JPMorgan has developed machine learning software that saves the company 360,000 lawyer hours per year. Normally it takes a team of lawyers many hours interpreting the 12,000 commercial-loan agreements that JPMorgan processes per year. With the new Contract Intelligence software nicknamed COIN; JPMorgan is finding far less mistakes being made and it only takes seconds to process a form.
JPMorgan invests heavily into technology by budgeting 9% of their projected revenue into development of new technology. This amount exceeded $1 billion dollars of technology investment over the past two years. They are looking into other systems that can utilize A.I.bots such as credit-default swaps and custody agreements. They have another program called X-Connect that matches potential prospects with acquaintances within the company to arrange introductions. JPMorgan would like to invest 40% of it's budget into technology to get rid of redundant, antiquated systems. Much of this desire to invest into technology comes after the 2014 hack of it's core business networks.
To help spur internal disruption, the company keeps tabs on 2,000 technology ventures, using about 100 in pilot programs that will eventually join the firm’s growing ecosystem of partners. For instance, the bank’s machine-learning software was built with Cloudera Inc., a software firm that JPMorgan first encountered in 2009.
"We’re starting to see the real fruits of our labor," Zames said. "This is not pie-in-the-sky stuff."