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In a bold move to solidify its leadership in financial innovation, Bank of America (BofA) has announced a strategic investment of $4 billion in artificial intelligence (AI) and other emerging technologies for 2025—representing nearly a third of its total technology budget.
This significant investment highlights BofA’s continued commitment to integrating regulatory technology solutions that enhance operational efficiency, strengthen compliance management, and improve both customer and employee experiences.
Since launching its AI-powered virtual assistant Erica in 2018—well ahead of the generative AI boom—BofA has steadily expanded its use of AI across various business units. The impact has been substantial:
- Erica for Employees, the internal version of the assistant, is now utilized by over 90% of BofA’s 213,000 employees, reducing IT support calls by more than 50%.
- Developers using generative AI-based coding assistants reported a 20% gain in productivity.
- Employees collectively save tens of thousands of hours annually by leveraging AI to prepare for client meetings—time now redirected toward enhancing client engagement.
- Customer service representatives utilize AI tools to deliver personalized interactions, reducing call handling times and streamlining support workflows.
- Sales and trading teams benefit from a proprietary AI platform that efficiently scans and summarizes BofA research and market commentary.
This multi-faceted adoption of AI serves as a compelling case study for the RegTech industry, demonstrating how compliance automation, data-driven decision-making, and client-centric service can coexist to transform large-scale financial institutions.
“AI is having a transformative effect on employee efficiency and operational excellence,” said Aditya Bhasin, BofA’s Chief Technology and Information Officer. “Our use of AI at scale and around the world enables us to further enhance our capabilities, improve employee productivity and client service, and drive business growth.”
BofA’s AI ecosystem is not only externally focused. Its internal platforms—askMerrill and askPrivate Banking—leveraging the same core AI architecture as Erica, processed over 23 million interactions in 2024, up by 1 million from the previous year. These tools enable teams to locate critical financial data quickly and escalate complex queries to human experts, ensuring regulatory clarity and operational accuracy.
Additionally, BofA is applying AI-driven compliance analytics to improve training and risk mitigation. Through its professional development platform, The Academy, employees completed over 1 million simulated client interactions in 2024, receiving real-time feedback that fosters better service delivery and regulatory compliance.
The bank is also scaling AI-powered tools across its contact centers, using generative AI to summarize customer calls, reducing reliance on manual transcription and enhancing regulatory reporting accuracy.
BofA’s ongoing efforts are underscored by its robust intellectual property portfolio—holding nearly 7,400 patents and pending applications, including over 1,200 dedicated to AI and machine learning. This commitment positions BofA as a global leader in regulatory technology trends and compliance innovation.
As financial institutions continue to navigate evolving regulatory frameworks and rising data privacy demands, BofA’s proactive stance on compliance technology and AI integration signals a powerful shift toward future-ready financial services.
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