Notice: Global Information Announces Listing on JASDAQ Standard Market of the Tokyo Stock Exchange

Cover Image
Market Research Report

Pricing for Cloud-Based Core Banking Systems: Pricing Models Evolve in the New Wave of Core Banking Investment

Published by IDC Product code 998028
Published Content info 13 Pages
Delivery time: 1-2 business days
Price
Back to Top
Pricing for Cloud-Based Core Banking Systems: Pricing Models Evolve in the New Wave of Core Banking Investment
Published: March 30, 2021 Content info: 13 Pages
Description

The benefits of migrating to fourth-generation core banking and taking advantage of cloud-based, software-as-a-service (SaaS) licensing arrangements and pricing provide a large opportunity that should be immediately considered and pursued. Refer to the references in the previous section on related research to provide further background on what constitutes viable fourth-generation core banking systems and the rationale for near-term migration.Michael Araneta, associate VP, IDC Financial Insights Asia/Pacific says, "Migrating to fourth-generation core banking systems has made it much easier to negotiate contracts and provide true-value alignment between core banking vendors and their banking clients by using stage 4 contracting and pricing via SaaS without defining and agreeing upon usage bands in advance. Regardless of how drastic the change in future volumes may be, pricing will be adjusted to reflect ongoing aligned value.Steve Shipley, senior executive adviser, IDC Financial Insights, Asia/Pacific adds, "With reduced costs and risks, migrating to fourth-generation core banking and taking advantage of cloud-based, SaaS pricing make a great deal of sense. There has never been a better time to consider transforming core banking. Our research also shows that a large wave of core banking transformation is already underway."

Table of Contents
Product Code: AP47255221

Executive Snapshot

Situation Overview

  • Changing Banking Market Landscape
  • Four Stages of Core Banking Contracts
  • Resistance to Usage-Based Pricing
  • Mechanics of Usage-Based Pricing
  • Move to Cloud and SaaS Pricing Models
  • Core Banking Commercial Constructs
    • Why Is SaaS Attractive for Core Banking?
    • Two Contrasting Case Studies
    • Core Banking Cloud Hosting Options

Advice for the Technology Buyer

Learn More

  • Related Research
  • Synopsis
Back to Top