According to a survey conducted by NTT Data, Generative AI is playing a crucial role in driving the transition of banking applications to the cloud, as reported by nearly two-thirds of industry professionals.

Despite 89% of the 650 banking leaders identifying themselves as innovators, 63% still rely on mainframe systems, highlighting the continued importance and resilience of mainframe technology in the sector.

However, the survey also reveals that 63% of respondents believe that Generative AI is facilitating the migration to the cloud, marking a transformative phase where the resilience of mainframes converges with the agility of cloud computing.

Furthermore, 91% of respondents indicate that their AI and cloud initiatives have received endorsement from the board, demonstrating strategic prioritization. Nearly half of the banks surveyed have already started integrating Generative AI technology into their tech stacks, while an additional 30% are exploring its potential in the early stages.

Despite this progress, there remains a skills gap, with 80% of respondents acknowledging the lack of a strategic framework for the adoption of Generative AI.

Kaz Nishihata, Director and SEVP at NTT Data, remarks, "The growing momentum of Generative AI in the banking sector reflects the industry's determination to move beyond traditional mainframes. By leveraging cloud environments to bolster security, enhance resilience, foster innovation, and boldly redefine operations, this transition heralds a new era of innovation."