Goldman Sachs is just as bullish on AI as big tech
The man charged with steering the tech strategy of one of Wall Street’s biggest firms is just as excited about the opportunities in AI as any of his counterparts in Silicon Valley.
Marco Argenti, Goldman Sachs’s chief information officer, calls AI “probably one of the biggest revolutions or changes that I have ever seen. We believe that AI could be a profound disrupter not only of our industry, but all digital and all information and knowledge industries in general,” he told Yahoo Finance Live.
This has been a growing refrain from executives outside of technology. Wendy’s is using an AI chatbot in its drive-thrus. Cosmetics and skin care company Oddity, which became public this month, uses AI to develop new products and to match consumers with makeup. And other big financial firms are no stranger to AI – Bank of America is reportedly using it, and virtual reality, to help train new employees.
Goldman’s Argenti is a tech veteran, coming to the storied investment house after stints at Amazon Web Services and Nokia. He’s trying to bring an engineer’s philosophy to the bank, urging his developers to work with customers on what solutions they need and why.
“Engineers’ roles have changed, and today it’s a mix between data science, traditional development, and business that come together in this powerful combination that I think really drives the strategic agenda of any firm,” he said.
So how are those engineers using AI? Argenti said he sees it as a sort of translator between coders and computers, to boost engineering productivity.
He also posited a situation where large language models could be used to summarize relevant news and deliver it to a banker, along with which clients might be impacted and talking points for conversations with them.
“I think we’re actually not that far away from that,” he said. “Right now, the challenge, really — and for us it’s been a big focus — is how to make it safe” and to make sure the information being shared is accurate and credible.
If and when the Nvidia hype cycle fervor has faded, companies like Goldman and countless others outside of tech will still be working on how to incorporate generative AI into their businesses. That’s in part because the role of tech in other industries has changed.
“Technology’s no longer the back-office, IT organization. Technology is actually the driver of a lot of competitive advantage and actually is the driver of the strategic agenda of the firm in many cases.”
Julie Hyman is the co-anchor of Yahoo Finance Live, weekdays 9am-11am ET. Follow her on Twitter @juleshyman, and read her other stories.
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