Where no card has gone before: MasterCard deploys AI at checkout

MasterCard (MA) is taking payments, the last -- and sometimes, the most painful -- part of shopping into the future, replacing card swipes with robots, artificial intelligence and the ubiquitous selfie. The steps, including this week's introduction of a chatbot for banks called "MasterCard KAI" that uses artificial intelligence to respond to customer queries via texts or through apps like Facebook Messenger, are vital parts of CEO Ajay Banga's strategy of leverage technological development to expand the $113 billion company beyond traditional card-based transactions. To create the chatbot, MasterCard partnered with startup Kasisto, developing a "conversational artificial intelligence platform" that banks and merchants can use to let customers make transactions, monitor their spending habits, check account balances and ask questions, the company said at the Money 20/20 conference in Las Vegas. It will be released in the U.S. early next year. "This bot enables entirely new experiences, bringing Mastercard benefits and offers to consumers with human-like conversations that are personal and contextual," Zor Gorelov, Kasisto CEO and co-founder, said in a statement.