No Middle Ground in 2025: AI’s Data-Driven Modernization Requires Industry Reformulation

After two dismal years, those still employed within the mortgage industry are looking to celebrate 2025 with rising volumes and improved margins.  Underpinned by declines in the federal fund rates and political shifts in Washington D.C., the expectations for a new beginning are shaping products and services. 

The current answer to improve performance and meet future consumer needs resides firmly in all forms of artificial intelligence (AI).  Recent Bain & Company research states that nearly 70% of firms anticipate a “high impact” from AI, but currently less than 20% are delivering “concrete value.”  Challenges limiting AI’s scale and growth include quantitative impacts, use cases, data, security, and operational integrations.

Yet, the infatuation with all things AI is a journey—not a finite destination.  AI requires more than algorithms, unprecedented ethical data quantities, and advanced skill sets.  Unlike data transformation in the last 15 years, the movement from application (i.e., process) thinking to data ideations (e.g., DaaS, DaaP, DIM’s) demands architectural and infrastructural building blocks that previously were locked into silos of functionality (i.e., application centric design). 

As 2025 unfolds, the realities and requirements of how to layer and connect advancing AI capabilities will take priority.  It will be the touchpoints and underlying centers of excellence that will surprise many industry leaders due to the demands for interconnectedness and the error recovery risks and unintentional consequences. 

For the complete published article, please see –> Mark Dangelo: AI’s Data-Driven Modernization Requires Industry Reformulation – MBA Newslink