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JPMorgan Chase News – Blockchain Council
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May 25, 2024
JPMorgan mandates AI training for every new employee
JPMorgan Chase is doing it artificial intelligence (AI) training is a mandatory part of the onboarding process for all new employees. This move is part of the bank’s strategy to consolidate its leading position in AI technology.
Mary Erdoes, head of the Asset and Wealth Management division, highlighted the initiative during the bank’s Investor Day. She emphasized that every new hire will receive timely engineering training to prepare them for the evolving AI landscape. This training aims to ensure that employees are equipped with the skills needed to navigate and use AI tools effectively.
Company president Daniel Pinto highlighted the significant impact AI is expected to have on the bank’s workforce, which includes 60,000 developers and 80,000 operations and call center workers. Pinto described the potential influence of AI as “very, very” substantial, predicting that it could transform various aspects of their work. The bank values its AI use cases at between $1 billion and $1.5 billion, indicating the significant financial stakes involved.
In his recent letter to shareholders, CEO Jamie Dimon drew historical parallels, likening the arrival of artificial intelligence to revolutionary inventions like the printing press and the steam engine. Dimon expressed confidence that AI would have transformative effects on the bank’s operations, boosting nearly all jobs. He noted that while AI can lead to changes in job categories, it also has the potential to create new roles.
JPMorgan’s commitment to AI is evident in its robust investments in talent and research. The bank employs over 2,000 AI and machine learning experts and data scientists, contributing to over 400 AI use cases across various departments such as marketing, fraud detection and risk management. These efforts are part of the bank’s broader strategy to integrate AI into its core operations and improve efficiency.
Recently, JPMorgan announced the use of OpenAI’s GPT-4 model for thematic investment baskets. This model uses natural language processing to scan news articles and identify companies related to specific investment themes. This application of artificial intelligence reflects the bank’s innovative approach to integrating advanced technologies into its financial services.
A study by Evident highlighted JPMorgan’s growing share of AI research, which grew from 30% in 2018 to 45% in 2023. This growth is a testament to the bank’s strong investment in AI talent. The study also revealed that JPMorgan employs more AI researchers than any other bank, with a talent pool more than four times larger than its closest competitor, JPMorgan Bank. Royal Bank of Canada.
Erdoes explained that artificial intelligence is simplifying various tasks within the bank, allowing bankers to retrieve information on potential investments more quickly and efficiently. This technological assistance saves analysts a lot of time every day, improving productivity and decision-making capabilities. The bank has also introduced a broad language model called ChatCFO, designed to support its finance team.
Dimon, in his letter, highlighted the expansion of the bank’s AI organization, which has grown significantly over the past year. The integration of predictive AI and machine learning in areas such as marketing and fraud detection has already shown promising results. The bank is now exploring Generative AI for software engineering, customer service and operations.