The partnership between Deutsche Bank and Google will not only result in cloud transition but also enables the development of technology-based financial products
Deutsche Bank has agreed to form a multi-year strategic partnership with Google Cloud to accelerate its cloud transition.
The partnership is also expected to allow co-innovation between the companies to create technology-based financial products for clients.
Deutsche Bank and Google have signed a letter of intent and plan to sign a multi-year contract within the next few months.
Through the partnership, Deutsche Bank will accelerate its cloud transition and build on technical capabilities such as data science, artificial intelligence (AI) and machine learning (ML) to better serve customers.
Deutsche Bank will transform its IT architecture with Google Cloud
Google Cloud is expected to transform the bank’s IT architecture and generate significant value for its clients. Deutsche Bank’s present system will be transformed and optimised in a phased manner.
The two organisations have also committed to compliance with privacy and data protection regulations to maintain confidentiality, integrity and availability of the bank’s customer data and information assets.
Deutsche Bank CEO Christian Sewing said: “The partnership with Google Cloud will be an important driver of our strategic transformation. It demonstrates our determination to invest in our technology as our future is strongly linked to successful digitization. It is as much a revenue story as it is about costs.”
The partnership will the offer the German bank direct access to Google’s data science, AI and ML which can be applied by the bank in helping its treasury clients in day-to-day tasks such as cash flow forecasting, improved risk analytics and advanced security solutions to protect clients’ accounts.
For private banking business, the digital solutions will focus on simplifying the interactions between customers and employees.
Google and Alphabet CEO Sundar Pichai said: “For more than 150 years, Deutsche Bank has been an industry pioneer, with a strong record of innovation in the financial services sector.
“We’re excited about our strategic partnership and the opportunity for Google Cloud to be helpful to Deutsche Bank and its clients as they grow their business and shape the future of the financial services industry.”
Deutsche Bank claims to have selected Google after several intensive discussions in the last five months.
In February, the bank had invited several major cloud service providers to propose a partnership as part of the multi-vendor cloud strategy.
Deutsche Bank chief technology, data and innovation officer and management board member Bernd Leukert said: “This cooperation with Google Cloud is a significant step forward for our technology strategy, and will transform the way we produce and deliver our client services.
“By bringing together the best of both cultures, we look forward to creating new business models leveraging artificial intelligence, data analytics, and more, with an established technology and innovation leader.”