What is vertical AI?
Vertical AI (artificial intelligence) are AI systems designed for a specific industry. Unlike generic AI, which aims to work well within a variety of platforms and situations, vertical AI focuses on excelling in one narrow area.
Vertical AI and financial services
For the FS industry, vertical AI can impact a whole host of different areas:
- Fraud detection – AI systems trained on large datasets of financial transactions to identify patterns indicative of fraud in real-time
- Compliance – AI can continually monitor trading activities and communications, to ensure compliance with regulations, such as Consumer Duty
- Automation – AI assistants can be employed to serve as personalised financial assistants, automatically generating reports and communication, recording and transcribing calls, and identifying vulnerability markers
Vertical AI might be lacking the flexibility of generic AI, but it can compensate by achieving a stronger performance, requiring less data and training to optimise its skills.
The development of vertical AI has allowed for superior automation and intelligence in many business and technology applications. With continued advances in AI and computing power, vertical AI promises to transform more and more sectors through specialised, superhuman competence.
