Discover Highlights Need for Trust as AI Transforms Business Landscape

As artificial intelligence (AI) continues to reshape industries, Discover Network is urging businesses to prioritize trust in their AI strategies. During a recent discussion with PYMNTS, Kate Lybarger, the Director of Payments Innovation at Discover, emphasized the importance of building trust as companies integrate AI into their operations.

Trust as the Foundation of AI Innovation

Despite the growing prevalence of AI in business discussions and product strategies, Lybarger believes that trust remains the most crucial element in this evolution. “Every major evolution or transformation centers on what matters most: the structure of your business model, what your customers need, expect and trust from you,” she stated. This perspective is particularly relevant in the current landscape, where businesses face both internal and external pressures as they navigate the complexities of AI deployment.

According to Lybarger, previous technological advancements, such as mobile and digital innovations, arose from external constraints. In contrast, AI poses unique challenges, compelling organizations to rethink not only how they utilize the technology but also how they align with shifting customer expectations and increasing regulatory scrutiny.

Balancing Innovation with Responsibility

AI is not merely a revolutionary tool; rather, it is a sophisticated instrument that requires careful handling. “If you’re building anything with AI, nothing matters more than trust,” Lybarger noted, highlighting that AI solutions often rely on extensive data, including sensitive customer information. This is particularly critical in sectors like financial services, where transaction speed and security are paramount.

One of the most significant transitions in the payments and commerce sectors is the shift from general-purpose generative AI tools to a more focused approach known as agentic commerce. This approach represents a targeted application of advanced AI technologies designed to enhance customer experiences while managing associated risks. “We are agentic commerce-obsessed right now,” Lybarger remarked, underscoring the need for innovation balanced with robust risk management practices.

To ensure responsible AI deployment, Lybarger advocates for comprehensive testing and the establishment of human-centered guidelines before introducing AI systems in customer-facing environments. “There are all kinds of precedents with technology that has the power to impersonate you,” she warned, stressing the ethical implications of AI use.

For Discover Network, this commitment to ethical AI is not just theoretical; it is a strategic imperative. AI should be viewed as a means to an end rather than an end in itself, requiring businesses to apply it with clarity and a strong understanding of the problems it is meant to address. “How businesses adopt and deploy AI and how they think about managing situations when things don’t go right, because they inevitably at some point won’t, that matters deeply,” she explained.

AI’s Current Limitations and Future Potential

While the promise of AI includes the potential to break down internal silos within organizations, Lybarger acknowledges that the technology is still maturing. “AI may not be mature enough to be deployed successfully for a given problem at a given time,” she stated. However, when applied appropriately, AI can significantly enhance business models, improving both effectiveness and efficiency.

Lybarger also points out that innovation is not solely defined by AI. “Innovation isn’t only about AI,” she asserted, emphasizing the importance of addressing the right problems in the right ways, regardless of whether AI is involved. The essence of innovation lies in delivering value to customers while capturing value for the business in return.

By adopting a balanced view of AI’s role in evolution, organizations can better navigate the associated challenges and responsibilities. “At the end of the day, people want to make payments, and they want it to work when they need it and in the way they want it to,” Lybarger concluded. Discover Network will continue to explore AI opportunities to enhance payment solutions, focusing on making transactions easier, faster, and more secure.