BackFinacle helps Infosys win more digital deals in BFSI segment
Finacle, part of EdgeVerve Systems, a wholly-owned product subsidiary of Infosys, has evolved over time ever since it was launched as a universal banking solution in 2001
PremiumBENGALURU: Infosys Ltd’s digital banking solution Finacle is helping the IT services major win more deals in the banking, financial services and insurance (BFSI) sector, which is undergoing massive digital transformation in the wake of the coronavirus pandemic.
Infosys Finacle is doing so by helping large banks. which are modernising their outdated IT systems, move their operations to the cloud. “Currently, more than 80% of the new conversations on Finacle are on the cloud," said Rajashekara Maiya, global head of Business Consulting-Finacle at Infosys.
According to an IDC cloud survey, post covid-19, there has been an increased willingness among banks to move even mission-critical workloads such as core banking systems to the cloud.
That said, Finacle is sold both as a standalone financial product as well as bundled as an offering with BFSI deals of Infosys, which are mostly in the digital space today.
“Finacle has been a catalyst for the rest of Infosys…it acts as an accelerator for the financial institutions or anybody who wants to provide financial services at a much faster pace. That is how the entire conversations are happening right now," Maiya said.
Finacle, part of EdgeVerve Systems, a wholly-owned product subsidiary of Infosys, has evolved over time ever since it was launched as a universal banking solution in 2001.
“Since then, a lot of technology changes have taken place in terms of mobile, cloud, analytics, and artificial intelligence and we have been ahead of the curve in each of these areas including the capabilities around blockchain when the industry was not even aware of what's happening in distributed ledger," Maiya said.
EdgeVerve Systems launched its first blockchain solution known as Finacle Payments Connect in 2016. It is a blockchain-based solution to digitize and automate international payments operations among corresponding banking relationships. In 2018, it launched Finacle Trade Connect, a blockchain-based solution developed to digitize and automate inter-organization trade finance process on a unified distributed, trusted and shared network.
Analysts believe Finacle lends Infosys some clear advantages. “Having an entrenched core banking system platform is a clear differentiator. It indicates to prospective clients a deep understanding of the space. Since large customers are locked in through Finacle, such customers leverage Infosys strategically to address emerging trends. This gives Infosys an edge as it pitches for emerging technologies to prospective customers. Finacle enables Infosys to be positioned as a strategy consultant in the BFSI space rather than a technology vendor," said Abhisek Mukherjee, cofounder and director, Auctus Advisors.
To be sure, Finacle competes with the financial products of other companies such as Switzerland-based Temenos, Oracle, SAP, and Tata Consultancy Services Ltd (TCS) which offers BaNCS.
Finacle counts some of the world’s top financial institutions as its customers including ING, Standard Bank, Discover Financial Services, Santander, ANZ, ICICI Bank, Marcus by Goldman Sachs, DBS, Bancolombia, State Bank of India, and Emirates NBD.
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