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CEO of Dark Matter, Vikas Rao, is committing to an AI-first strategy. In this episode of Ten Minute Talks, Rao joins Allison LaForgia after his appointment to CEO, and to discuss how 95% of the Dark Matter team is using AI daily and why an AI-first operation is becoming the industry standard.

Rao explains how explainable AI is critical for compliance and fair lending, and how lenders are achieving incredible adoption rates with new technology solutions. The conversation dives into Rao’s leadership, innovation culture, and explores customer adoption and the operational shifts mortgage companies should make to remain competitive in a rapidly evolving market.

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Transcript
00:09Joining me on this episode of 10-Minute Talks, I have Vikas Rao, the CEO of Dark Matter Technologies.
00:16Thank you for joining me today.
00:17Yeah, great to be here.
00:20So this is a new announcement.
00:22We're getting you right after some of the initial press around your new role as CEO.
00:28And your career has been built on the intersection of product strategy and technology.
00:34How has that perspective shaped the leadership approach that you're bringing into your role as CEO?
00:42You know, yeah, as you mentioned, my career has really been about building fantastic products for our customers, whichever organization
00:51I was part of.
00:53And, you know, what that means for me is, you know, I bring a very customer-first, customer-centric product
01:01innovation approach to everything I do.
01:04We are a technology company, you know, serving this fantastic industry.
01:09And we have some incredible customers on our platform.
01:12So my focus is to help these customers be, you know, very successful.
01:19You know, paradigm is shifting from a technology and lending perspective.
01:24And we want to help lead our customers into that future, right?
01:29So the shift is one to being innovation-focused and very customer-centric as opposed to being much more of
01:37a commercial focus.
01:39It's all about, you know, driving product innovation for the future.
01:45What you just said now really echoes a lot of the language that was in the announcement that you had
01:51posted about the role.
01:53And you emphasized in that announcement, building the infrastructure that quietly powers everything people depend on.
02:02How does that philosophy translate into your priorities for scaling the business and driving long-term impact?
02:09So, you know, first of all, that's what dark matter is, right?
02:14You know, the actual scientific term.
02:16And, you know, the time when people would go into applications and click buttons and navigate screens, that's a thing
02:24of the past.
02:26Where our customers really want us to be is where it's an exception-based workflow.
02:32People are not doing things.
02:34It's automation.
02:36It's AI.
02:36AI, that's the doing.
02:39And humans come in to review what AI did.
02:42And that's how everything is shifting.
02:46You know, and we have now the platform on top of which all of this can happen.
02:51And so we're doubling down on that and just really creating this incredible automated experience, you know, for our lenders.
03:01At the same time, very intuitive experience for the borrowers who, you know, who interact with these lenders.
03:07You just mentioned the magic word, AI.
03:10And you have highlighted an AI-first approach as a central to the company's direction.
03:17From a leadership standpoint, what does it take to embed that kind of mindset across teams, culture, and execution and
03:25not just at the product level?
03:26Yeah, I mean, internally as well as externally, you know, we're very AI-focused.
03:32So about 12 months ago, we embarked upon this very intentional journey to distribute and adopt AI within dark matter.
03:42Over 95% of our organization uses AI on a daily basis today.
03:46So our engineers, our testers, our finance team, you know, like nobody just starts with, you know, a blank screen.
03:57They're asking of AI what they want from, as an output.
04:02And that's driving them their review and acceptance.
04:06So it's how you start now is not with work and then have AI check it.
04:11You're starting with AI, have it do the work, and then you're reviewing it.
04:14And that's transformed how we organize, how we operate, and the productivity of, you know, the dark matter team.
04:22It's a very high-functioning team.
04:24And that's what's, you know, allowing us to move at the pace at which we are moving, you know, lately.
04:30So how do you balance that pace, accelerating innovation with ensuring that what you build remains practical and valuable for
04:42lenders that are navigating real operational challenges in a market that changes seemingly day-to-day, week-to-week?
04:50Yeah, you know, and that's a great question.
04:52You know, AI, you know, for this regulated industry, has to be extremely well thought through.
05:02The explainability of AI is as important as, you know, adopting AI.
05:08So, you know, in this industry, you can't just have an outcome which you cannot explain, you know, fair lending
05:17laws, all of these things.
05:18You know, you need to be able to explain how your AI arrived at a conclusion.
05:22So that's something that we really pay a lot of attention to.
05:26And this is why, you know, we feel we're best suited to help our customers adopt this technology because everyone
05:34has a lot of questions on what this means for them, how they can adopt it, what's the security, what's
05:40the data privacy.
05:41All of that has to be thought through and explained.
05:45And, you know, we're really trying to bring customers along with us on this journey so that, you know, we're
05:50not just adopting it or rolling it out, but it's getting adopted and they are seeing success from that.
05:56You know, that's really what the measure of success is when our customers are adopting it and seeing the value
06:02from it.
06:03And you said that you're covering all of the bases for them.
06:07You're thinking about all of those compliance and transparency standpoints.
06:11Absolutely.
06:12It's a great opportunity for something that can perhaps be a little bit scary to get into as an industry
06:19to have a partner who's willing to do that with you.
06:23Yeah.
06:23You know, we have some great customers who've actually been kind of leading this with us.
06:30So we just put out a podcast, you know, with one of our flagship customers, Truist, who adopted one of
06:37our AI solutions.
06:38And they have 99% adoption within their organization.
06:42That's insane.
06:44That too with their underwriters.
06:46You know, and oftentimes underwriters resist change.
06:50They want to check everything.
06:52Yet they were able to develop champions internally and have them drive this internal adoption.
06:59And they've seen incredible value from this.
07:01I mean, that's just one example, but so many of our customers are adopting the AI solutions that we're putting
07:07out there and seeing success from them.
07:10That's a really high adoption rate.
07:11That's incredible.
07:12So I want to dig into some recent organizational challenges, including workforce adjustments.
07:18How are you thinking about aligning talent, culture, and strategy to support a faster pace of innovation and maintaining internal
07:28stability and trust?
07:30Yeah.
07:31The nature of work is transformed, you know.
07:34And what that really means is it changes how we organize, how we operate, and the pace at which, you
07:42know, we all move.
07:46And, again, we invest in our teammates.
07:49You know, we're spending more on AI technology, you know, AI tools internally than we ever have because we want
07:56our team to have the best tools out there to be, you know, the best at what they do.
08:01At the same time, you know, we're setting incredible standards for everybody to achieve.
08:08But how, you know, everybody feels good about it is when you win together as a team.
08:13You know, some of the, you know, even if you take sports analogies, you know, the teams that work the
08:20hardest, they all seem fulfilled because of the winning that happens, you know, together as a team.
08:27So that's the culture.
08:30And another, you know, very important thing that, you know, I personally value and I always talk about this with
08:35our team is, you know, positional authority is not the way.
08:40And, you know, I'm never going to win an argument, you know, by using my position.
08:47Best ideas have to win.
08:50And when people feel that their voice is heard, their ideas are heard, and they are directly transforming the organization,
08:59it just feels, you know, that ownership mindset allows them to be, you know, really engaged and drive towards, you
09:07know, our company's success.
09:08So let's end on a forward-looking note.
09:12When you look ahead, what does success look like under your leadership, both for Dark Matter Technologies as a company
09:22and for the broader mortgage ecosystem?
09:25First of all, technology-wise, what's possible today was not possible a few years ago.
09:31So I'm energized by what we as Dark Matter can do, not just for our customers, but for the industry.
09:40We are setting the bar as to how lenders should, you know, should be thinking about their operations, how they
09:48organize, and the experience they can offer their customers.
09:54So for our customers, you know, they are in for an incredible journey with us, and from a forward-looking
10:02perspective, you know, hope to bring a lot more customers along for that ride.
10:07But the days of people, you know, manually doing things, you know, checking things, those days are over.
10:16So it's now, the nature of work has shifted from doing to reviewing, and that's the journey we're taking our
10:24customers on.
10:25I'm very excited to see what's next, because thank you so much for taking me through how you're looking at
10:31growth at Dark Matter Technologies.
10:33We'll have to talk again soon.
10:35Yeah, would love to.
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