The financial world has traditionally been built on systems of record and networks of trust dating back decades if not centuries. But the post-pandemic financial world will increasingly depend on digital technology in general, and the cloud in particular, to power the recovery and expand access to financial products.
That is the context for the technology partnership Huawei has sealed with Switzerland-based banking software company Temenos, announced at the Huawei Intelligent Finance Summit, 2021.
The deal means Temenos’ cloud-native core banking software will be offered on Huawei’s Public Cloud. The two companies will also collaborate on sales and marketing as well as implementation and training. Geographically, the partnership covers Asia-Pacific (APAC) with a specific focus on China, and it also includes Africa, Europe, Latin America and the Middle East.
Temenos is the first core banking software provider to be certified on Huawei’s infrastructure and public cloud platform. Over 3,000 banking and financial institutions worldwide use Temenos’ cloud-native software, reaching over 30 per cent of the global banking population.
Huawei already works with over 2,000 financial institutions, including almost half of the world’s top 100 banks.
Philip Barnett, Temenos’ president of strategic growth, noted that the tie-up with Huawei would “massively accelerate” its penetration of the Chinese market that is worth around $6 billion.” Globally, our API-first, cloud-native core banking solution based on Huawei Cloud will provide banks with flexibility, agility, elasticity, and accelerate time to market.”
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The Huawei-Temenos partnership aims to deliver new values to banks so that they can:
- Create and launch innovative solutions that really help their existing customers while also attracting new ones
- Deliver market-leading efficiency, while maximising profitability
- Simplify, automate and transform bank’s core processing so they become more effective and thus can achieve world-leading RoE.
The companies said the pandemic has fuelled the demand for cloud-based banking, in turn highlighting the need for banks to adopt more resilient and agile platforms. Traditional banks are increasingly adopting the cloud to enable digital transformation, reduce complexity and accelerate speed to market, while digital-first banks use the cloud to “launch fast” without a huge investment in IT infrastructures.
Announcing the deal with Temenos at the Huawei Intelligent Finance Summit, Ma Yue, Executive Vice President, Huawei Enterprise Business Group (EBG) and President, Huawei EBG Global Partner Development and Sales, said it would continue to strengthen its ties with “solution competent partners” like Temenos.
