Top story: Banking & Lending
Bank of America hired 1,000 contractors to patch AI-exposed vulnerabilities
Bank of America CEO Brian Moynihan told CNBC the bank hired 1,000 contractors to patch software vulnerabilities exposed by advanced AI models, including Anthropic's Mythos. The bank spent a "couple hundred million plus" on software remediation and regulatory issues related to anti-money laundering compliance in the third quarter, Moynihan told analysts. Savings from its about 130 internal AI projects are expected to rise from $300 million this year to $700 million in 2027, Moynihan told analysts.
NoteFor bank operations teams, patching the flaws that advanced models expose is a cost that shows up in quarterly results, and Bank of America expects its remediation costs to decline over time.