AI push is putting banks at mercy of tech firms, warns Moody’s

Moody's has warned that the race to adopt AI is putting big banks at the mercy of a small group of Silicon Valley firms, leaving them vulnerable to widespread outages and price gouging. The rating agency said the financial sector's AI integration will eventually cut costs and increase revenues but requires substantial investment and creates risks.

AI push is putting banks at mercy of tech firms, warns Moody’s By Kalyeena Makortoff Banking correspondentSource: The Guardian Technology https://www.theguardian.com/us/technology Finance sector will gain from the tech but it will need substantial investment and create risks, says rating agency The rating agency Moody’s has said the race to adopt AI is putting big banks at the mercy of a small group of Silicon Valley firms, leaving them vulnerable to widespread outages and price gouging by profit-hungry tech bosses. The financial sector’s efforts to integrate AI into day-to-day operations will eventually cut costs and increase revenues across the City and Wall Street, Moody’s said. Continue reading... https://www.theguardian.com/business/2026/aug/09/ai-push-banks-tech-firms-moodys-risks-financial-sector Get AI news in your inbox Daily digest of what matters in AI.