National Australia Bank (NAB) and Microsoft have collaborated to design a proof of concept Automatic Teller Machine (ATM) using cloud and artificial intelligence-powered facial recognition software to enable customers to withdraw cash without a card or a phone.

It will be interesting to hear how people interact with it and what they think about this sort of technology. It has been created with the aim of seeing how people receive it, using facial recognition and a second-factor PIN at an ATM, improving the convenience by removing the need for them to be carrying a bank card.

The cloud-based application, developed using Azure Cognitive Services, has been designed to improve the customer experience by removing the need for physical cards or devices to access cash from ATMs. Instead, a customer who opted into the service would be able to withdraw cash from an ATM using facial recognition technology and a PIN.

The proof-of-concept ATMs are being demonstrated both by Microsoft and NAB, at this year's SIBOS conference being held in Sydney, and will only be introduced to the wider public if the bank is satisfied it can address any privacy and security concerns about the use of customer biometrics.

A key theme for SIBOS 2018, which brings together 8,000 of the world’s leading financial services innovators, is to explore how data, AI and robotics are driving service innovation and business model renewal for financial service firms worldwide.

The likely impact of data and AI resonates with NAB Chief Technology and Operations Officer Patrick Wright who met with thought leaders, including senior Microsoft executives, during a tour to the US earlier this year.

Patrick Wright said  “It just reinforced to me the need for banks to be simpler and faster for our customers; we want to deliver great connected customer experiences.Cloud technology allows us to take advantage of features and capabilities that are world-leading and enable us to deliver at pace for our customers. Working with companies like Microsoft allows us to develop concepts like this. It’s a look into what the future might hold for the way our customers access banking products and services.” 

Steven Worrall, Managing Director of Microsoft Australia, said  “Cloud computing and artificial intelligence present the opportunity for a new generation of secure, streamlined financial services to be developed and rapidly deployed at scale. NAB’s innovation focus is concentrated on meeting the changing needs of the customer; this concept ATM that NAB and Microsoft are working on together provides an important glimpse into the future.We believe AI will profoundly impact financial services and the sorts of solutions that banks will be able to deliver in the future."

Also he added “For a consumer facing application such as the AI-powered ATM we’ve developed with NAB, this sort of continuous AI innovation is important. With its cloud-led approach to information systems, NAB is also guaranteed access to every Microsoft cloud-based cognitive service advance as it becomes available.”

As per Microsoft - Cloud first, and the innovate fast. Cloud computing plays a key role in the bank’s enterprise-wide transformation initiative, with its cloud approach supporting NAB’s commitment to continuous improvement and innovation.

About the proof of concept

The concept has been designed purely to test the customer experience of using such technology. The ATM system, using Azure Cognitive Services, does not store images, only the biometric 

data, and the data is held securely on Microsoft’s trusted cloud platform; it will be erased following the experiment. The information will be used only for the purpose of 

authenticating the customer and for no other purpose. Participants in the concept will not have any of their banking information connected to the system.

The concept was developed in approximately two months by a small agile team from NAB’s in-house innovation lab, NAB Labs, and technology division.

About National Australia Bank

For 160 years, we’ve been helping our customers with their money. Today, we have more than 30,000 people serving nine million customers at more than 900 locations in Australia, New Zealand and around the world. As Australia’s largest business bank, we work with small, medium and large businesses to help them start, run and grow. We fund some of the most important infrastructure in our communities – including schools, hospitals and roads. And we do it in a way that’s responsible, inclusive and innovative. For interest in working in technology at NAB visit our website.