Smarsh, a global leader in digital communications compliance and intelligence, announced breakthrough results from its strategic collaboration agreement (SCA) with Amazon Web Services (AWS), delivering a new standard for compliant AI adoption in regulated industries.
Since launching the multi-year initiative in October 2025, Smarsh has enabled leading financial institutions to move AI from experimentation to enterprise-scale deployment while enabling the rigorous compliance, governance, and risk management requirements of regulated markets.
At a time when many organizations are struggling to balance innovation with oversight, the collaboration is accelerating the transformation of compliance from a reactive function into an intelligence-driven competitive advantage.
Proven Results for AI-Powered Compliance
Early deployments are already delivering measurable business impact at scale. A leading global investment bank achieved:
- 77% reduction in compliance reviewer workload, across millions of alerts
- Less than 2% loss in risk detection, preserving compliance integrity
- Improved performance across both lexicon and machine learning models
- Accelerating future model agent development
- Greater overall effectiveness of compliance programs
The result: financial institutions can dramatically reduce manual review burdens, lower operational costs, and accelerate insight generation—without compromising governance, transparency, or regulatory defensibility.
“Financial institutions do not need more AI experimentation—they need trusted, auditable outcomes, The biggest barrier to enterprise AI adoption in financial services has been governance and compliance risk. Through our collaboration with AWS and our foundation on Amazon Bedrock and Amazon Bedrock AgentCore, we are removing that barrier, proving firms can achieve transformational efficiency gains while maintaining the high standards regulators expect.”
Goutam Nadella, Chief Strategy Officer at Smarsh.
Closing the AI Governance Gap for Regulated Institutions
As generative AI adoption accelerates across capital markets and banking, regulators are increasing scrutiny around explainability, oversight, and risk management. Smarsh is addressing this challenge directly by delivering enterprise-grade governance capabilities designed specifically for highly regulated environments.
“At AWS, we believe regulated industries shouldn’t have to choose between innovation and compliance. Smarsh has shown what’s possible when you combine deep domain expertise with the scalability of AWS, delivering compliant AI solutions that financial institutions can deploy with confidence. We’re proud to collaborate with customers who are setting a new standard for responsible AI adoption.”
Carol Potts, General Manager, US ISV Sales, AWS
Private equity firm, K1 Investment Management, is a long-standing Smarsh customer and has benefited from the company’s AI innovations. “As an early adopter of Smarsh’s AI Noise Reduction built on AWS Bedrock, we’ve cut false positives by 50% while gaining the regulatory defensibility our compliance team needs,” “This helps our compliance team focus on what matters most, to help deliver smarter oversight with better resource allocation.”
Jean Kisaka, VP and Chief Compliance Officer, K1 Investment Management.
Turning Communications Data into Strategic Intelligence
Smarsh is transforming how organizations use communications data—turning static archives into an active intelligence layer for compliance, legal, and surveillance teams:
- Sharper compliance oversight: Surveillance teams can cut review volumes by up to 77% with Intelligent Agent, and identify 3–5x more real risks across multilingual communications
- Faster legal discovery: Legal teams can accelerate case assessment with Discovery Agent, reducing investigation costs by up to 75% and reliance on outside counsel
- Less noise for smaller teams: Small and mid-sized firms can reduce compliance alert volumes by up to 60% with Noise Reduction Agent
Built for Enterprise Scale and Immediate Adoption
Smarsh solutions are available through AWS Marketplace, enabling organizations to accelerate deployment and maximize existing AWS investments.
As financial institutions move from AI pilots to enterprise-wide deployment, Smarsh is establishing a new benchmark for scalable, compliant AI innovation—helping firms modernize operations while strengthening trust, oversight, and resilience.
