Artificial Intelligence in BFSI Market

Global Artificial Intelligence in BFSI Market: Introduction

BFSI is one of the fastest growing industry verticals for adopting artificial intelligence. This is due to the growing advancement in artificial intelligence and machine learning across the globe in various industries. The ability of AI to respond to ambiguous real-world inputs probabilistically is one of its critical features in the BFSI industry. The major application of artificial intelligence in banking includes analytics; bots; robotic process automation (RPA); and report generation.

Global Artificial Intelligence in BFSI Market – Dynamics

Increasing preference for personalized financial services

Customer preference varies widely in the current BFSI market scenario. Artificial intelligence has helped banks and financial institutions to customize and personalize their service according to the needs of customers. AI has helped financial institutions to reduce their long term cost by deploying bots for customer service.

Unawareness and Poor System Infrastructure

South America and Asia Pacific which are fast growing regions, face strong technological and digital gaps within the BFSI industry. The level of awareness among small and medium financial institutions is comparatively low in countries such as India, and other Asian countries. The network infrastructure to smoothly run artificial intelligence in BFSI at remote locations is not very effective. Unawareness about artificial intelligence in BFSI and poor network infrastructure is thus hampering the growth of the market.

North America to Dominate the Global Artificial Intelligence in BFSI Market

In terms of region, the global artificial intelligence in BFSI market can be divided into North America, Europe, Asia Pacific, South America, and Middle East & Africa. North America is expected to dominate the artificial intelligence in BFSI market during the forecast period due to its strong dominance in the artificial intelligence market across the globe.

COVID-19 Impact on the Global Artificial Intelligence in BFSI Market

The COVID-19 pandemic is expected to moderately impact the global artificial intelligence in BFSI market for a short-term period. The level of investment with regards to AI in BFSI has reduced due to the lockdown in almost every region, as it requires major capital investments. COVID-19 is expected to impact this market till the year end 2020.

Global Artificial Intelligence in BFSI Market – Competition Landscape

• In July 2019, Barclays announced a partnership with AI startup Simudyne. Simudyne is highly specialized in agent-based modeling. The partnership has enabled the client to develop a thorough understanding of the possibilities and risks associated with lending to a given customer or making a given investment.

Simudyne

Simudyne was founded in year 2016 and is headquartered in London, U.K. Simudyne is a simulation technology company that offers organizations a new way to more effectively harness the power of agent-based modeling, AI, and machine learning. Major clients of the company include global banks, regulators, and exchanges.

Global Artificial Intelligence in BFSI Market: Segmentation

The global artificial intelligence in BFSI market can be segmented based on:

• Component
• Application
• Region

Global Artificial Intelligence in BFSI Market, by Component

Based on component, the global artificial intelligence in BFSI market can be divided into:

• Hardware
• Solution
• Services

Global Artificial Intelligence in BFSI Market, by Application

In terms of application, the global artificial intelligence in BFSI market can be segregated into:

• Analytics
• Bots
• Robotic process automation (RPA)
• Reporting & Compliance

Regional analysis of the global artificial intelligence in BFSI market includes:

• North America
  • U.S.
  • Canada
  • Mexico
  • Rest of North America
• Europe
  • Germany
  • U.K.
  • France
  • Russia
  • Italy
  • Spain
  • Nordics
  • Rest of Europe
• Asia Pacific
  • China
  • India
  • Japan
  • Australia
  • Singapore
  • Malaysia
  • South Korea
  • Rest of Asia Pacific
• Middle East & Africa
  • UAE
  • Saudi Arabia
  • South Africa
  • Rest of Middle East & Africa
• South America
  • Brazil
  • Rest of South America