Bank of America CEO Says AI Is Transforming How Banks Work

Core Insights - Bank of America is investing $13 billion in technology this year, with $4 billion allocated to core innovation projects, emphasizing technology as a strategic enabler for competitive advantage [4][10] - The bank's CEO highlighted that AI is embedded in daily operations, enhancing efficiency across various functions, including underwriting and compliance [5][8] - The bank's technology strategy is driven by client demand for seamless and integrated services, aiming to deepen customer relationships and reduce service costs [7][12] Technology Investment - Over the past decade, Bank of America has invested more than $100 billion in technology, focusing on creating new capabilities and improving customer experiences [4] - The bank's technology agenda includes building for scale and intelligence, allowing AI and automation to expand across all organizational areas [2][10] AI Implementation - AI is not experimental at Bank of America; it is actively used to personalize client experiences and streamline operations, contributing to efficiency gains [5][8] - The bank's AI initiatives are already benefiting back-office functions, allowing for productivity improvements without increasing headcount [9][10] Customer Engagement - Bank of America operates 3,600 financial centers, averaging $500 million in deposits, while digital platforms like the virtual assistant Erica enhance customer service availability [6] - The bank aims to provide holistic and integrated services to clients, whether individuals or corporations, fostering deeper relationships and low attrition rates [8][12] Business Performance - Consumer spending in Bank of America accounts rose 6% year-over-year in October, indicating strong deposit growth among retail and business clients [12] - The bank's position as a core part of customers' daily lives allows it to gain insights and serve them more effectively over time [12]