AI in Organizations: Transforming Cybersecurity for Financial Institutions

In an era where digital transactions define the financial landscape, the integration of Artificial Intelligence (AI) in cybersecurity represents a pivotal shift in safeguarding financial data and operations. This chapter examines how AI is changing the way major U.S. banks handle cybersecurity. AI started as a supporting tool. Nowadays, AI addresses critical security challenges such as real-time fraud detection and risk prediction. However, the implementation of AI in banking raises important issues about data privacy, the fairness of AI decisions, and the impact on banking jobs. It also poses challenges in scaling these solutions across large banking networks, but at the same time opens opportunities for innovation.This chapter offers an in-depth analysis of the application of AI in cybersecurity practices among the largest U.S. banks. By focusing on specific case studies, we examine the relationship between the banks’ assets and their investment in cybersecurity. This approach highlights how these financial institutions integrate AI into their security frameworks. The findings suggest a future where banking security systems, powered by AI, not only react to threats but also proactively anticipate potential security breaches.