Stanley’s Musings - Fintech, Banking & Payments News #2

Thoughts on fintech, banking, payments, risk management, AI, going green, economics, business and much more…

The latest edition is now available - HERE 

What will it take to control AI?

The Economist brought together Yuval Noah Harari and Mustafa Suleyman to grapple with the biggest technological revolution of our times. They debate the impact of AI on our immediate futures, how the technology can be controlled and whether it could ever have agency.

Ukraine tech sector goes to war

From the production of cheap battlefield drones to AI-powered missile detection, Ukrainian tech start-ups, IT workers and volunteers have been developing military tech and putting themselves on the front line of the war effort

The future of war

New technology is transforming the way wars are fought, and not just in Ukraine. 

As tension increases between China and America over Taiwan, what does the future of war look like?

How AI Is Already Reshaping White-Collar Work

Artificial intelligence doesn’t just make fantastical images. 

For white-collar workers, generative AI like ChatGPT can make jobs easier by creating drafts of documents or presentations. Initial images, video and product designs could be taken over by machine learning tech. 

In fact, one report says nearly 4,000 workers lost their jobs in May to AI. 

Dropbox cut 16% of its workforce in part to invest more in the tech, while IBM sees a future where 30% of clerical work could be taken over by AI. 

WSJ explains why AI may take some white-collar jobs – but also add new ones.

Google’s New AI Tool: Anti-Money-Laundering for Banks

Google Cloud has a new artificial-intelligence tool that tackles money laundering for banks. 

But how does this product differ from those already on the market? WSJ reporter Dylan Tokar joins host Julie Chang to discuss.

The Best AI Tools Right Now

There are so many new AI-powered programs out there. Deciding which ones to try can be overwhelming. But worry not! 

WSJ personal-tech reporting assistant Cordilia James put together a list to get you started. She joins host Julie Chang for a quick rundown of the best AI apps.

What Snap CEO Has Learned From Snapchat's New AI Chatbot

Snapchat launched an AI chatbot recently. And as users flooded to the feature, CEO Evan Spiegel says he discovered users’ embrace of AI could improve targeted advertising. 

Spiegel spoke at the WSJ’s Journal House during the Cannes Lions International Festival this week. 

We bring you highlights from that conversation. Julie Chang hosts.

The EU’s AI Act, Explained - WSJ Tech News Briefing

The surge in artificial intelligence tools have led to increased calls for regulation. And one place where those rules are beginning to take shape is Europe.

Inside OpenAI, the Architect of ChatGPT - Bloomberg, The Circuit

In this episode of The Circuit, Emily Chang visits OpenAI’s futuristic offices to meet with Mira Murati, the company’s Chief Technology Officer. OpenAI is behind smash hits ChatGPT and Dall-E. Murati discusses both the bright future and potential risks of a world with widespread artificial intelligence. 

For perspective on the AI gold rush sweeping Silicon Valley, Chang meets with early OpenAI investor and LinkedIn Co-Founder Reid Hoffman for insight on OpenAI’s early days and where the VC money flows next.

Generative AI: what is it good for?

Generative AI is the technology behind the wave of new online tools used by millions around the world. As the technology is ever more widely deployed, what are its current strengths and its weaknesses?

The Absurdity of Nvidia's Valuation

A look at the fascinating world of Nvidia, the semiconductor company that has taken the market by storm. 

With a staggering market cap of $750 billion, Nvidia has become the 6th most valuable company globally, surpassing giants like Berkshire Hathaway, Meta, and Tesla. 

However, the intriguing part is that despite its impressive market capitalization, Nvidia doesn't even rank in the top 100 in terms of revenue and net income. 

Join us as we explore the valuation of Nvidia, which becomes even more astonishing considering the current historic chip glut and the drastic decline in PC sales over the past two decades. Despite these challenges, Nvidia's revenue has dropped nearly 30% since its peak last year, and its net income has been halved due to falling GPU prices. 

We'll also examine the unique phenomenon of "pandemic round trips" experienced by many technology stocks, including Nvidia. While the company faced a 65% decline in share price and diminishing profits in 2022, its stock has more than doubled in recent months, nearly reclaiming its pandemic highs.

Surprisingly, this rally can be largely attributed to the hype surrounding Chat GPT and generative AI, as generative AI models heavily rely on Nvidia's graphics cards for their immense computing power requirements. 

Drawing parallels to Cisco, the internet infrastructure giant of the dot com era, we analyze the similarities between Nvidia's position today and Cisco's during the late 90s and early 2000s. 

Cisco experienced an explosive increase in revenue as companies scrambled to connect to the internet, leading to an unjustifiable bubble in its share price. When the bubble burst, Cisco's stock plummeted by 90% and has struggled to recover even after two decades. 

The question arises: will Nvidia suffer a similar fate, or is this time different? 

Join us as we explore the prospects and potential risks associated with Nvidia's soaring share price and evaluate whether it can withstand the test of time and market fluctuations. 

Discover whether Nvidia truly holds the key to benefiting from the forthcoming AI gold rush or if caution is warranted. 

Don't miss this insightful analysis of Nvidia's past, present, and future. Like and subscribe to our channel for more in-depth discussions on the latest trends and developments in the tech industry.

How to stop AI going rogue

Artificial intelligence is improving so fast that no one knows what it might be capable of. It brings huge opportunities, but also huge risks. Arjun Ramani, The Economist's global business and economics correspondent, explains what could go wrong.

Cheating With ChatGPT: Can OpenAI’s Chatbot Pass AP Lit?

ChatGPT, OpenAI’s new artificially intelligent chatbot, can write essays on complex topics. WSJ’s Joanna Stern went back to high school AP Literature for a day to see if she could pass the class using just

It’s Time to Pay Attention to A.I. - ChatGPT and Beyond

Imagine being able to have a language conversation about anything with a computer. This is now possible and available to many people for the first time with ChatGPT. 

In this episode we take a look at the consequences and some interesting insights from Open AI’s CEO Sam Altman.

'Tesla as the World’s Biggest Robot Company' Elon Musk on AI and U.S. Innovation

Watch Tesla CEO Elon Musk in an interview with WSJ’s Joanna Stern at the CEO Council Summit.

A Look into the Future - Year 2050

The world is advancing at unprecedented rates and by 2050, we can expect to see life on earth change drastically. If this is true, then what can we expect from the future? Lets time travel into world in 2050.

Nanotechnology  

Scientists have already made great leaps in the world of nanotechnology and they remain unrelenting in making more of such progress. Nanotechnology has the potential to change everything, from the way we behave to how we interact with each other. 

Transportation  

By 2050, Transportation would have changed immensely. We’re already seeing self-driving cars in their early phases of trial and error, so in three decades, it's safe to say we should have the technology for true self-driving vehicles. 

Space Exploration 

One promise that many people are still waiting on is one of space-exploration. Companies like SpaceX and Blue Origin are making strides towards their respective goals of spatial exploration and colonization out of this world. 

Artificial Intelligence 

AI is already much more advanced than it was ten years ago, and it will only continue to witness rapid and exponential developments. Experts like John Maeda believe that AI will have surpassed the processing power of all living brains on Earth in the near future. To properly function in that kind of society, it will be necessary to work together with these new systems to make sure that the preservation of important human values is carried forward. 

Education 

Education is another industry that will see a drastic change in the next thirty years. According to experts, at least 90 percent of the student population will be pursuing online degrees by 2050. Unless the world devolves into an apocalypse, education will continue to be more globalized, and more solutions will come that allow more people to receive good education efficiently. 

 

Trapped in the Metaverse: Here’s What 24 Hours in VR Feels Like

Everyone is blabbing about the metaverse. But what does this future digital world look like? WSJ’s Joanna Stern checked into a hotel and strapped on a virtual-reality headset for the day. She went to work meetings, hung out with new avatar friends and attended virtual shows.

 

Could Autonomous Trucks Finally Solve the Truck Driver Shortage?

While a lot of the attention around autonomous driving is focused on robotaxis, driverless trucks may actually have an easier and quicker route to market, and could present a solution to a driver shortage in the U.S.. So could they be the answer the industry is looking for? To find out, WSJ's George Downs spoke to Aurora and Embark as the companies were making their stock market debut.

 

“TOP READS OF THE WEEK” (for week 30 October to 5 November)

This is the final edition of TOP READS OF THE WEEK in this format.

However, you can still get all the top reads in banking, fintech, payments, cybersecurity, AI, IoT, risk management by reading / subscribing to the “Citadel Advantage News Digest”.

The Citadel Advantage News Digest is published at least twice a week with all the latest news on Banking, Fintech, Payments, Operations Risk and much, much more. Check it out!

Subscribe to our newsletter click HERE. Under the topmost item “Newsletter” click on “Start reading” to access.

In this weeks selection;

Top Reads

• Meta CEO Zuckerberg predicts the metaverse will be mainstream in 5-10 years
• Banks' green pledges under scrutiny
• What We Can Learn From The Sub-Saharan African FinTech Infrastructure
• Sorry, Mark. You Don't Own the Metaverse
• Starling CEO says open banking a flop: Other fintech chiefs beg to differ
• Citi makes COVID-19 vaccine mandatory for 65,000 US employees
• Regulator previews coming crypto, stablecoin policy
• Fintech Apps Still Depend on Old-School Banks to Move Money
• A Battle for Earth: 5 Ways IoT Can Help Save Our Planet
• Elon Musks Lessons In Business Scaling
• The advantages of an AI/ML-enabled search engine for FDA records
• UK regulators warn financial sector still failing to account for key climate risks
• Protecting The United States' Critical Infrastructure From Cyberattacks
• Global rule maker created for ESG disclosure standards
• Pandora Papers highlight the importance of PEP checks as part of AML armoury

From our Blog

• The Great Resignation: Why Millions Of Workers Are Quitting
• Facebook Name Change Signals High-Stakes Race for 'Metaverse'
• China's Race for AI Supremacy
• Understanding and Responding to Bribery & Corruption Red Flags
• See what three degrees of global warming looks like
• The Cost to Reduce Global Warming? $131 Trillion Is One Answer