, security and customer satisfaction. The technology could streamline processes, enhance cybersecurity and provide personalized banking services while also impacting loan processing, fraud detection and risk management. Meanwhile, the PYMNTS Intelligence report "Is AI the Master Key to Banking's Next Era?" found that nearly three-quarters of all finance leaders said they're using AI in their operations, with its applications ranging from fraud detection (64%) to customer onboarding automation (42%). Nearly all banking boards have backed generative AI initiatives. "Leaders view AI as a tool for efficiency and a way to create hyper-personalized customer experiences, a critical factor as 50% of retail banking consumers are not satisfied with their current banking options," PYMNTS wrote in September. "This growing reliance on AI signifies a pivotal moment where banks must evolve or risk being overshadowed by nimble Big Tech competitors."