The news: JPMorgan Chase kicked off the bank earnings season with a solid core performance, but an earnings reduction due to its acquisition of the Apple Card credit portfolio from Goldman Sachs resulted in reduced reported numbers. Still, the capital markets division stood out for strong performance.

The top items in JPMorgan’s earnings this quarter were related to technology spending, Apple Card, and mobile banking.

• CEO Jamie Dimon defended the bank’s tech spending—it expected to spend $18 billion in 2025—emphasizing competition from big fintechs and traditional financial institutions (FIs).
• JPMorgan established a $2.2 billion credit reserve related to its acquisition of the Apple Card portfolio from Goldman Sachs. It may ultimately take over deposits for Apple Savings as well.
• The number of active JPMorgan mobile banking customers in Q4 2025 was 61.7 million, up 7% YoY amid increasing consumer adoption of mobile banking across age groups.

Implications for the banking industry: JPMorgan is a bellwether for the banking industry and sets the benchmark for investments in technology and—with the acquisition of the Apple Card portfolio—large FIs’ relationships with fintechs. Few FIs can match the financial firepower of JPMorgan. But they need to think beyond what banking looks like today—their business models and supporting technology—to what it will look like in three to five years.

At the same time, banks are caught up in the need to care for the imminent demands within traditional banking. Despite consistently strong banking results, the macroeconomic outlook is shaky—with widespread signs of credit stress. Other concerns include the fiscal deficit, tariffs and trade tensions, and high asset prices. In addition, the banking industry is subject to macroeconomic risks and rewards through traditional banking products and services but is held back by legacy business models and dated technology.