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will help move banks away from offerings for each individual. This transition not only poses a challenge but
screen-scraping as a data-sharing also presents an opportunity."Safadi went on to say that AI has the potential
mechanism and toward publishing to centralize and grant access to everyday data encountered by most organiza-
APIs, hopefully using the FDX stan- tions. The focus should pivot to creating dynamic product offerings that align
dard. The proposed rule will make it with each customer's stage of life, priorities and preferences, he added.
easier for consumers to break up with
banks that provide bad services by of- Venkataraman Balasubramanian (Bala), CTO at Zain, suggested generative AI
fering data portability, which is akin is a subset of AI and embedded analytics. "In the same vein that generative AI
to keeping a cell phone number when is an opportunity, it is also overhyped," he said. "As an LLM-based technol-
changing carriers, Van Huffel stated. ogy, generative AI needs a body of literature to review, and if more and more
Noting that Gen Z will make up 27 content providers protect their content and stricter regulations come into play,
percent of the labor force by 2025, he then it may be used less."
suggested enhanced data portability
will help banks and credit unions re- What's old is new again
tain customers while attracting this Reflecting on the cyclical payments journey, DECTA's Dawson noted that AI is
vital demographic. hardly new. "The payments industry has been using artificial intelligence and
machine learning for years," he said. "Every time you make a payment, anti-
"A growing number of financial insti- fraud checks are carried out by what are effectively AIs, and it's been this way
tutions will adopt open banking and for years." AIs can help users create realistic words and images, but Dawson
embedded finance strategies, leading believes organizations would rather use AI to increase productivity than chase
to the creation of new ecosystems in a moonshot. The basis of AI technology has been around for years, he said, but
partnership with fintechs," he said. it really took off in 2023, thanks to ChatGPT. Regulators will be hard-pressed to
"This will require a move from old keep up with technology that evolves this fast or anticipate its full capabilities,
fashioned 'dev portals' to modern he added.
storefront technology that allows
API curation and productization, au-
tomated onboarding of third-party Dale S. Laszig, senior staff writer at The Green Sheet and founder and CEO at DSL Direct LLC, is
vendors who will consume these API a payments industry journalist and content strategist. Connect via email dale@dsldirectllc.com,
products, subscription management, LinkedIn www.linkedin.com/in/dalelaszig/ and Twitter https://twitter.com/DSLdirect
and greater API adoption."
Artificial and human intelligence

One of the biggest developments of
2023 was the emergence of generative
AI, which Leach expects will follow
the same cycle as other disruptors
that require enterprises to re-evalu-
ate approaches to authentication and
transaction security.

"Because so many marketers have
overly used the term in every email,
I've seen senior payment leaders be-
gin to think this was just the popular
word du jour," he said. "This will be
transformative and follows the same
cycle of the internet, smart mobile
devices and cloud computing as the
next very disruptive technology that
will be much more quickly adopted
and force the speed of business to op-
erate faster and differently."

Charbel Safadi, president of modern-
ization and transformation at Zafin,
added, "Many organizations are con-
sidering the adoption of generative
AI technologies. The central question
revolves around how AI can effec-
tively be utilized to reassess and im-
prove product design, customizing
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