This Celent Blog examines financial institution (FI) cloud adoption drivers and rates, the impact of the COVID-19 pandemic (“pandemic”) on FI cloud migration plans, and the critical role of application modernization on cloud adoption. This blog is based on a recent Celent/IBM webinar on application modernization and its role in managing hybrid cloud: Celent/IBM webinar
Why Cloud, Why Now?
External technology innovation and new market entrants are forcing incumbents to rethink where and how they source and deploy technology. The technical flexibility of cloud deployment is enabling financial institutions to more rapidly introduce new products and services to attract, grow and retain customer relationships. At the same time, external ecosystems of business partners and solution providers are evolving, such as cloud hosting providers verticalizing their offerings for the financial services industry. Inside the financial institution, the IT division is planning and building cloud solutions to create this agility internally for themselves, identify cost optimization opportunities and introduce new customer product quickly. This is enabling many FIs to reimagine how they do business in ways uniquely different from the past.