Risk Manager + AI: Banking's Getting the AI Jitters, AIceberg Secures $10M for Trust Platform, the Rise of 'Bring Your Own AI'

From improving coverage to enhancing operational efficiency, AI is reshaping the way risk is managed from the enterprise to SMB. We are here to explore the latest trends and insights in risk management and AI, without wasting your time. What you need to know today, nothing more. Find more on our site. 

• Banking's Getting the AI Jitters

• AIceberg Secures $10M for Trust Platform

• Harnessing AI Risks with FAIR-CAM

• AI Takes the Helm in Incident Management

• The Rise of 'Bring Your Own AI'

Banking's Getting the AI Jitters

The banking industry is treading cautiously into the world of artificial intelligence. Despite the tech's potential, there’s an undercurrent of anxiety around operational risks. Banks are wrestling with how to integrate AI while keeping risk assessment tight.

By the Numbers:

- 75% of banking executives say they are concerned about AI-related risks.

- $200 billion is projected to be spent on AI tech in financial services by 2025.

- 60% of banks report a skills gap in AI expertise.

Why It Matters: AI could revolutionize banking, but the potential pitfalls make financial institutions wary of diving in headfirst.

What's Next: Banks will need to bolster their AI strategies and ensure robust compliance frameworks. Regulatory bodies are expected to tighten oversight, prompting more investment in AI talent and risk management solutions. Read More

There’s a reason 400,000 professionals read this daily.

Join The AI Report, trusted by 400,000+ professionals at Google, Microsoft, and OpenAI. Get daily insights, tools, and strategies to master practical AI skills that drive results.

Sign up now for free and work smarter, not harder.

AIceberg Secures $10M for Trust Platform

AIceberg has just closed a $10 million seed round to develop their AI trust platform. This funding aims to bolster their efforts in creating a safer AI ecosystem. With a team that boasts deep expertise in AI, cybersecurity, and risk management, they are set to make waves in the industry.

- Includes new safety guardrails for safety

- Targeting compliance, transparency, and auditability

- Explainable, non-generative AI models

- Insight across all AI interactions

Why It Matters: As AI becomes more integrated into daily operations, trust and safety are becoming increasingly critical. AIceberg is poised to address these concerns head-on.

What They’re Saying: “Organizations adopting generative and agentic AI face critical challenges in ensuring safety, security, and compliance. Additionally, many are operating with a false sense of security because while AI TRiSM solutions powered by LLMs seem convenient, using LLMs to safeguard LLMs introduces systemic risks and architectural limitations that undermine their effectiveness. We are closing the security gap with AIceberg. Purpose-built, non-generative models to detect risk signals support safe AI adoption, AIceberg works independently of AI applications, using the content of input and output to detect and eliminate risks and power safe, secure, compliant use of generative models and agentic workflows across the enterprise. We thank our customers and investors for their support as we enter our next phase of growth and continue to innovate to ensure security and safety.” — Alex Schlager, CEO at AIceberg

What's Next: The funds will be used to further develop AIceberg's platform and expand its market reach. The team is focused on refining their technology to ensure robust AI safety measures. Read More

Harnessing AI Risks with FAIR-CAM

AI's rise is reshaping risk management frameworks. Cybersecurity leaders are grappling with complex risks, and the stakes are higher than ever. Enter the FAIR-CAM framework, a novel approach to operationalizing the FAIR principles for AI risk management. This method promises to streamline risk assessments and enhance decision-making in the AI era.

- 75% of cybersecurity leaders report increased complexity in managing AI risks.

- FAIR principles have been adopted by over 100 organizations worldwide.

- Implementation of FAIR-CAM can reduce risk assessment time by up to 40%.

Why It Matters: Managing AI risks effectively is crucial as AI systems become more prevalent and impactful.

What's Next: Organizations are beginning to integrate FAIR-CAM into their current risk management strategies. As adoption grows, we'll likely see refined methodologies and increasingly robust AI systems.

AI Takes the Helm in Incident Management

AI-driven incident management is stepping into the spotlight, promising to revolutionize how teams handle risk. By harnessing advanced algorithms, responders can now benefit from real-time insights, such as impact assessment and priority scoring, to streamline their operations. The integration of AI tools is empowering teams to make faster, data-driven decisions, ultimately enhancing their capability to manage incidents effectively.

- 75% of organizations are expected to incorporate AI in risk management by 2025.

- AI can reduce incident response times by up to 40%.

- 90% of companies report improved decision-making with AI insights.

Why It Matters: AI is not just augmenting human capabilities but transforming the entire risk management landscape, making it more responsive and efficient.

What's Next: Expect an increase in AI adoption across various sectors as companies seek to harness its full potential. Future developments may include more sophisticated AI models that can predict incidents before they occur. As AI technology advances, the boundary between human and machine decision-making will continue to blur. Learn More

The Rise of 'Bring Your Own AI'

Generative AI is everywhere, and employees are starting to bring their own AI tools into the workplace. This trend is packed with potential benefits like increased productivity but also comes with a suitcase of risks that many organizations aren't ready to handle. Companies need to figure out how to manage this influx before it gets unmanageable.

- 58% of employees are already using some form of AI at work.

- Only 30% of organizations have a policy on personal AI tool usage.

- 42% of IT leaders say they feel unprepared to manage AI-related risks.

Why It Matters: The rise of personal AI tools in the workplace could either result in a productivity boom or open floodgates to unforeseen security and compliance issues.

What's Next: Organizations need to adopt robust policies and training programs to handle this new wave of technology. Leaders should engage with IT and risk management teams to develop strategies that address both benefits and risks. Read More