AI In Fintech Market Size
| Study Period | 2019 - 2030 |
| Market Size (2025) | USD 18.31 Billion |
| Market Size (2030) | USD 53.30 Billion |
| CAGR (2025 - 2030) | 23.82% |
| Fastest Growing Market | Asia-Pacific |
| Largest Market | North America |
| Market Concentration | Low |
Major Players*Disclaimer: Major Players sorted in no particular order |
AI In Fintech Market Analysis
The AI In Fintech Market size is estimated at USD 18.31 billion in 2025, and is expected to reach USD 53.30 billion by 2030, at a CAGR of 23.82% during the forecast period (2025-2030).
- Payment- and wealth-focused fintech companies have focused on bolstering their existing infrastructure by investing in new resources or expanding their capacity to withstand the stress to their systems from higher transaction volumes. Though it initially seemed challenging for fintech companies, such actions have provided a significant need for AI solutions as these companies depend on transaction volumes for revenue. Such factors are expected to spearhead the demand for AI solutions in the fintech market.
- Financial firms have been the early adopters of the mainframe computer and relational database. They eagerly wait for the next level of computational power. Artificial intelligence (AI) improves results by applying methods derived from the aspects of human intelligence at a broader scale. The computational arms race for past years has revolutionized fintech companies. Technologies such as machine learning, AI, neural networks, Big Data Analytics, and evolutionary algorithms have allowed computers to crunch huge, varied, diverse, and deeper datasets than ever before.
- Moreover, AI and machine learning have benefited banks and fintech as they can process vast amounts of information about customers. This data and information are then compared to obtain results about timely services/products that customers want, which has aided, essentially, in developing customer relations.
- Additionally, machine learning is being adopted at unprecedented rates, specifically to create propensity models. Banks and insurance companies are introducing machine learning-based solutions for web and mobile applications. This has further enhanced real-time target marketing by predicting the product propensity of customers based on behavioral data in real time.
- AI-driven chatbots and virtual assistants are revolutionizing the financial industry, enhancing customer engagement and satisfaction. They deliver immediate, tailored customer support, manage routine queries, suggest products, and aid in account management. These AI-driven services operate round the clock, ensuring customers can seek assistance at any hour. Furthermore, AI platforms analyze customer data, enabling a deeper understanding of preferences and behaviors.
- Moreover, several credit card companies implement predictive analytics into their existing fraud detection workflows to reduce false positives. The market is further gaining traction, with several players offering AI-based anti-money laundering (AML) and fraud detection solutions for credit card companies and other financial institutions.
- AI-ready infrastructure should be capable of efficient data management, have enough processing power, be agile, flexible, and scalable, and have the capacity to accommodate different volumes of data. Therefore, it would be more challenging for fintech small businesses to assemble the necessary hardware and software elements to support AI. Moreover, as the democratization of AI and deep learning applications expands, they are now becoming viable for small and medium-sized businesses and are not limited to only tech giants. The demand for AI professionals to do the work has ballooned as well, and the scarcity of trained resources is the major challenge for AI in fintech.
AI In Fintech Market Trends
Fraud Detection Expected to Witness Significant Market Growth
- Artificial intelligence can assist in identifying rapid and effective ways to detect financial fraud and malpractice. They allow machines to process enormous datasets, which people sometimes struggle with. Using artificial intelligence for fraud detection accurately has various advantages. The ability to compute quickly is a well-known benefit of AI and machine learning. It creates a grasp of a user's app usage habits, such as transaction methods and payments, allowing it to spot anomalies in real time. It reduces false positives and allows specialists to focus on more complex issues because it is more efficient than manual techniques.
- Banks combat fraud through a multi-faceted approach, including encryption, two-factor authentication, AI-powered anomaly detection, and real-time monitoring. Additionally, they prioritize security with routine audits, educate both staff and clients on best practices, and foster collaborations with industry peers to stay ahead of evolving threats. The banking industry faces a range of fraud challenges, from identity theft and credit card fraud to phishing and money laundering. This diversity underscores the need for banks to continually refine their defenses, adapting to the ever-evolving tactics of fraudsters.
- According to a poll conducted by Certified Fraud Examiners (ACFE) and analytics pioneer SAS, the use of artificial intelligence (AI) and machine learning (ML) for fraud detection increased internationally in 2024. According to the poll, 13% of organizations employed artificial intelligence (AI) and machine learning to detect and deter fraud, with another 25% planning to do so in the next year or two, representing roughly 200% growth. According to the poll, fraud examiners identified this and other anti-fraud tech developments to be extensively expanding across industries.
- The players in the market are collaborating to provide better service to customers. For instance, in February 2023, Mastercard partnered with Network International, the Middle East and Africa's premier provider of digital commerce, to address fraud, declines, and chargebacks to minimize costs and risk for acquirers. Through the collaboration, Network planned to roll out Mastercard's Brighterion AI technology across the region, providing acquirers and businesses with transaction fraud screening and merchant monitoring services.
- Further, in March 2023, CSI, a comprehensive fintech and regtech solutions provider, collaborated with Hawk AI, a leading global provider of anti-money laundering (AML) and fraud prevention technologies tailored for banks and payment processors. Together, they unveiled their newest offerings: WatchDOG Fraud and WatchDOG AML. These products leverage advanced artificial intelligence (AI) and machine learning (ML) models to deliver a sophisticated, automated surveillance system. The system has been designed to swiftly identify, monitor, and report any suspicious or fraudulent activities in real time. Specifically, WatchDOG Fraud is adept at spotting emerging fraudulent patterns, regardless of the channel or payment method, by closely analyzing transaction behaviors.
North America Accounting for the Largest Market Share
- North America is expected to dominate the AI in fintech market due to prominent AI software and systems suppliers, combined investments by financial institutions into AI projects, and the adoption of the highest number of AI in fintech solutions. The regional market is expected to experience significant growth over the coming years. Additionally, North America serves as the business hub for many AI fintech firms, with companies like Sidetrade choosing to locate their North American operations in Calgary.
- Government initiatives and investments in AI are driving the market. For instance, in October 2023, the US National Science Foundation allocated USD 10.9 million to bolster research, emphasizing the crucial alignment of artificial intelligence advancements with user safety. Spearheaded by the Safe Learning-Enabled Systems program, a collaboration among the NSF, Open Philanthropy, and Good Ventures, the initiative was aimed to catalyze fundamental research. This research is expected to be pivotal in crafting and deploying computerized learning systems, such as autonomous and generative AI technologies that prioritize safety and resilience.
- The players in the market are collaborating to provide better service to customers in the region. For instance, in June 2024, NatWest, in collaboration with IBM, announced that it was set to unveil Cora+, an enhanced iteration of its digital assistant, Cora, during London Tech Week. This move would position NatWest as a pioneer among UK banks, being among the first to leverage generative AI in a digital assistant. Powered by natural language processing and machine learning technologies, Cora provides round-the-clock assistance to customers, addressing their banking queries. In 2023 alone, this digital assistant handled a notable 10.8 million queries, showcasing a significant surge from the 5 million queries it managed in 2019.
- Some companies' solutions help businesses grow retail banking with next-best-action software, detect and combat financial fraud, and improve client relationships with multichannel customer experience solutions. For instance, in January 2023, Inscribe, a company dedicated to combating financial fraud, secured a substantial USD 25 million in funding, bolstering its efforts with cutting-edge artificial intelligence. Inscribe's AI technology meticulously parses, classifies, and cross-references financial onboarding documents, pinpointing any disparities between the submitted papers and the retrieved records. Leveraging its AI-driven fraud detection, Inscribe not only highlights inconsistencies but also automatically creates personalized risk profiles for each customer. These profiles, enriched with insights from bank statements and transaction histories, are crafted from key document details like names, addresses, and financial transactions.
- Banks in the region have started using blockchain technology to record data and combat fraud. Blockchain records the details of each transaction, making it easier to detect hacker attempts. This technology permits worldwide payments and allows for speedy transactions with low commissions. The Distributed Ledger Technology (DLT) of blockchain assists in the recording and sharing of data across different stores and a distributed network. Furthermore, cryptographic and algorithmic methods synchronize data across the financial network. This is a significant step since transaction data can be stored in different locations, paving the way for blockchain interoperability and cross-industry data exchange.
AI In Fintech Industry Overview
The AI in fintech market is becoming fragmented due to many global players operating worldwide. Various acquisitions and collaborations of large companies are expected to occur shortly, focusing on innovation. Some major players in the market include IBM Corporation, Intel Corporation, Narrative Science, and Microsoft Corporation.
- In May 2024, Visa, in a strategic move, rolled out an AI-driven real-time fraud detection service in the United Kingdom, specifically targeting account-to-account (A2A) fraud. Following a successful pilot, which unearthed a significant 54% more fraud than traditional bank systems, Visa announced that it would be extending this service, dubbed "Visa Protect for A2A Payments," to all UK banks.
- In June 2024, Oscilar, a prominent provider of advanced risk technology solutions for fintechs and financial institutions, unveiled its latest innovation, the AI-driven ACH Fraud Detection tool. This advanced solution swiftly and accurately detects and halts fraudulent transactions. It achieves this through a blend of sophisticated machine learning algorithms, generative AI methods, and real-time data analysis, ensuring both speed and precision.
AI In Fintech Market Leaders
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IBM Corporation
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Intel Corporation
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ComplyAdvantage.com
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Narrative Science
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Amazon Web Services, Inc.
- *Disclaimer: Major Players sorted in no particular order
AI In Fintech Market News
- February 2024: Payments giant Mastercard built its own proprietary generative artificial intelligence model to help thousands of banks in its network detect and root out fraudulent transactions. According to the company, its new advanced AI model, Decision Intelligence Pro, would allow banks to better assess suspicious transactions on its network in real time and determine whether they are legitimate or not.
- April 2024: Cognizant unveiled a strategic partnership with FICO, a prominent analytics software firm, to introduce a cloud-based, real-time payment fraud prevention solution. This innovative solution, driven by FICO Falcon Fraud Manager, harnesses both companies’ advanced AI and ML technologies. It has been tailored to assist banks and payment service providers in North America, safeguarding their clientele amid the rapid expansion of digital payment platforms.
AI In Fintech Industry Segmentation
Data analysis using AI data mining tools assists fintech organizations in gathering numerous angles of information and leads to data silos. AI and ML assist organizations in gathering numerous facets of data and in ingesting, analyzing, cleaning, and archiving the data by revealing useful information.
The AI in fintech market is segmented by type into solutions and services. By deployment, the market is segmented into cloud and on-premise. By application, the market is segmented into chatbots, credit scoring, quantitative and asset management, fraud detection, and other applications. By geography, the market is segmented into North America, Europe, Asia-Pacific, Latin America, and the Middle East and Africa. The market sizes and forecasts are provided in terms of value (USD) for all the above segments.
| By Type | Solutions |
| Services | |
| By Deployment | Cloud |
| On-premise | |
| By Application | Chatbots |
| Credit Scoring | |
| Quantitative & Asset Management | |
| Fraud Detection | |
| Other Applications | |
| By Geography | North America |
| Europe | |
| Asia-Pacific | |
| Latin America | |
| Middle East and Africa |
| Solutions |
| Services |
| Cloud |
| On-premise |
| Chatbots |
| Credit Scoring |
| Quantitative & Asset Management |
| Fraud Detection |
| Other Applications |
| North America |
| Europe |
| Asia-Pacific |
| Latin America |
| Middle East and Africa |
AI in Fintech Market Research FAQs
How big is the AI In Fintech Market?
The AI In Fintech Market size is expected to reach USD 18.31 billion in 2025 and grow at a CAGR of 23.82% to reach USD 53.30 billion by 2030.
What is the current AI In Fintech Market size?
In 2025, the AI In Fintech Market size is expected to reach USD 18.31 billion.
Who are the key players in AI In Fintech Market?
IBM Corporation, Intel Corporation, ComplyAdvantage.com, Narrative Science and Amazon Web Services, Inc. are the major companies operating in the AI In Fintech Market.
Which is the fastest growing region in AI In Fintech Market?
Asia-Pacific is estimated to grow at the highest CAGR over the forecast period (2025-2030).
Which region has the biggest share in AI In Fintech Market?
In 2025, the North America accounts for the largest market share in AI In Fintech Market.
What years does this AI In Fintech Market cover, and what was the market size in 2024?
In 2024, the AI In Fintech Market size was estimated at USD 13.95 billion. The report covers the AI In Fintech Market historical market size for years: 2019, 2020, 2021, 2022, 2023 and 2024. The report also forecasts the AI In Fintech Market size for years: 2025, 2026, 2027, 2028, 2029 and 2030.
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AI in Fintech Industry Report
The global market for artificial intelligence (AI) in fintech is witnessing remarkable growth, revolutionizing financial services with solutions for fraud detection, customer service, and personalized financial advice. The integration of AI technologies, including advanced chatbots and machine learning algorithms, is enhancing operational efficiencies and customer experiences. The market, segmented by components, deployment, and applications, sees a high demand for business analytics and customer behavioral analytics, with cloud deployment expected to surge due to its scalability. North America leads in AI for fintech, but the Asia Pacific region is set for rapid growth, driven by digitalization and government support. Strategic partnerships among fintech firms are fueling market expansion, with AI's application in fintech poised for wider adoption, promising significant market growth and industry transformation. For detailed insights, Mordor Intelligence™ offers a comprehensive analysis and forecast on the AI in fintech market, available as a free PDF download.
