For firms who utilise technologies such as robo-advice, big data analytics, and AI interactions with consumers, there are opportunities for cost reductions and delivering of efficiencies and also the potential for cheaper products and accessibility for customers. However, there are also risks for consumers where AI is concerned. Bias can creep into algorithms.
AI systems are trained on data and if this data contains biased human decisions or if the data suffers from selection bias, then the AI output may be problematic.