Creance.ai, a new AI company founded by PwC and Aleph Alpha, aims to create advanced technologies for legal compliance and consultation. They use the same kind of artificial intelligence that powers ChatGPT, the chatbot, to combat bureaucratic inefficiencies. The CEO of PwC Germany and Head of Tax and Legal, Björn Viebrock, said that the volume and complexity of rules are growing to the point that staff cannot keep up with them on their own. Known for its transparent AI models for decision-making, Aleph Alpha will help automate some of these duties.
The primary goal of the joint venture is to assist payment service providers, banks, and insurers in adhering to the Digital Operational Resilience Act (DORA), a new EU legislation that will become enforceable on January 17, 2025. This legislation, which outlines how financial firms should manage IT risks and third-party contracts, focuses on improving data security and safeguarding against cyber attacks. It necessitates the evaluation of numerous current contracts.
Viebrock claims that a large German bank is facing impractical tasks such as reviewing 13,000 contracts to ensure compliance with the new regulations. This is addressed by the recently created software by creance.ai, which greatly lessens the workload for legal and compliance workers by enabling thousands of contracts to be reviewed against a standard contract that complies. It reduces the workload significantly even though the procedure isn't entirely automated.
At the moment, PwC and Aleph Alpha have each committed seven figures and 50 staff to this project. Creance.ai's CEO, Carsten Dirks, oversees operations at Aleph Alpha.