The scale of financial commitment to digital transformation
The evolution of bank-FinTech narrative towards a hybrid model ensures short-term gains in terms of ROI, long-term bets on specific technologies, the FinTech product roadmap being in line with the bank’s own roadmap, etc.
In their effort to automate more parts of their businesses, about 50% of the world’s financial services firms are planning to acquire FinTech startups in the next several years. About 8 out of 10 institutions foresee making strategic partnerships with P2P lenders, digital money transfer platforms, and a myriad other firms that are reshaping the business of money. A number of institutions start with creating internal innovation engines in forms of API markets, developer hubs and portals — Visa Developer Center, Capital One’s DevExchange Developer Portal, Citigroup’s global API developer hub, BBVA API Market, and more.
Digital transformation touches every aspect of the banking business, with RPA investments alone expected to have a $6.7 trillion global economic impact — a plan that will result in a 40-45% growth of global spending on technology. The estimated...