Global Technology

We continue to execute against our technology strategy

Deliver best-in-class products,

platforms, and experiences

Unlock the

power of data

Strengthen our development

capabilities and infrastructure

Customer and

client experiences

Product and

platform

development

Modernize

technology

Drive software

development

excellence

Embed data and

insights into

everything

⚫ Continued to release new products and experiences

that delight our customers:

⚫ Account validation: custom-built engine that

validates bank accounts to protect customers

⚫ Cash optimization: enable utilization of residual

cash to generate alpha

⚫ Connected Commerce: ecosystem of products

connected via reusable APIs

⚫ Fusion: cloud-native data management and

reporting platform

⚫ Versana: reduce settlement times and improve

liquidity management for syndicated loan market

⚫ Improved speed-to-market of

product features by 20% (in days)

⚫ Continued application

modernization through refactoring,

SaaS replacement, and legacy

decommissioning

⚫ Enabled multi-vendor public cloud

as target state infrastructure

⚫ Completed ~60% of our application

migrations to strategic data centers

⚫ Optimized data center footprint to

facilitate public cloud journey

⚫ Ahead of our plan to

deliver $1B

business value

⚫ +34% YoY growth in

AI/ML use cases in

production

⚫ Accelerated large-

language-model

(LLM) enablement

⚫ Matured ability to

respond to new

threats, including

quantum safe

encryption

⚫ Delivered business

value through cyber

as a differentiator

⚫ Maintained flat

expense relative to

volume increases

Proactively defend

against cyber

threats

Protect the Firm

and our customers

3 4

Products, platforms, and experiences

$4.0B

Modernize technology and software

development excellence

$3.2B

Unlock the power of data

Protect the Firm and our customers

Total

$7.2B

$0.7

$1.1

$0.5

2019 2021 Structural

/ volume-

Investments 2022 Structural

/ volume-

Investments 2023

$11.7

$12.5

$14.3

$15.3

+7% CAGR

Our expense growth is driven by investments, volumes, and structural factors

CAGR

2019-23

11%

CIB

$3.2B

CCB

$2.7B

AWM

$0.9B

$0.3B

Total

$7.2B

Infrastructure

Software licenses

Application and production support

Wage inflation +$0.5

Volumes / other +$0.5

Internal efficiencies ($0.5)

Wage inflation +$0.6

Volumes / other +$0.5

Internal efficiencies ($0.4)

TECH INVESTMENTS BY STRATEGY, 2023

FULLY LOADED TECH INVESTMENTS BY LOB, 2023

RUN THE BANK INCLUDES

Investments /

change the

bank

Run the

bank

TOTAL TECHNOLOGY EXPENSE ($B)

Note that totals may not sum due to rounding

◼ Increase utilization of cloud and

reduce data center footprint

◼ Break monolithic applications into

modular and API-driven architecture

to improve cost elasticity

◼ Improve engineer capacity through

agile adoption and elimination of non-

value adding activities

◼ High levels of automation (testing,

release, production support) and

streamlined software delivery through

our platforms

We have delivered $0.5B against our $1.5B productivity target

~$300mm

through engineering

efficiencies and

labor productivity

~$200mm

in infrastructure

productivity

OUR 3-YEAR COMMITMENT FROM INVESTOR DAY 2022

PROGRESS WE’VE MADE

Modernizing technology and software development excellence will drive cost efficiency

across the total spend and slow our expense growth

Total spend breakdown

Opportunity sizeOpportunity levers

Total Spend ($B)

Engineering

Product, design, application

support, and other

Infrastructure and software

14.1

15-20%

~10%

in infrastructure cost

efficiency

in productivity and

cost efficiency

Software development excellence

Modernize technology

~$1.5B in productivity and cost efficiencies over the next 3 years

Strengthen our software development capabilities and infrastructure

~560

2022 2023

+14%

Growth in SaaS

applications

We continue to modernize our technology estate while keeping infrastructure RTB expense relatively flat

⚫ We have increased SaaS adoption to replace non-differentiating

applications with industry-leading SaaS solutions

⚫ And we have continued our legacy application decommissioning

journey

⚫ In the last year, we have been modernizing our on-premise infrastructure

and growing cloud use

⚫ Over time, this has resulted in our infrastructure run-the-bank expense

remaining relatively flat while our volumes have increased

30%

38%

2022 2023

Cloud as a percentage of total infra spend

~60%

of in-scope applications

have fully migrated to our

modern data centers

2019 2022

+50%

Storage and compute volumes

2019 2022

+2% CAGR

Infrastructure run-the-bank expense

Strengthen our software development capabilities and infrastructure

WE’VE MADE SIGNIFICANT PROGRESS IN MODERNIZING APPLICATIONS… …WHILE MODERNIZING OUR INFRASTRUCTURE & SUPPORTING GROWING VOLUMES

~490

~2,200

~2,500

2022 2023

+300

Volume of

applications

decommissioned

since 2017

We’ve made progress on technology modernization and engineering excellence to drive efficiencies in

feature delivery and slow our expense growth

AGILITY

Adopt and continuously improve

agile practices to free engineer

capacity

SPEED

Accelerate development and

deployment of features into

production

STABILITY

Minimize failed changes and

unplanned outages

60%

of apps

60%

of teams

100%

of apps

LAUNCH

PLAN

…tracking towards ~100%

Toolchain adoption by YE 2023

84%

On Enterprise

Toolchain

Exceeded 80%

2022 target

Strengthen our software development capabilities and infrastructure

WHAT WE MEASURE ACROSS SOFTWARE DEVELOPMENT LIFECYCLE

COVERAGE

EXAMPLE OUTCOMES WE’VE ACHIEVED IN 1 YEAR

99.9% change success rate while

change volumes have gone up ~60%

~70% of CCB teams improved YoY

performance on agile practices

~20% improvement in days from

backlog to deployment

Our modernization strategy is enabling us to deliver significant value across the business

Strengthen our software development capabilities and infrastructure

Completed migration of internet-

facing Chase.com to the public

cloud in 4Q22, serving all

customers through Amazon Web

Services

Chase.com

22% increase in

change volume

15 Chase.com releases

weekly, 2 mobile app

releases monthly

100% customers onboarded

(including 63mm+ active

digital customers)

Moving up-funnel to meet

customers earlier in their journeys,

protecting our core franchise,

and disrupting incumbents in

Commerce

Connected Commerce

Innovative API-driven

platform to automate

partner onboarding and

simplify integration with

Chase ecosystem

35% increase in speed to

deliver product features YoY

Offers and

recommendations delivered

$350mm impact over two

months in 2023

Graphite is a scalable, modern

strategic platform for processing

payments globally, including

real-time payments

JPM Payments

Transaction Engine

Third largest payments

platform by volume

Reduced time to launch a

new real-time payment

market from ~18 months

to ~3-6 months

Each payment capability

built with its own

independent component

architecture

Regulatory data warehouse

responsible for global regulatory

reporting for Cash Equities,

Futures, and Options in 15+

countries

Markets Regulatory

Reporting Platform

Reduced monthly running

cost by >50%

Running on public cloud,

enabling real-time audit

trail calculation and report

generation

Increased ability to scale to

2.5B trades per day on

public cloud from 500mm

trades per day on-premise

$1.5B target

2021 2022 2023

3.6x

AI/ML driven business impact

Unlock the power of data

Building an industry-leading team

WE EXPECT TO BEAT OUR AI/ML IMPACT TARGETS

CONTINUING TO ACCELERATE THE POWER OF OUR DATA AND AI/ML

We continue to prioritize our investment in Data and AI/ML, and see increasing value in our businesses

Expanding our technology platformsSelect thematic examples across our 300+ use cases in production

Personalization of products

and experiences for retail

customers

Deepening client relationships

through improved analytics and

insights

~25 use cases

~$220mm impact in 2022

~60 use cases

~$100mm impact in 2022

JPMC ranked number one in the Evident AI Index (January 2023), the first public benchmark of major banks on their AI maturity

600+

ML engineersdata scientists

900+

200+

AI researchers

Ranked #1

Evident AI Index

⚫ Improving capabilities, with embedded governance and

Responsible AI

⚫ Integrating ML Ops capability to support teams to develop

models faster and measure performance

⚫ Increased use cases leveraging firmwide model development

and training platform by 2.2x YoY

We continue to evolve our best-in-class Cyber capabilities through a dynamic threat environment

20222020

2023

2021

Security alerts

processed per day

Advising U.S. Government and policy makers to improve public-private partnership

and enhance cybersecurity for critical infrastructure

Automating security controls by default in development, data, and infrastructure

platforms, reducing the number of required developer actions by over 60%

Further strengthening access and authentication, improving user experience while

lowering the burden of managing passwords

Engaging with NIST

as a financial services member of the National Cybersecurity Center

of Excellence and collaborating on post-quantum cryptography migration guidelines

2022 2023

Cybersecurity exercises

and simulations

2022 2023

Supplier vulnerabilities

proactively mitigated by

JPMC

2022 2023

Cyber-related

expenditure

National Institute of Standards and Technology

Reduced required actions and introduced straight-through-processing for cloud

regulatory compliance resulting in automated approval for over 60% of deployments

Protect the firm and our customers

MANAGING EXPENSE WHILE DOING MORE

CREATING VALUE WHILE PROTECTING THE FIRM AND FINANCIAL SERVICES

INDUSTRY CRITICAL INFRASTRUCTURE

+22%

>2x

+66%

+4% CAGR

We are well positioned to lead across our businesses, backed by resilient, innovative technology, for years

to come

Unlock the

power of data

Protect the Firm and

our customers

Deliver best-in-class

products and experiences

to customers

Strengthen our software

development capabilities and

infrastructure

3 4

Continued to release new

products and experiences that

delight our customers

Improved speed-to-market of

product features by 20%

$0.5B productivity impact

delivered against $1.5B target

~100% Enterprise Toolchain

adoption by year-end

Ahead of our plan to deliver

$1B business value

300+ use cases in production

$1.5B value target to be

delivered by year-end 2023

Creating value while

protecting our Firm and

customers

Optimizing our expense

while volumes increase