The article explores how Wall Street firms are increasingly embracing open-source AI technology, marking a significant shift from their traditionally secretive approach to technology. Major financial institutions are now actively contributing to and utilizing open-source AI tools, particularly in areas like large language models and machine learning frameworks. This transformation is driven by several factors, including cost efficiency, talent attraction, and the need to keep pace with rapid technological advancement. The article highlights how firms like Goldman Sachs, Morgan Stanley, and JPMorgan are participating in open-source AI projects and sharing some of their tools with the broader community. This collaborative approach helps banks avoid duplicating efforts and allows them to focus on developing proprietary applications that provide competitive advantages. The piece also discusses how this trend is expected to accelerate through 2025, with financial institutions becoming more prominent players in the open-source AI ecosystem. However, banks are maintaining a balanced approach, carefully deciding which technologies to share and which to keep proprietary. The article emphasizes that this shift represents a cultural change in financial technology, where collaboration and community contribution are becoming as important as internal innovation. It concludes by noting that open-source AI is becoming a crucial element in financial institutions’ technology strategies, though they continue to maintain proprietary control over their most critical competitive advantages.
Source: https://www.businessinsider.com/inside-open-source-wall-street-technology-ai-2025-2