To assist financial institutions in integrating cloud computing capabilities with their current infrastructure, enterprise open-source company Red Hat has partnered with financial technology supplier SBS, which creates software for banks and lenders.

Red Hat OpenShift, a container technology that enables businesses to execute apps across various computing environments, is the focus of the partnership.

With the help of this technology, banks may embrace cloud computing while preserving their current on-premise systems that meet legal requirements.

Legacy systems meet cloud computing

According to research, 90% of financial institutions are adopting cloud computing in a hybrid fashion, which involves keeping their current systems in place while introducing cloud-based services gradually.

By using this approach, banks may modernize their IT stack while maintaining infrastructure investments.

Red Hat OpenShift will be included into SBS's financial software solutions. SBS services customers such as Santander, Société Générale, and Toyota Financial Services.

The platform enables banks to retain sensitive data in their existing systems while offering what the industry refers to as "cloud-native" capabilities, or apps designed especially to operate in cloud computing settings.

For SBS, formerly known as Sopra Banking Software, the alliance represents a dramatic change.

According to technology research firm IDC, the company employs 3,400 people across 50 offices worldwide and is among the top 10 European fintech providers.

Transformation through technology

Red Hat will supply the technology underpinnings for SBS's next banking solutions. Red Hat specializes in Linux operating systems and Kubernetes container management software. Core banking, lending, compliance, payments, and consumer finance applications are all covered by these solutions.

The partnership intends to tackle particular issues in the financial services industry, where organizations have to strike a balance between innovation and rigorous regulatory adherence.

OpenShift's hybrid cloud strategy enables banks to update their systems without sacrificing security or legal requirements.

"We're giving our clients the flexibility to leverage a cloud-agnostic strategy with a fully managed application platform with Red Hat OpenShift," explains SBS CEO Eric Bierry.

For organizations that wish to take use of the cloud while still meeting security and regulatory standards for their vital data, it's a calculated move.

 

Global deployment strategy

Delivering localized technical help to SBS's clientele in over 80 regions is the goal of the cooperation.

This strengthens the partnership between Red Hat and Sopra Steria, the previous parent company of SBS, which continues to hold its position as a Red Hat Premier Business Partner in a number of European countries.

It gives financial organizations access to the advantages of cloud computing, such as better scalability and more operational flexibility. The platform gives banks more control over their data infrastructure while allowing them to roll out new services faster.

"We're pleased to collaborate with SBS, which is deeply engaged with financial services institutions in the region, to help address the application development needs of the financial sector," said Penny Philpot, EMEA Ecosystems Vice President at Red Hat, describing the partnership as a reflection of broader industry changes.