Banks around the world are finding it tricky to keep up with soaring AI expenses: McKinsey says spending on the tokens that power them could easily reach 20% of total labor costs.
To get things under control, banks have set up special teams to manage AI spending, but early fixes (like systems that directed employees to different AI models based on the complexity of their queries) didn't work out because conversations with AI agents quickly racked up costs.
Banks refocus AI spending on revenue
Now, banks are focusing their AI investments where they'll see real returns: think smarter ways to boost revenue rather than just cutting costs.
As Vik Sohoni from McKinsey puts it, "Productivity-related savings are relatively easy to measure," but the big goal is growing business.
Most already use AI to compare banking services, find higher-yield savings accounts and refinance or consolidate debt, but most banks still don't let outside AIs handle transactions directly.