Theta Lake, a leader in DCGA, has unveiled its sixth annual report, revealing significant insights into the adoption of Gen AI in the financial services sector.
The study, which surveyed 500 IT and compliance professionals across the US and UK, highlights a landscape fraught with regulatory challenges and a surge in the use of Unified Communications and Collaboration (UCC) tools.
Amidst an environment of record-breaking regulatory fines exceeding $4bn, the report sheds light on the intensifying complexity of digital communication management within financial services. A staggering 97% of respondents are apprehensive about deploying GenAI capabilities, reflecting broad concerns about the potential risks associated with these technologies. Despite these concerns, the adoption of digital tools continues to grow, with 85% of firms now using more than four different communication and collaboration tools, a notable increase from previous years.
The majority of firms (58%) expressed concerns regarding the reconciliation of records across their communication tools, emphasizing the difficulty in maintaining compliance with stringent regulatory requirements. Additionally, over 40% of respondents are worried about the implications of using summarization and note-taking tools, which could complicate compliance efforts.
Furthermore, the report indicates that many organizations are grappling with non-unified archiving and voice recording tools, which complicate the capture, archiving, reconciliation, supervision, and surveillance of communications. This has prompted nearly half of regulated organizations to block certain apps or features to mitigate compliance risks, as noted by Irwin Lazar, President and Principal Analyst at Metrigy.
Devin Redmond, Co-founder and CEO of Theta Lake, commented on the findings, stating, “What this year really reveals is really that firms continue to accelerate their adoption of unified communication and collaboration tools. The modern workplace is in full effect around those tools, and I think any conversations about the hybrid workplace are gone, and it’s simply a matter of firms using these new tools.”
Read the full article by FinTech Global here.
