IBM has announced that BNP Paribas has signed a deal to expand its use of IBM Services as part of its cloud strategy. It is to integrate and host IBM Cloud solutions in its own data centres. This will give the bank control of the cloud services it wants and accelerate its digitisation plans. This is also about efficiency as the bank moves away from its legacy systems.
The end goal for BNP Paribas is to speed up its ability to deliver new cloud-based services to customers. Using its own data centres ensures that the bank can meet its regulatory requirement to maintain data securely.
This deal is also about the extension of a partnership that has been around for some time. It will extend the initial deal for eight more years. It also extends the life of the IT Services joint venture – BNP Paribas Partners for Innovation (BP2I). This was set up in 2003 and will now run through to 2027.
Enterprise Times: What does this mean
This is good news for the IBM Cloud division. It comes in the same week as it signed a US$550 million deal with Vodafone for cloud services. While no value was given for the BNP Paribas deal in the press release, it is likely to be substantial. Importantly, it strengthens the existing joint venture between the two companies and continues to show IBM’s dominance in the banking and financial services sector.