PriyaPatel
TLDR:
Cloud computing has transformed the financial services sector, providing scalability, efficiency, and innovation. It has allowed fintechs and insurtechs to rival traditional institutions, adapt at pace, and provide added value to customers. Collaboration between banks and fintechs has driven modernization and cloud migration plays a pivotal role in this transition. However, legacy banking platforms present challenges in integration with modern systems. Data sovereignty, security, and privacy concerns remain top priorities for banks migrating to the cloud.
Key Elements of the Article:
- Cloud computing has reshaped the technology function in the financial services sector
- Cloud-based capabilities influence product development, payments infrastructure, customer service, and cybersecurity strategies
- The foundation for fintech innovation and the catalyst for leading fintechs and insurtechs is cloud computing
- The cloud has allowed financial businesses to scale, deploy new services quickly, and focus on growth
- Increased collaboration between banks and fintechs facilitated by cloud migration drives modernization
Cloud migration presents challenges for banks due to the inherent inflexibility of legacy banking platforms, requiring careful planning and expertise for a smooth transition.
