BANK OF AMERICA CORP /DE/BAC

Bank of America warns of operational and regulatory risks from expanded use of AI and autonomous AI agents.

“We use, and expect to increasingly use, emerging technologies, including AI, across our operations, including business processes, services and products, and we expect greater AI adoption by our third parties, clients, counterparties, clearinghouses and financial intermediaries. Expanded use of AI, including emerging third‑party AI services and autonomous AI agents, may result in increased data risk, unpredictable system interactions, inadequate controls or safeguards, AI failure, or produce unintended operations or consequences. AI services used by our clients or third parties may interact with our systems or communicate directly with our employees, and may act without authorization, make execution errors, behave unpredictably or be misaligned with intended outcomes, which could result in additional operational, legal and regulatory risk, and reputational harm.”

Bank of America has deployed multiple AI agents and tools including Erica for operations and efficiency.

“AI Agent Search & Summarization Content Generation Operations & Code Generation • Erica® helps drive efficiencies through self- service across the firm • 20MM active consumer Erica users with nearly 3B interactions since launch in 2018 • CashPro® Chat used by 65% of business, commercial, and corporate clients, with Erica handling >40% of interactions • Erica for Employees used by >90% of teammates, helping to reduce calls to service desk by ~50% • Generative-AI platform used by Global Markets and Global Corporate and Investment Banking to search, summarize, and synthesize internal research and market commentary • ask MERRILL and ask PRIVATE BANK tools designed to efficiently find resources and curate information for advisors, with ~23MM interactions per year • AI tools help to standardize and streamline banker preparation for client meetings • AI tools provide guided assistance to customer service specialists • AI-powered assistant available to ~17,000 software developers, helping to drive efficiency gains • AI-powered chatbot used across Global Markets, Operations, and Technology to automate manual tasks • >50 AI-enabled fraud detection models designed to help detect fraudulent activity more quickly, accurately, and at scale ~7,800 total patents granted & pending Leveraging Artificial Intelligence 4 ~1,400 AI & machine learning patents granted & pending | >250 AI & machine learning models Continuous Innovation”