ChatGPT's 2023 Financial Services Technology Predictions

Since?Google's Brain transformer?release, generative AI has taken off. It turns out neural networking is as impressive as advertised, given AI's application has taken a giant step forward. Offerings (i.e.,?Jasper) have quickly cropped up along with experiments of all kinds (i.e Open AIs...Dall-E). I've used both of these and tried multiple tools (i.e.,?Grammarly) to see how content might be easier to produce. I've had either impressive returns or flat-out bizarre or useless results. As we close 2023, ChatGPT is the latest buzz in the language processing field.?

IMO - this is where the rubber is starting to meet the road to test previous predictions of how AI will be a supporting technology for humans more broadly versus our replacement. As of now, it feels squarely in the former with AI-generated language. Yet there is increasing real utility with these tools beyond being super data crunchers and information organizers. That said, there is still effort involved in shaping some input and potentially more massaging the output - it is slightly more involved than AI headlines would have you believe. Like most things, there's a learning curve. I am still sorting out what applications yield the best gains versus desk research and writing.

A bunch of articles has cropped up, and I had to have fun too! The predictions piece below was written using ChatGPT. It does an impressive job culling the main themes - though nothing too surprising. The output below is based on this prompt:?Write a blog about 2023 financial services technology budget outlook.?

Have a look - let me know what you think of these tools and the results?!??

According to recent studies, the technology budget for financial services companies is expected to increase in the coming year, with a focus on areas such as digital transformation, compliance and regulation, and cybersecurity.

As we move into 2023, the financial services industry is expected to continue to rapidly evolve and adapt to new technologies and changing customer needs. Here are some predictions for the year ahead:

1. Increased adoption of artificial intelligence and machine learning: Financial services companies are expected to increasingly incorporate AI and machine learning into their operations in order to improve the accuracy and speed of financial transactions, as well as to enhance the customer experience. This could include the use of AI to automate tasks such as fraud detection and compliance checks, as well as to provide personalized financial advice to customers.
2. Continued growth of digital banking and fintech: The trend towards digital banking and financial technology is expected to continue to accelerate in 2023, with more and more customers turning to online and mobile platforms for their financial needs. As a result, financial services companies will need to invest in their digital capabilities in order to provide a seamless and user-friendly experience. This could include the development of new mobile apps and online services, as well as the integration of emerging technologies such as blockchain and the Internet of Things (IoT) into their operations.
3. Increased focus on cybersecurity: With the increasing prevalence of cyber attacks and data breaches, financial services companies are expected to prioritize investment in cybersecurity in order to protect customer data and prevent cyber attacks. This could include the use of advanced technologies such as encryption and multi-factor authentication, as well as the implementation of robust security protocols and regular security assessments.
4. Greater use of blockchain and smart contracts: The financial industry is expected to continue to explore the potential of blockchain and smart contracts in 2023. This could include the use of blockchain for things like automating compliance processes and reducing the risk of errors or non-compliance, as well as the use of smart contracts to automate the execution of financial agreements.
5. Continued growth of cloud computing: The use of cloud computing in the financial industry is expected to continue to grow in 2023, as more and more companies recognize the benefits of cloud technology such as improved scalability, flexibility, and cost-efficiency. This could include the adoption of cloud-based services such as software-as-a-service (SaaS), platform-as-a-service (PaaS), and infrastructure-as-a-service (IaaS), as well as the use of private, public, and hybrid cloud deployment models.

Overall, the financial services industry is expected to continue to evolve and adapt to new technologies and changing customer needs in 2023. As the industry moves towards greater digitization and the adoption of advanced technologies such as AI and blockchain, the use of cloud computing is expected to play a key role in enabling financial services companies to stay competitive and provide high-quality services to their customers