Uploaded October 2019 | Updated September 2026, 8 hours ago
Comment after keynote on future of banking for Wolters Kluwer. Comment after Future Banking keynote for Wolters Kluwer in Portugal: Expect radical changes in banking, driven by emotion as well as tech. For example in Germany, % of economy traded online is only 25% of that in the UK because of differences in trust re online payments.
Expect loads more bank mergers: only 2 mobile phone operating systems in world; 2 major airline builders; 6 major auto companies BUT 26,000 banks / credit unions, while costs spiral / bank with regulation, cybersecurity etc. Major challenge to mergers will continue to be legacy systems since 97/100 largest banks globally still using cobol-based 1980s type systems on IBM hardware, costing on AVERAGE $100m to maintain EACH, with massive headaches to integrate to or more such dinosaurs after every merger or acquisition. And sometimes with a single acquisition, a larger bank can find itself lumbered with 3 or 4 old systems in the group they just bought, none of which "talk' to each other properly.
In almost every case, no one in these banks knows how all their old systems work and what the interdependencies really are - which is one reason for major service outages from time to time. Tinkering with one area can easily lead to a meltdown in another.
Comment after keynote on future of banking for Wolters Kluwer. Comment after Future Banking keynote for Wolters Kluwer in Portugal: Expect radical changes in banking, driven by emotion as well as tech. For example in Germany, % of economy traded online is only 25% of that in the UK because of differences in trust re online payments.
Expect loads more bank mergers: only 2 mobile phone operating systems in world; 2 major airline builders; 6 major auto companies BUT 26,000 banks / credit unions, while costs spiral / bank with regulation, cybersecurity etc. Major challenge to mergers will continue to be legacy systems since 97/100 largest banks globally still using cobol-based 1980s type systems on IBM hardware, costing on AVERAGE $100m to maintain EACH, with massive headaches to integrate to or more such dinosaurs after every merger or acquisition. And sometimes with a single acquisition, a larger bank can find itself lumbered with 3 or 4 old systems in the group they just bought, none of which "talk' to each other properly.
In almost every case, no one in these banks knows how all their old systems work and what the interdependencies really are - which is one reason for major service outages from time to time. Tinkering with one area can easily lead to a meltdown in another.
