European banking executives predict that the rise in artificial intelligence will increase banks’ reliance on large US tech companies, posing new risks to the sector.

Since the release of OpenAI’s ChatGPT in late 2022, banks have been exploring ways to implement generative AI, which is already widely used for identifying fraud and money-laundering.

However, concerns have been raised about the limited processing power required to build AI capabilities, leading to increased reliance on a limited number of tech suppliers.

The British government has suggested regulations to control how much financial corporations depend on outside technology giants, and banks must notify regulators when data is moved to the cloud.

Mistral AI’s GenAI products have synergies with financial services, and ING is testing an AI chatbot that handles 2.5 percent of incoming customer support discussions.