RBC considers blocking Meta’s Muse AI agent, CEO Dave McKay says

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Photo by Galit Rodan/BloombergRoyal Bank of Canada is considering blocking Muse, Meta Platform Inc.’s popular artificial intelligence agent, from accessing the bank’s customer information, RBC chief executive Dave McKay said.THIS CONTENT IS RESERVED FOR SUBSCRIBERS ONLYSubscribe now to read the latest news in your city and across Canada.Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman, and others.Daily content from Financial Times, the world's leading global business publication.Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.Daily puzzles, including the New York Times Crossword.SUBSCRIBE TO UNLOCK MORE ARTICLESSubscribe now to read the latest news in your city and across Canada.Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman and others.Daily content from Financial Times, the world's leading global business publication.Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.Daily puzzles, including the New York Times Crossword.REGISTER / SIGN IN TO UNLOCK MORE ARTICLESCreate an account or sign in to continue with your reading experience.Access articles from across Canada with one account.Share your thoughts and join the conversation in the comments.Enjoy additional articles per month.Get email updates from your favourite authors.THIS ARTICLE IS FREE TO READ REGISTER TO UNLOCK.Create an account or sign in to continue with your reading experience.Access articles from across Canada with one accountShare your thoughts and join the conversation in the commentsEnjoy additional articles per monthGet email updates from your favourite authorsSign In or Create an Account“It’s something I’m thinking about, absolutely,” McKay said Tuesday in a Bloomberg Television interview, adding that the bank hasn’t made a final decision. “You have to protect that customer and then we’re liable for that as an organization.”This advertisement has not loaded yet, but your article continues below.The CEOs of JPMorgan Chase & Co. and Charles Schwab Corp. said last week their firms are blocking or limiting outside AI agents’ access to their clients’ data. AI agents including Muse, which was released to the public last month, have the potential to disrupt bank business models by automating cash transfers into higher-yielding accounts.Breaking business news, incisive views, must-reads and market signals. Weekdays by 9 a.m.By signing up you consent to receive the above newsletter from Postmedia Network Inc.A welcome email is on its way. If you don't see it, please check your junk folder.The next issue of Posthaste will soon be in your inbox.We encountered an issue signing you up. Please try againBut McKay said there are concerns about not being able to monitor transactions. Data “being scraped or taken away without their consent or fraudulent consent” is another issue, he said.“We’re working through those details now and we’re not going to make a rash decision, but we have to balance the needs of a consumer with the privacy and safety of the system,” he said.Limiting ExposuresMcKay said Canada is poised to be a prime destination for AI investment, given its power generation capabilities and clear rules from the government about building data centre capacity. He said he sees less public pushback than in the United States.“I think we got ahead of some of the challenges the U.S. is facing,” he said, citing efforts to ensure that residential and commercial electricity prices don’t go up.This advertisement has not loaded yet, but your article continues below.While the RBC CEO is a strong proponent of the technology, having invested significantly in his own bank’s deployment of AI, McKay said he’s taking steps to limit direct exposure to the sector.“We’re actually taking some risk off the book ourselves,” he said, adding that the bank is writing strategic risk transfers to decrease the risk of AI loans on its balance sheet. “And we’re thinking about positioning our portfolio a little bit. Too much of a good thing’s not a good thing in banking.”—With assistance from Jonathan Ferro, Lisa Abramowicz and Annmarie Hordern.We apologize, but this video has failed to load.This advertisement has not loaded yet.Notice for the Postmedia NetworkThis website uses cookies to personalize your content (including ads), and allows us to analyze our traffic. Read more about cookies here. By continuing to use our site, you agree to our Terms of Use and Privacy Policy.