Leveraging Big Data and AI is becoming a core foundation for businesses

Integrating Big Data and AI into business operations not only helps optimize workflows, but also improves overall operational efficiency.

This combination enables companies to make smarter decisions, enhance customer experience and build sustainable competitive advantages.

Building a secure and seamless financial ecosystem

Cathay is one of Asia’s largest private financial groups, headquartered in Taiwan, with total assets exceeding USD 468 billion. The group operates across three core pillars including banking, insurance and asset management. Backed by strong financial capabilities, robust risk management and an extensive presence across Asian markets, Cathay continues to invest strategically in technology, data and innovation to support digital transformation and sustainable AI implementation.

During a recent media session, Mr. Joe Liang, Chief Data and Analytics Officer of Cathay United Bank, shared:

Data is the core foundation of AI. AI cannot develop sustainably based solely on algorithms or technological infrastructure. It must be built on standardized, connected and contextually utilized data. Between 2010 and 2020, Cathay focused on building a data centric platform, viewing data as a strategic asset to gradually develop AI applications for banking, insurance and asset management.

A key aspect of Cathay’s digital transformation strategy is that AI is not viewed as a standalone technology, but rather as part of a broader financial ecosystem. AI helps personalize financial services for different customer segments, connecting finance with daily lifestyle needs such as shopping, travel, insurance and payments, while creating a seamless customer experience instead of fragmented transactions. For example, when a customer books a flight ticket, the system can recommend travel insurance and integrate credit card payment within the same journey.

For this reason, Cathay’s goal in recent years has been to drive comprehensive and sustainable digital innovation across financial services. Within its international expansion strategy, digital transformation has been identified as a key growth driver. Cathay’s digitalization experience in Taiwan is being flexibly adapted to overseas markets, with Vietnam emerging as one of the group’s strategic highlights. In Vietnam, Cathay focuses on developing digital consumer finance, diversified payment and transfer services, while also expanding its insurance business through mobile platforms. Solutions include fully digital loan processes, electronic contract signing, mobile claims services, AI Coach for advisor training and operational efficiency enhancement.

Mr. Joe Liang also noted:

Cathay’s data transformation plan has been highly successful, with more than one hundred systems migrated to the cloud since 2020. Since then, Cathay has moved from being Cloud Ready to adopting a Cloud First strategy, focusing on flexibility, innovation capability and organizational resilience.

A major milestone in this strategy was the launch of Cathay’s proprietary Generative AI framework, GAIA, in 2024. The framework is built around four strategic pillars: First, financial knowledge integration. GAIA consolidates customer data, product information, market trends and financial documents including insurance policy terms and regulation; Second, an enterprise AI model hub; Third, multilayer security and compliance; Fourth, AI democratization, empowering employees to innovate with AI and strengthening Cathay’s competitive advantage throughout its enterprise-wide AI transformation.

In 2025, the group also introduced its Cloud Priority Strategy and Methodology, encouraging business units to prioritize cloud solutions for new projects and system upgrades.

AI is becoming the foundation for restructuring banking in the digital era

From the traditional banking model, where customers had to visit branches in person, Cathay has gradually transitioned toward digital banking, allowing users to access financial services through APIs, online platforms and mobile devices. At the same time, the improvement of legal frameworks surrounding personal data protection in many countries has enabled digital financial services to scale more safely and transparently.

Li-Sin Wu, Senior Vice President of Cathay United Bank, shared:

Digital transformation at Cathay is not simply about applying technology. It is a long-term strategy to bring financial services closer to customers through simple, personalized and secure experiences. The CUBE digital banking platform was developed based on the philosophy of ‘Empower’, enabling users to proactively manage personal finances and seamlessly access financial services in their daily lives.

One notable milestone in Cathay’s digitalization journey was the consolidation of more than 100 account types into one integrated account system. As a result, customers can open an account directly through the CUBE app in just 10 to 15 seconds and use it for multiple purposes including payments. Cathay also leverages AI and data analytics to provide intelligent search functions, personal financial reports and abnormal activity detection systems, helping proactively protect customers against fraud risks. Ms. Wu emphasized that Cathay will continue developing CUBE as a simple, secure and sustainable digital financial platform, supporting customers in personal financial management while creating a foundation for long term growth in the digital era.

In Vietnam, the CUBE app has been introduced as a highly digitalized banking model, enabling customers to complete the entire loan approval and disbursement process fully online in approximately five minutes. The system combines eKYC, AI powered fraud detection and multidimensional credit scoring models to improve both processing speed and risk management accuracy. Since its launch in March 2024, the CUBE Vietnam App has recorded 790,000 registered users and 5.7 million downloads, while also receiving several international awards.

Insurance, now just a touch away

In the insurance sector, Cathay Life applies Generative AI through its AI Coach platform, which simulates customer interactions to train advisors more effectively, reduce costs and improve engagement capabilities. Online platforms and mobile applications are being strongly deployed, allowing customers to purchase insurance online, receive remote consultations and complete contract-related transactions digitally, delivering a faster, more transparent and professional experience. Meanwhile, Cathay Insurance has invested heavily in innovative solutions such as Smart Agent Go (SAG), a proprietary digital platform capable of processing more than 500,000 contracts annually while improving workflow optimization and interdepartmental collaboration. The SAG platform has been recognized with the “International Market Potential” award. In addition, SmartOCR is considered a breakthrough technology in document processing, tripling service speed and significantly improving customer retention rates. Cathay Insurance is also undergoing a comprehensive AI driven transformation. In auto insurance, AI analyzes driving behavior to assess risks more accurately and recommend suitable loss prevention solutions. In claims management, AI is used to quantify risks, review documents and detect potential fraud, helping ensure fair, accurate and fast claim resolution. Beyond technology, Cathay is also focusing on organizational and talent transformation in the AI era, reaffirming its commitment to GenAI innovation, cloud infrastructure modernization and workforce upskilling.

Technology is powerful, but it is not everything

While technology brings significant operational advantages, people remain at the center of Cathay’s strategy. For Cathay, AI is not designed to replace employees, but to expand human capability, allowing staff to focus on strategic decision-making instead of repetitive tasks. Mr. Joe Liang emphasized.

We do not use AI to replace employees. We use AI to empower them, helping staff focus on high value decisions instead of repetitive work.

In practice, Cathay has deployed a range of internal AI tools including enterprise knowledge assistants, no-code and low-code platforms that allow departments to build their own AI applications, as well as analytical models supporting credit officers, risk management teams and customer service staff. These tools not only improve productivity, but also help bridge the gap between technology and business operations. Importantly, all AI applications at Cathay must comply with the AI Guardrails framework, a strict control system governing risk management, privacy protection and legal compliance. This framework is considered an essential safeguard as AI becomes increasingly integrated into the financial sector.