Goldman Ditches Consumer Credit as AI Takes Center Stage

The latest earnings from Goldman Sachs, released Thursday (Jan. 15), highlight a firm increasingly defined by digital engagement, artificial intelligence and automation, even as management signaled a decisive shift away from consumer balance-sheet businesses tied to Apple Card and Apple Savings.

Management pointed to momentum heading into 2026, driven by what executives described as rising client activity and technology-enabled scale across the franchise.

AI and Automation Move to the Core

Chairman and CEO David Solomon told analysts that Goldman’s next operating chapter centers on artificial intelligence (AI) as a productivity engine rather than an experimental tool.

“Last quarter, we announced the launch of One Goldman Sachs 3.0, our new operating model propelled by Ella AI,” Solomon said, adding that the initiative is designed to “drive productivity and efficiency, enhance the client experience, improve profitability and strengthen resilience and capacity to scale.”

The firm has identified six initial workstreams, including client onboarding, regulatory reporting, lending and enterprise risk management, where AI-driven automation is expected to reduce manual processes and operating friction.

Chief Financial Officer Denis Coleman reinforced that focus, noting that productivity initiatives are central to Goldman’s efficiency agenda as compensation and transaction-driven expenses rise alongside business volumes.

Platforms Emerge as a Growth Engine

Technology investments are also reshaping Goldman’s Platform Solutions and financing businesses, which management increasingly frames as capital-light, scalable infrastructure rather than traditional banking products.

In 2025, more durable financing revenues in FICC and equities reached a record $11.4 billion, growing at a 17% compound annual rate since 2021 and accounting for 37% of total segment revenues. Management described these businesses as providing a stabilizing ballast across market cycles while benefiting from automation and data-driven execution.

Solomon said the creation of the Capital Solutions Group formalized Goldman’s platform approach to origination, structuring and client connectivity across public and private markets, with AI supporting faster execution and better risk management.

Apple Card’s Path Becomes Clearer

A key development in the quarter was Goldman’s agreement to transition the Apple Card portfolio to JPMorgan, marking a strategic narrowing of focus.

The Apple Card transition reduced Platform Solutions revenues by $2.3 billion in the quarter, but that impact was more than offset by a $2.5 billion reserve release tied to the portfolio’s move to held for sale, resulting in a net positive effect on earnings, per the company’s filings and management remarks.

Coleman said the move reflects Goldman’s broader effort to reduce capital intensity and redeploy resources toward higher-return, technology-enabled businesses.

What Happens to Apple Savings

The future of Apple Savings was also addressed indirectly as management discussed funding optimization and balance-sheet discipline.

Coleman noted that private banking and lending results were partially offset by net interest margin compression in the Marcus deposit portfolio, underscoring the firm’s reassessment of consumer-facing deposit strategies.

Solomon said Goldman has “taken final steps to narrow our strategic focus” and said later in the call, “So there currently is no agreement to transition the savings program. We’re going to continue to service and maintain our existing Apple savings customers, and we’re going to continue to offer them high-yield savings accounts as Apple Card users.”

Capital Freed Up for Tokenization and Next-Gen Tech

With consumer credit exposure declining, Goldman expects to redirect capital toward areas where technology and platforms intersect with institutional finance.

Solomon pointed to opportunities created by a lighter regulatory and cost burden, saying those changes “give us flexibility to invest over time in other things that drive growth.”

Management highlighted tokenization, market infrastructure and AI-driven platforms as areas where freed resources can deliver durable returns.

As Solomon noted, with “tokenization and stablecoins, obviously, there’s a lot going on in Washington right now,” in terms of recent legislation. “I don’t think we have to be the leader, but it would not surprise you that we have a big team of people spending a lot of time with senior leadership and doing a lot of work so that we can clearly decide where we’re investing in playing and how those technologies can expand or accelerate a variety of our existing businesses,” the CEO said.

Summing up the quarter, Solomon said Goldman’s technology investments are designed to raise the firm’s performance floor across cycles.

“We continue to see high levels of client engagement across our franchise and expect momentum to accelerate in 2026,” he said, adding that the firm is positioned to activate “a flywheel of activity across our entire firm.”

Shares were up 4.6% in intraday trading on Thursday.