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Singaporean bank DBS has signed an agreement with Amazon Web Services (AWS) to leverage its cloud technology. DBS plans to create a hybrid cloud environment that it will use alongside its existing data centers.
DBS has said that using cloud will help it better meet customer needs and speed up the pace of innovation. It is one of a growing number of financial services firms that are testing or using AWS cloud, including Capital One and JPMorgan. Here are some reasons why banks are using cloud technology: Flexibility. Using both cloud and data centres allows banks to choose where they want to run systems. For operations that require a high level of security, they can use existing data centres, which are known to be secure but have limited capacity. For operations that have lower security requirements but require high levels of processing power — like experimenting with new products — banks can choose to use the cloud.
Scale. Cloud technology enables banks to quickly scale processing capacity up or down in order to react to changes in customer demand. This also means that the bank has less need for physical data infrastructure. The first department of DBS to leverage AWS will be Treasury and Markets. The cloud integration will allow the business unit to more effectively handle short-term trading surges, like those caused by Brexit.
Risk. A hybrid cloud can mean either a combination of private or public cloud, or a combination of cloud and legacy infrastructure. In either case, a hybrid cloud environment can be used to create create a level of redundancy in critical systems. That means if one […]
