Banks generally make only limited use of private cloud but enough to understand general cloud issues. Public cloud usage at the moment is generally very low or non-existent. All banks have strong growth plans over the next 5 years with the tier 2 banks being more aggressive than the tier 1s. This is due to a number of factors – tier 2 banks do not have the legacy and technology complexity of tier 1s; they are more nimble and aggressive, and some of their key (third- party) applications are already being ported to the cloud by vendors. Some tier 1 (and tier 2) banks are planning to move directly from internal legacy systems directly to cloud native systems – CloudMargin in the collateral space being a good example.
In the general cloud marketplace Amazon is dominant with around 33% of market share - more than the next three biggest combined. However, in the capital markets space, Microsoft leads, closely followed by Amazon then Google. IBM is the only other major player mentioned.
