As the Metaverse hype wanes, fewer UK banks are investing in technologies such as virtual and augmented reality.
Financial services companies scrambled to pursue the Metaverse after Facebook rebranded to Meta in 2021. A 2022 Citi report predicts that the value of the Metaverse economy could reach up to $13 trillion by 2030.
However, according to a survey of 150 UK banking executives conducted by Census for Hexaware Mobquity, the concept has not caught on and is starting to leave the FS sector.
The number of UK banks investing in technologies such as VR and AR in preparation for entering the metaverse has fallen by nearly a third over the past year. Twelve months ago, more than half of UK banks were investing in these technologies, compared to just 38% in 2023.
When asked which emerging technologies and tools they are prioritizing, nearly a quarter cited cybersecurity, 22% cited cloud, and 21% highlighted open banking APIs.
However, research shows that UK banks lag behind other banks globally in adopting generative AI, with only 13% of banks implementing ChatGPT, compared to 19% of global banks. compared to %.
Peter-Jan Van De Venn, Vice President of Global Digital Banking at Hexaware Mobiquity: More urgent requirements that have evolved over the past 12 months. ”
Meanwhile, 41% of UK banks have developed data visualization tools to improve stakeholder engagement and understanding of ESG risks and opportunities, and 37% are using machine learning and AI to improve ESG risks. and identify and track opportunities.
Van De Venn said: “Technology is playing an increasingly central role in ESG, helping banks continue to work towards their environmental and social responsibility goals. , opening up a greener future for financial services.”