Bank of America Hires 1,000 Contractors to Patch AI-Exposed Flaws

Bank of America hired 1,000 external contractors during the second quarter to patch software vulnerabilities exposed by frontier-type AI models, including Anthropic's Mythos. CEO Brian Moynihan explained that the bank accelerated efforts to bolster internal and vendor code because these advanced models can uncover and exploit long-standing software flaws.

The bank spent more than 200 million dollars in the third quarter on software remediation and anti-money laundering regulatory issues. While these defensive measures increased immediate costs, Moynihan expects remediation spending to decline as the patching process progresses.

To offset these expenses, the bank is deploying approximately 130 internal AI projects to increase productivity. Projected savings from these initiatives are expected to rise from 300 million dollars this year to 700 million dollars by 2027. Over the past year, the bank's total headcount decreased by approximately 3,400 employees.