Artificial intelligence is increasingly being used in the financial sector. However, under the pressure of FiDA, DORA, GDPR and the EU AI Act, skepticism is growing: is AI still worthwhile at all or is it becoming a regulatory and economic risk? Prof. Dr. Heiko Beier shows why the current AI hype, especially around generative models, is coming to nothing in many places. Uncoordinated use, high costs, a lack of transparency and results that are difficult to explain are at odds with the strict requirements of the financial sector.

The article makes it clear that it is not regulation that is the real problem, but the wrong AI approach. Pure LLM solutions reach their limits where traceability, data sovereignty and auditability are essential. At the same time, the author outlines a practical solution: hybrid AI architectures that combine analytical and generative AI, pre-qualify data in a targeted manner and use LLMs in a controlled and contextualized manner.

This approach is used to show how financial companies can use AI not only in accordance with the rules, but also in an economically sensible, efficient and sustainable way, namely with verifiable results, clear governance and significantly lower costs. The article thus provides well-founded guidance for decision-makers who want to use AI not as an experiment, but as a strategic tool with real added value.