Across financial institutions in North America, Europe, and the Asia-Pacific, IT budgets in 2011 are up or holding steady, though how this money will be spent varies from region to region, finds a new report from the Aite Group.
In North America, the top three business or function areas for IT projects are small-business banking, payments, and consumer banking; in Europe, they are corporate banking, the finance function, and consumer banking; and in the Asia-Pacific, they are small-business banking, corporate banking, and payments. To achieve their goals for these business areas, financial institutions in North America and the Asia-Pacific tend to use vendor solutions, while European institutions prefer to build solutions in-house. Globally, few financial institutions have adopted Software as a Service, and vendors will have their work cut out for them in explaining how it differs from other types of solutions.
“IT budgets at most large financial institutions in North America, Europe, and the Asia-Pacific are in a period of growth or, at least, stability,” says Gwenn Bézard, research director with Aite Group and co-author of this report. “These regions vary in the way they approach and consume IT and what they want to achieve through IT investment. These distinctions are important for vendors seeking to gain a share of a financial institution’s IT budget.”
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