Cloud computing cloud begins to fall in the rain financial services industry

In just a few years, cloud computing has shifted from a somewhat Yunshan model of technology management to a key basis for changing the way business leaders properly evaluate the underlying technologies that underpin their growth. But what does cloud computing mean in financial markets, where service providers do not give a clear definition, and consumers in general don't understand the impact of cloud computing on the financial business.

Admittedly, early definitions and descriptions of cloud computing often need to rely on metaphors or analogies, without specific terminology and value definitions.

The rise of the financial cloud

The Great Recession of the 2008 was the catalyst for cloud computing to get more applications in the financial services industry. The main focus of the financial services industry at the time was cloud computing and its applicability in the industry. While the recession does add to a number of new cloud-computing adopters (most adopters want to deploy through cloud computing to achieve greater cost-effectiveness in depressed markets), there has been a long-term trend towards cloud computing over the past few years among hedge funds and private-equity firms. In these areas of investment, the early adopters of cloud computing often have relatively independent business models that give them greater flexibility in adopting new technologies and improving efficiency.

The success stories of early cloud users, such as high-frequency trading companies in the early 2007, often used private cloud services to host proprietary hardware, raised concerns among other financial services firms about the applicability of cloud computing in the financial sector. In the early 2010, cloud computing in the financial services industry in the deployment of a turnaround in 2011, the financial services sector cloud computing deployment continues to increase, financial markets have been ready to meet the "cloud computing mainstream technology" era.

Last year, in particular, the prospect of cloud computing's applicability in the financial services industry began to emerge clearly. While some companies have announced the use of a public cloud to provide e-mail and calendar services, Spain's bank, BBVA, and Google are working together. But in the current position, the financial industry generally accepted the private cloud model.

Instead of confusing the private cloud with the internal cloud, the private cloud enables organizations to improve efficiencies by leveraging secure, centrally managed global network and storage capabilities while allowing them to run business-critical applications using proprietary hardware. The private cloud computing model provides efficient security for users without adversely affecting performance and security.

Review the development of cloud computing in the financial industry

Looking forward to 2012, we will see how financial services users can leverage private clouds to improve efficiency, improve application and business services, and other key developments. In particular, we will see a clear cloud strategy from service providers. such as prime brokers, fund managers and exchanges. We have seen this trend in the 2011.

In April 2011, Conifer Nomura, the fund management and principal brokerage service provider, announced a partnership with Cloud-based software development provider Investcloud to launch a solution called icon To facilitate on-demand access to conifer fund management and prime brokerage services. This is done by using a private cloud.

The New York Stock Exchange announced the launch of its capital CMC Community platform platform in June 2011, the company's first foray into computer services. This platform can provide higher access efficiency for services by computing resources on demand.

This partnership will continue to grow in 2012. Application developers and service providers are increasingly bringing private clouds to market more quickly and efficiently. The private cloud will also speed up the application of these new technologies and services to meet users ' expectations.

As this partnership grows, private cloud services will become the dominant force in the financial services industry. The private cloud's third-party or independent vendors are better positioned to bring more benefits to their partners and customers.

Defining the future of a private cloud

So what is a private cloud service platform? What tools does it need to provide to the financial services industry? The private cloud service platform provides on-demand access to network, computing, storage, and application management resources. Vendors will provide solutions to their customers by providing low latency market data and market access, as well as by providing technology and service providers with a convenient, fast, and secure way to deliver the solution.

The end users of financial markets-investment banks, brokers, market makers and asset managers-are increasingly starting to push more complex applications to private clouds. For example, order management system, portfolio accounting system and enterprise risk management system. Previously, most of these applications were considered too complex to be deployed outside the enterprise, and these applications will now enter the era of private cloud.

The main driving force in the application of cloud computing in financial markets is the reduction of the human and material costs required for infrastructure and management at the bottom. Another driver is that end users migrate complex applications to private clouds, access standardized application management resources and expert system management skills, and better adapt to services provided by service providers. At the same time, end users moving their technology to a private cloud will accelerate the pace of the vendor Community's entry into the cloud and accelerate the industry-wide migration to the private cloud.

The financial cloud has begun to fall

These developments, many of which are already underway, indicate that the financial industry's cloud computing has begun to fall, and that the industry has long been concerned about security issues that suppliers can address by tailoring their services to financial market participants. Cloud computing's deployment in the financial sector will increase rapidly, and cloud technology adoption has reached a tipping point. The long-term positive image of cloud computing-cost-effectiveness, flexibility will increasingly attract market participants and will encourage more and more suppliers to enter the market.

With the growth of financial cloud service providers in the 2012, it is expected that with healthy competition among suppliers, a dynamic, rich application and service environment will emerge to ensure that end users can choose the technology and services they need to manage their business. A cloud service provider that binds a set of applications to its products may not be appropriate for end users pursuing sustainable development. The final development trend is also about to move towards a path of flexibility that is responsive to end-user development.

With the competition among private cloud service providers, there will be some mergers in the market, and eventually several major suppliers will occupy most of the market. These suppliers will need to provide flexible, diverse solutions to market gradually. Of course, more and more end users want to be able to get a broader range of services and markets from private cloud services.