Data centers to train and run AI may soon contain millions of chips, cost hundreds of billions of dollars, and require power equivalent to a large city’s electricity grid, if the current trends hold, according to a new study from researchers at Georgetown, Epoch AI, and Rand. The co-authors compiled and analyzed a dataset of over 500 AI data center projects and found that, while the computational performance of data centers is more than doubling annually, so are the power requirements and capital expenditures. The findings illustrate the challenge in building the necessary infrastructure to support the development of AI technologies in the coming decade. According to the Georgetown, Epoch, and Rand study, the hardware costs for AI data centers like xAI’s Colossus, which has a price tag of around $7 billion, increased 1.9x each year between 2019 and 2025, while power needs climbed 2x annually over the same period. The study also found that data centers have become much more energy efficient in the last five years, with one key metric — computational performance per watt — increasing 1.34x each year from 2019 to 2025. Yet these improvements won’t be enough to make up for growing power needs. By June 2030, the leading AI data center may have 2 million AI chips, cost $200 billion, and require 9 GW of power — roughly the output of nine nuclear reactors.
Wells Fargo confirms termination of 2018 CFPB Compliance Consent Order “demonstrating that we have completed much of our common risk and control infrastructure work”
Wells Fargo today confirmed that the Consumer Financial Protection Bureau’s (CFPB) 2018 consent order related to the company’s compliance risk management program has terminated. This is the twelfth consent order closed by Wells Fargo’s regulators since 2019 and the sixth since the beginning of the year. Charlie Scharf, Wells Fargo’s CEO, said of today’s news: “Today’s termination, along with the recent closure of other consent orders, demonstrates that we have completed much of our common risk and control infrastructure work, including work that is required by other orders. I am proud of the work done by our teams and remain confident that we will complete the work needed to close our other open consent orders. Wells Fargo is a different and stronger company today as we focus on creating long-term value for our customers, clients, communities and shareholders.”
Truist’s new alias-based bill payment solution uses nearly 150 million previously enrolled U.S. mobile and email tokens to deliver corresponding real-time confirmation and instant settlement via the RTP system
Truist Financial Corporation announced the successful completion of the initial testing phase of an innovative alias-based bill payment solution that leverages The Clearing House’s RTP network and Request for Payment (RfP) platform. The achievement positions Truist as the first financial institution to send and receive alias-based RfPs for transactions and deliver corresponding real-time payment and settlement via the RTP system. The solution will ultimately enable businesses to offer faster, simpler, more secure, and cost-effective bill payments. Consumers will benefit from greater control and transparency. The payment process will be streamlined for speed and simplicity — for both billers and consumers — by using nearly 150 million previously enrolled U.S. mobile and email tokens. To meet small business and consumer demands for speed, transparency, financial control, and security, this enhanced bill pay solution will deliver faster processing, easy account monitoring, and tokenized fraud protection. Additionally, consumers will receive immediate confirmation their payment has been received and subsequent confirmation it has been applied. Key benefits for large corporate billers will include: Immediate payment validation; Accelerated cash flow; Streamlined data management; Enhanced data security; Reduced operational costs.
Discover to promote fintech Bluecode to enable local mobile wallet solutions for cross-border payments
Discover balances innovation with security in digital payments, preparing for CBDCs while enhancing cross-border transactions through partnerships. The world’s payments landscape is rapidly shifting away from cash and cheques toward digital solutions. With research showing 82% of consumers interested in instant payments and 92% of merchants anticipating significant value from these technologies, financial institutions must evolve quickly. Discover is positioning itself at the forefront of this revolution, balancing innovation with robust security measures while preparing for emerging technologies like Central Bank Digital Currencies. Tribh Grewal, Director of International Product Strategy and Business Development at Discover, says ” At Discover® Network, we are embracing technology solutions and forging partnerships to meet our customer’s needs. We have built a strong foundation through nearly a decade of continuously increasing volume and cards in force. Our model enables us to grow rapidly, help partners gain global scale and keep payments more secure and efficient for cardholders. We remain dedicated to developing strategic partnerships that enhance scale. For example, our collaboration with Fintechs like Nium, Fyorin, and Pax2pay facilitates secure and scalable global payments. Enabling new partners to issue Diners Club commercial B2B products on the Discover Network, we provide travel intermediaries with increased payment flexibility and acceptance. Additionally, we recently announced that the European mobile payment solution, Bluecode, will soon be accepted worldwide at millions of merchant locations through our network and enable local mobile wallet solutions for cross-border payments. Discover’s Enhanced Decisioning is a sophisticated fraud management solution that empowers merchants to enhance authorisation messages for Card-Not-Present (CNP) transactions by including additional customer data. This initiative allows consumers to complete purchases more seamlessly, minimising the friction caused by false declines. Merchants benefit from the system’s ability to block risky transactions while ensuring the approval of valid ones, ultimately leading to a reduction in disputes. Beyond transaction monitoring, we are also enhancing collaboration across the payment’s ecosystem. Our account management tools enable the secure exchange of information with other entities in the network — supporting acquirers in identifying and closing potential merchant loopholes. Through our High Brand Risk programme, we work closely with acquirers to identify, register, and manage merchants operating in higher-risk sectors, such as online gambling or cryptocurrency. The growing complexity of the payments landscape means that collaboration in the industry is important to reduce friction. For example, our recent partnership with Fyorin, a leading provider of financial operations solutions, enables us to offer Business-to-Business virtual cards. These virtual cards simplify cross-border transactions by reducing operational friction, lowering costs, curbing currency conversion fees, and streamlining reconciliation processes for companies active in multiple markets. Looking ahead, data and network intelligence will be central for unlocking the true potential of international payments. By leveraging advanced analytics, we can gain deeper insights into transaction flows, foreign exchange dynamics, and risk management, empowering businesses to navigate global payment complexities with confidence.
Capital One to support four wellness and community development organizations, and open new café in The Bronx tied to the acquisition of Discover Financial Services
Capital One announced a $1 million investment in The Bronx. This investment signals the start of a series of investments that Capital One will be making in low- and moderate-income communities across New York and nationwide as part of its $265 billion, five-year Community Benefits Plan (CBP), tied to the company’s recently approved acquisition of Discover Financial Services. The funds announced today will provide direct support to startup incubators, bolster the local business improvement district, expand small business loan programs and offer technical assistance and financial counseling to entrepreneurs and residents. “As Capital One prepares to unlock the historic $265 billion Community Benefits Plan related to our acquisition of Discover Financial, we are taking a meaningful step to partner with 4 innovative organizations who are investing in the Bronx’s small business ecosystem,” said Kerone Vatel, Senior Vice President, Community Finance, Impact & Investment at Capital One. This new investment will be highlighted tomorrow at the grand opening celebration of the Capital One Café at Fordham Road in The Bronx, which serves as a reimagined banking experience providing expanded financial access to members of the community. The Café—the fifth in New York City and part of Capital One’s growing network of 60 nationwide—is designed to provide financial literacy resources, programming and a welcoming environment for all, whether they are Capital One customers or not. The $1 million investment will support new and existing partnerships in The Bronx, contributing to the neighborhood’s financial wellness and community development, through grants for the four following organizations:
- Ariva: Capital One is deepening its partnership with the financial well-being organization to invest $200,000 in its Small Business Program, Free Tax Prep and Individual Financial Counseling and Coaching programs.
- Bronx Economic Development Corporation (BXEDC): In collaboration with The Bronx Borough President, Capital One is investing $400,000 to support BXEDC in growing the Small Business Loan Program.
- Fordham Road Business Improvement District (BID): Through a newly established partnership, Capital One will fund $200,000 in general operating support for the BID to provide resource navigation and capacity-building services to the local small business corridor.
- Lehman College: Capital One is advancing its partnership with the college to provide $200,000 for the Bronx Business Tech Incubator to support small businesses, entrepreneurs and freelancers.
SoFi offers new refinance option allowing reduced student loan repayments to be used for nine months to support life transitions like finding a new job, relocating to a new city, or searching for a new home
SoFi is making student loan repayment more flexible with the launch of SmartStart, a new refinance option. With SmartStart, people can put money they’d otherwise use on student loan payments in the first nine months towards supporting life transitions like finding a new job, relocating to a new city, or searching for a new home. With SmartStart, members can refinance their student loans and pay only the interest for their first nine months. This keeps minimum monthly payments low and eases financial stress as they start their next chapter. For example, a member refinancing $50,000 in loans over a 10-year term could reduce their monthly payments by more than $3,000 during their first nine months.2 After the first nine months, members will start paying the principal and interest for the remainder of the loan. SmartStart loans come with SoFi’s competitive fixed interest rates and flexible terms of up to 20 years, providing members with control over the amount they pay each month and more predictability over their budgets. Anthony Noto, CEO of SoFi. “With SmartStart, members get lower payments in the early part of their loans as they make important life transitions. There are endless ways SoFi will innovate to help our members spend less than they make and invest the rest, and that’s exactly what we’re doing with SmartStart.” Through competitive interest rates, no hidden fees, and flexible repayment options, SoFi members have saved thousands of dollars over the life of their loans. SoFi makes it easier for borrowers to lower their monthly payments, reduce their total interest costs, and pay off their loans faster. SoFi members also get access to benefits like financial planning tools, and member events, ensuring that refinancing isn’t just about saving money—it’s about setting yourself up for long-term success.
BAI: Granular benchmarking data can reveal digital banking onboarding hurdles and its solutions
Growing new banking customer acquisition through digital checking accounts required the best combined efforts of a super-regional bank’s product and digital channel teams, with internal marketing and its agency partners invested heavily in attracting target prospects. Robust marketing drove prospects to a digital checking account application, but a high abandonment rate perplexed the bank. To justify the front-end marketing spending as well as the new resources required for a process redesign meant that these strategists needed an iron-clad case. They could pitch reformulated questions and how a smoother process might look. But more importantly, they needed real evidence to quantify the projected improvement in the volume of new accounts and higher average balances with those new openings. That’s where the granularity and analysis that peer benchmarking delivers made a difference. Supplied with benchmarking that gave a clear snapshot of their digital peers and bolstered by the quality of prospects that were trickling through, the bank focused on the account application process and cross-referenced internal data that identified two, specific Know Your Customer (KYC) and credit-check access questions of the application. It was here that several prospects went cold. That is, there was a noticeable drop-off in data input on applications right at that spot. Some applicants paused for a considerable time and were still willing to push through; many abandoned all together. Importantly, benchmarking doesn’t provide the entire solution. KYC and credit questions, for instance, are valuable must-ask application points from a risk perspective. These lines of inquiry would need to remain in the process. The fixable portion turned out to be a form design that made fulfilling those questions too cumbersome and analog for many applicants who were already thinking digital-first. After all, these future customers were on their way to signing up for digital checking. Still, given the quality of applicants and the ability to pinpoint the problem, the fresh resource allocation could be justified. Using the benchmarking analysis, the team was able to build a solid business case to support the application redesign. They were able to more accurately model both the upside in terms of new checking accounts as well as new balances. The resulting growth and profits were substantially higher than the cost of the application re-design project. And the team had more confidence in the business case because of the strength of the benchmarking analysis. Think of benchmarking as a robust strategy tool that can be used to confirm (or refute) assumptions and working hypotheses. This enables bank and credit union leaders to start from a data-driven mindset and engage in committed feedback exchanges with colleagues. These leaders must keep an open mind for results that may confirm or challenge expectations to make smarter, fact-based decisions that typically result in better business results.
Liquid AI’s new convolution-based, multi-hybrid LLM can work on smartphones and edge devices; uses evolutionary algorithms to auto-design model backbones and optimize for latency, memory usage, and quality
Liquid AI announced “Hyena Edge,” a new convolution-based, multi-hybrid model designed for smartphones and other edge devices. Hyena Edge is engineered to outperform strong Transformer baselines on both computational efficiency and language model quality. In real-world tests on a Samsung Galaxy S24 Ultra smartphone, Hyena Edge achieved up to 30% faster prefill and decode latencies compared to its Transformer++ counterpart, with speed advantages increasing at longer sequence lengths. Unlike most small models designed for mobile deployment, Hyena Edge steps away from traditional attention-heavy designs. Instead, it strategically replaces two-thirds of grouped-query attention (GQA) operators with gated convolutions from the Hyena-Y family. The new architecture is the result of Liquid AI’s Synthesis of Tailored Architectures (STAR) framework, which uses evolutionary algorithms to automatically design model backbones. STAR explores a wide range of operator compositions, rooted in the mathematical theory of linear input-varying systems, to optimize for multiple hardware-specific objectives like latency, memory usage, and quality. With mobile devices increasingly expected to run sophisticated AI workloads natively, models like Hyena Edge could set a new baseline for what edge-optimized AI can achieve.
Early Warning reports almost seven million small businesses are enrolled to use Zelle and use of Zelle to pay small businesses has tripled in the past three years.
Main Street makes the American economy move, and Zelle® today released never-before published data that provides new insight into when, where, and how U.S. small businesses rely on the payment tool’s unique features to help boost growth and unlock opportunities. The new data, released ahead of National Small Business Month in May, underscores the growing role Zelle plays in helping reduce uncertainty for America’s Main Street economy:
Almost seven million small businesses are enrolled to use Zelle and use of Zelle to pay small businesses has tripled in the past three years. Zelle also plays a meaningful role in the financial lives of an additional estimated 3-4 million individuals who use it to receive payments tied to independent or self-directed work.
Zelle is most popular with small businesses in critical commercial markets across the country. In these areas, small businesses are getting paid with Zelle in ways as unique as the cities they’re in — like surf lessons in Los Angeles, local souvenirs in Orlando, livestock grooming during the Houston Livestock Show and Rodeo or grabbing a hot dog from a cart in New York City. On average, small businesses received about $465 per transaction in 2024.
Zelle is used by small businesses owners to send payments in key moments when speed and reliability matter most — like ensuring payroll is met and vendors are paid. In fact, the average payment sent by a small business was around $630 in 2024 — that’s about the monthly cost of vendor space at the Ft. Myers Beach Market in Florida or a bi-weekly space at the Union Square Farmers Market in Massachusetts.
JPMorgan Chase’s CISO warns that software needs to be secure by default as identity protocols like OAuth create direct connections between third-party services and sensitive internal resources at companies
Patrick Opet, global CISO at JPMorgan Chase, is urging the software industry to prioritize secure development practices over speed to market, warning that increasing supply-chain disruptions are weakening the global economic system. He warned in an open letter that global companies are dependent on interconnected technologies and warned that software needs to be secure by default. Opet said that because global companies are increasingly reliant on a small number of software-as-a-service providers, a hack or other disruption can disrupt critical infrastructure providers around the world. JPMorgan Chase officials have seen the warning signs up close, Opet said. “Over the past three years, our third-party providers experienced a number of incidents within their environments,” Opet wrote. “These incidents across our supply chain required us to act swiftly and decisively, including isolating certain compromised providers and dedicating substantial resources to threat mitigation.” Modern identity protocols like OAuth create direct connections between third-party services and sensitive internal resources at companies, making it easier for attackers to gain access to confidential data or internal communications, Opet noted in the letter. Opet said he wanted to see improved security standards and more transparency in how suppliers use privileged access. He also said technologies like confidential computing could reduce risks when suppliers use sensitive information.