New & Emerging Industries Created By AI

Jovan Pavlicevic, co-founder of SquareOne and Emerge, began his keynote by drawing a parallel between the current technological revolution and historic innovations. “Give me a lever long enough and a place to stand, and I shall move the Earth,” he quoted Archimedes, setting the stage for a discussion on the immense potential of AI. He argued that AI’s advent is as impactful as the invention of the lever or the splitting of the atom. “We are standing in a moment in time where new technology is going to shift the dial for humanity.”

Highlighting New Zealand’s unique position, Pavlicevic noted, “We outshine the world in many ways, but in others, we can be a bit of a laggard.” He pointed to the country’s infrastructure, emphasising the need for disruption and innovation. This theme of balancing excellence with areas needing improvement resonated throughout his keynote.

Discussing the journey of SquareOne, Pavlicevic shared how the platform was designed to teach kids about money management. “We realised looking at our own kids that the financial landscape was broken,” he said. The success of SquareOne, now with 200,000 customers in New Zealand, demonstrated the demand for such tools. However, Pavlicevic’s vision extended beyond children. With Emerge, he aimed to address the financial needs of small businesses, offering a mobile-first solution that simplifies banking processes.

Pavlicevic explained how AI enriches transactions, categorises spending, and streamlines processes, reducing friction and improving efficiency. “You get merchant 24673, and you think, what was that? AI takes all that out,” he noted, illustrating the everyday annoyances AI can eliminate. This seamless integration of technology into financial services is what sets Emerge apart, enabling businesses to focus on growth rather than administrative burdens.

Emerge was born from the foundational success of SquareOne, evolving to meet the needs of small and medium-sized enterprises (SMEs), which make up 97% of New Zealand’s businesses. By focusing on this underserved segment, Emerge aims to simplify and revolutionise business banking offering features such as instant issuance and control of virtual and physical cards, transaction enrichment, and seamless integration with accounting software.

One of the standout features of Emerge is its ability to categorise transactions automatically. “I don’t want to sit and read through a 50-page boilerplate legal document,” Pavlicevic admitted, highlighting the convenience and efficiency that AI brings to financial management. This feature not only saves time but also reduces the friction associated with traditional banking processes. Pavlicevic shared an anecdote about his team member Jody, whose card was declined at a hotel in LA due to suspected fraud. By leveraging AI, Emerge can analyse spending patterns and prevent such inconveniences, ensuring a smoother experience for users.

The keynote also showcased Emerge’s innovative approach to KYC (Know Your Customer) ID verification. Pavlicevic explained how AI and machine learning are used to verify identities accurately and securely. “We can scale this process while ensuring the highest levels of security,” he noted, emphasising the importance of trust in financial services.

Pavlicevic’s emphasis on the empowerment of SMEs through Emerge is a crucial aspect of his vision. He discussed how the architecture of SquareOne, with its parent wallet system, inspired the development of Emerge. This system allows businesses to manage multiple cards and accounts easily, providing a high level of control and flexibility. “We realised pretty early on that this would be something businesses would want as well.”

Emerge’s commitment to reducing friction and enhancing efficiency is evident in the platform’s automation capabilities, such as the enrichment and categorisation of transactions. This allows businesses to focus on their core activities rather than getting bogged down by administrative tasks. “We take all of that out,” he said, describing how Emerge simplifies the reconciliation process by automatically pulling receipts into accounting software and categorising expenses.

The potential for Emerge to disrupt the traditional banking sector was a recurring theme in the keynote. However, Pavlicevic made it clear that his goal is not to alienate existing banks but to collaborate and improve the overall financial landscape. “It’s not just about hoarding all the IP for ourselves,” he stated, indicating a willingness to share Emerge’s innovations with the broader industry. This collaborative approach reflects his broader vision of a financially capable New Zealand.