PUBLISHER: The Business Research Company | PRODUCT CODE: 1619631
PUBLISHER: The Business Research Company | PRODUCT CODE: 1619631
Generative artificial intelligence (AI) in fintech involves using AI technologies to develop and improve financial products and services through advanced data analysis and predictive modeling. Fintech companies might leverage generative AI to offer more precise, efficient, and innovative solutions, thereby improving financial decision-making and customer experiences.
Generative AI in fintech primarily comprises services and software. Services include professional support for financial institutions to integrate and optimize AI technologies, offering expert assistance with setup, customization, and ongoing management. Deployment options encompass on-premises and cloud solutions, which are applied in various areas such as compliance, fraud detection, personal assistants, asset management, predictive analysis, insurance, business analytics and reporting, and customer behavioral analysis. The end users of these technologies include retail banks, investment banks, stock trading firms, hedge funds, and other financial entities.
The generative artificial intelligence (AI) in the fintech market research report is one of a series of new reports from The Business Research Company that provides generative artificial intelligence (AI) in the fintech market statistics, including the generative artificial intelligence (AI) in the fintech industry global market size, regional shares, competitors with the generative artificial intelligence (AI) in the fintech market share, detailed generative artificial intelligence (AI) in the fintech market segments, market trends, and opportunities, and any further data you may need to thrive in the generative artificial intelligence (AI) in the fintech industry. These generative artificial intelligence (AI) in the fintech market research reports deliver a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.
The generative artificial intelligence (AI) in the fintech market size has grown exponentially in recent years. It will grow from $1.19 billion in 2023 to $1.61 billion in 2024 at a compound annual growth rate (CAGR) of 35%. The expansion observed during the historical period can be linked to several factors, the increasing availability of financial data, a rising demand for automated financial services, growth in digital transactions, supportive regulations for fintech innovation, a need for enhanced risk management, and the growing use of AI in customer service.
The generative artificial intelligence (AI) in the fintech market size is expected to see exponential growth in the next few years. It will grow to $5.36 billion in 2028 at a compound annual growth rate (CAGR) of 35.2%. The growth in the forecast period can be attributed to the growing focus on personalized financial services, increasing adoption of AI for fraud detection, demand for efficient compliance solutions, expansion of AI-driven asset management tools, rise in AI-powered predictive analytics, emphasis on real-time decision-making, growth in digital and online banking services. Major trends in the forecast period include the integration of AI with blockchain technology, development of advanced AI-driven trading algorithms, growth of AI-powered personal finance management tools, innovations in AI for credit scoring and lending, advancements in generative AI for financial forecasting and planning.
The growing shift towards digital banking is expected to drive the expansion of generative artificial intelligence (AI) in the fintech market. Digital banking involves utilizing digital technology to manage and offer banking services through online platforms and mobile apps. This shift is fueled by the demand for convenience, the rise in smartphone usage, advancements in financial technology, and the need for enhanced security and efficiency in financial transactions. Generative AI enhances digital banking by automating complex tasks, personalizing customer interactions, and improving decision-making processes, enabling financial institutions to optimize their operations and deliver more tailored and efficient banking experiences. For example, UK Finance Limited reported in April 2024 that digital-only bank accounts grew from 24% in 2023 to 36% in 2024, highlighting the increasing role of digital banking and, consequently, the rise of generative AI in the fintech market.
Leading companies in the generative artificial intelligence (AI) fintech market are advancing AI solutions like generative AI bond assistants to improve bond trading efficiency and facilitate real-time pricing and portfolio management. These AI tools aid in bond trading by providing real-time analysis, enhancing liquidity discovery, and helping users identify and select bonds based on specific criteria. For example, in June 2023, LTX by Broadridge, a US-based company specializing in trading platforms for the corporate bond market, introduced BondGPT. Powered by OpenAI's GPT-4, BondGPT enhances trading efficiency by offering a conversational interface for users to inquire about bonds and match them to specific criteria. It integrates real-time liquidity data from LTX's Liquidity Cloud and employs advanced bond similarity technology to find bonds with characteristics similar to user-defined parameters. This tool aims to simplify the bond selection and portfolio management process, providing asset managers, hedge funds, and dealers with better liquidity discovery and pricing support.
In June 2022, Glia Technologies Inc., a US-based digital customer service provider, acquired Finn AI for an undisclosed amount. The acquisition aims to integrate Finn AI's sophisticated conversational AI solutions into Glia's digital customer service (DCS) platform. This integration is intended to enhance financial institutions' ability to provide seamless digital interactions through both virtual and human assistants. The deal is expected to improve customer satisfaction, increase operational efficiency, and deliver scalable, industry-specific chatbot solutions for the financial sector. Finn AI, a Canada-based company that specializes in AI-powered virtual assistant platforms tailored for banks and credit unions.
Major companies operating in the generative artificial intelligence in fintech market are Google LLC, Microsoft Corporation, Amazon Web Services Inc., Intel Corporation, International Business Machines Corporation, Morgan Stanley, Salesforce Inc., Capgemini Services SAS, Mastercard International Inc., Infosys Ltd., Adobe Inc., Temenos AG, Upstart Network Inc., Darktrace Holdings Limited, C3.ai Inc., DataRobot Inc., Kore.ai Inc., AlphaSense Inc., H2O.ai Inc., Zest AI Inc., Kasisto Inc., CLARA Analytics Inc., Zapata Computing Inc.
North America was the largest region in the generative artificial intelligence (AI) in the fintech market in 2023. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the generative artificial intelligence in fintech market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
The countries covered in the generative artificial intelligence in fintech market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The generative artificial intelligence (AI) in the fintech market consists of revenues earned by entities by providing services such as automated trading algorithms, personalized financial advisory, and risk management solutions. The market value includes the value of related goods sold by the service provider or included within the service offering. The generative artificial intelligence in the fintech market also includes sales of graphics processing units, tensor processing units, network infrastructure, and edge computing devices. Values in this market are 'factory gate' values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
Generative Artificial Intelligence In Fintech Global Market Report 2024 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on generative artificial intelligence in fintech market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for generative artificial intelligence in fintech ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The generative artificial intelligence in fintech market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
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The impact of higher inflation in many countries and the resulting spike in interest rates.
The continued but declining impact of COVID-19 on supply chains and consumption patterns.