Digital Realty released a new research showing that more than half of IT leaders don’t think their IT capabilities are good enough to compete with FinTech competitors.
The research surveys 100 IT decision makers in large financial services companies to understand:
- How prepared they are for the challenge presented by fintech disruptors
- How ready their IT systems are for the challenges of 2018, particularly as GDPR, MIFID II and open banking come into force
- Their faith in the security of their IT systems
Key findings include:
Financial Service companies don’t feel prepared to compete with FinTech disruptors thanks to outdated IT systems:
- 52% of FS companies don’t think their IT Systems are up to scratch vs Fintechs.
- 42% of FS companies feel throttled by their bandwidth Vs FinTechs.
- 80% of FS companies are believed FinTechs are aggressively pursuing market share via innovation
- 65% believe FinTechs benefit from modern infrastructure and no legacy IT
Despite GDPR and MIFID II imposing big financial penalties on companies that can’t properly manage, secure and report their data, much of the industry still lacks confidence in their IT systems:
- A fifth of IT leaders rate their IT capabilities as ‘fair’ or ‘below average’
- Just 21% of IT leaders believe they have everything in place to meet or exceed their business needs
- Just a third (32%) of Financial Services IT professionals have confidence in their IT defences.
- Though 62% of IT teams are investing to address legacy issues and modernise infrastructure
Security remains an unbeaten challenge
- 54% of FS IT departments feel they are “constantly fighting” to update defences.
- 20% of FS IT leaders name a security breach as their biggest fear. More than any other anxiety
- Just A third (32%) of Financial Services IT professionals have confidence in their IT defences.
You can download the full report at: https://www.dropbox.com/s/3zngcts70zflxtp/All_Change_in_Financial_Services_WP.pdf?dl=0
