disintermediation

American  

[dis-in-ter-mee-dee-ey-shuhn] / ˌdɪs ɪn tərˌmi diˈeɪ ʃən /

noun

1. the act of removing funds from savings banks and placing them into short-term investments on which the interest-rate yields are higher.

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disintermediation British  

/ dɪsˌɪntəˌmiːdɪˈeɪʃən /

noun

1. finance the elimination of such financial intermediaries as banks and brokers in transactions between principals, often as a result of deregulation and the use of computers

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Etymology

Origin of disintermediation

First recorded in 1965–70; dis- ¹ + intermediation

Example Sentences

In our view, Oracle’s business should be more resilient than other software names facing artificial-intelligence disintermediation from vertically integrated customer entrenchment, and providing the compute for AI.

From Barron's • Mar. 14, 2026

When the cycle happens, Dimon adds, it may be worse for software than other sectors, especially if AI disintermediation is greater than people expect.

From The Wall Street Journal • Mar. 3, 2026

Meanwhile, software stocks have been badly hit by fears of AI-driven disintermediation.

From MarketWatch • Feb. 17, 2026

What I have taken advantage of is what so many, many, many, many other people have taken advantage of, which is today the total disintermediation of the public discourse.

From Slate • Jun. 3, 2022

That’s a separate trend that’s happening that is part of the disintermediation of distributors.

From The Verge • Mar. 15, 2022