Rakuten builds AI platform in collaboration with IBM Japan

Maria Nikolova

The “Rakuten AI Platform” will introduce chatbots with automatic response functions into customer support.

The financial services sector in Japan continues its push into the world of artificial intelligence (AI), as Rakuten Inc (TYO:4755) is building an AI platform in collaboration with IBM Japan.

Today, Rakuten announces that it has partnered with IBM Japan to create the “Rakuten AI Platform,” an internal Rakuten system which will introduce chatbots with automatic response functions into customer support. The system was built utilizing APIs provided by IBM Watson. One of the advantages of the platform is that it will reduce the time needed to introduce chatbots to each service and is expected to improve the quality and convenience of customer support.

As a part of the development of the new AI platform, the two companies have this year established the Center of Competency, a virtual organization in which employees from both companies develop and implement AI technologies and which provides training and education on the AI platform for Rakuten employees.

Rakuten has been promoting AI research in areas like image recognition technology, as well as big data analysis. By combining both internal and external AI-related technologies with its own business expertise, Rakuten pledges to continue the adoption of AI and enhance the quality of its services.

Recently, we have seen a number of Japanese financial services companies adopt AI solutions. This list of companies includes FX brokers too.

Kabu.com Securities, a subsidiary of Mitsubishi UFJ Financial Group Inc (TYO:8306), plans to launch “AlpacaSearch for kabu.com”, developed jointly with AI startup AlpacaDB Inc. The tool aims to help stock traders identify market opportunities. Japanese online trading company Monex Inc, a subsidiary of Monex Group, Inc. (TYO:8698), has teamed up with fintech company Good Moneyger, to provide a special AI-based market report to its clients.

The increased adoption of AI solutions has raised questions about human beings keeping (or losing) their jobs. From what we have seen in the FX world, AI is thus far used for improving the trading experience and research rather than overtaking anyone’s job. Uncertainty, however, looms for customer support staff and the creation of solutions like the new Rakuten AI platform proves it – the cost reduction and the smoothness of operations associated with such AI systems is lucrative for companies.

Read this next

Retail FX

Italian watchdog red flags Olympus Brokers, UnicoFX and Allfina Group

Italy’s Commissione Nazionale per le Società e la Borsa (CONSOB) has shut down new websites in an ongoing clampdown against firms it accuses of illegally promoting investment products in the country.

Retail FX

XTB revenues hits zł1.45 billion in 2022, Q4 earnings disappoint

Poland-based Forex and CFDs broker, XTB has reported its final results for Q4 of 2022 and the full fiscal year ending on December 31, 2022, showing one of its most successful corporate years.

Executive Moves

Lirunex Limited recruits Waleed Salah as head of MENA sales

Maldives-based brokerage firm Lirunex Limited has secured the services of Waleed Salah, who joined the company in the role of its head of sales for the MENA region.

Executive Moves

Trading 212 parts ways with co-founder Borislav Nedialkov

Trading 212 has a void to fill at its FCA-regulated business in London, following the departure of two key players, Raj Somal and Borislav Nedialkov.

Digital Assets

Binance acquires troubled crypto exchange GOPAX

Binance, the world’s largest digital asset trading platform, has reportedly acquired a majority stake in the troubled South Korea-based cryptocurrency exchange GOPAX.

Digital Assets

Kraken exits Middle East, closes UAE office

Digital currency exchange Kraken will close down its operations in Abu Dhabi, UAE and lay off the majority of its team focused on the Middle East and North Africa.

Industry News

CFTC comments on ION Cleared Derivatives issues after Russian-linked hack

“The ongoing issue is impacting some clearing members’ ability to provide the CFTC with timely and accurate data. As this incident unfolded, it became clear that the submission of data that is required by registrants will be delayed until the trading issues are resolved.”

Industry News

FCA took down 14 times more misleading ads in 2022 thanks to technology

The FCA has made significant improvements to the digital tools it uses to find problem firms and misleading adverts. These improvements have enabled it to work through a much larger number of cases compared with 2021.

Executive Moves

HKEX appoints ex-Goldman Sachs Matthew Cheong to lead platform’s focus on derivatives

“He has worked for a number of the world’s leading investment banks and his experience will be invaluable to HKEX as we continue to enhance our derivatives product offerings and build on our innovative and robust platform business, connecting capital with opportunities.”

<