Deutsche Bank has signed a 10-year outsourcing deal with HP that will see the German lender move to a private cloud platform.
Under the terms of the agreement – said to be worth billions of dollars – HP will provide dedicated data centre services on demand including storage, platform and hosting, with the bank shifting its applications to the firm's Helion cloud.
“This agreement enables Deutsche Bank to secure standardised, world-class IT infrastructure while lowering costs,” said Henry Ritchotte, chief operating officer of Deutsche Bank.
“Having a more modern and agile technology platform will further improve the bank’s ability to launch new products and services and lay the foundation for the next phase of its digital strategy.”
HP will also overhaul and rationalise a range of applications owned by the bank.
“Deutsche Bank is taking a proactive approach to modernising its IT infrastructure and has chosen to partner with HP in order to do that,” Meg Whitman, chairman, president and CEO, Hewlett-Packard.
“Through this partnership, Deutsche Bank will meet its long-term business objectives through a transformation of its IT infrastructure, including a customised HP Helion solution that will enable them to focus on creating and delivering new services for their clients.”
Commenting on the deal, TechMarketView financial services analyst Peter Roe said: “Deutsche Bank has long had a more centrally-driven and structured approach to IT than many other banks, who may find it more difficult to move to such a delivery model.
“However, banks are looking for further cost savings and need to focus on leveraging their core banking expertise rather than devote precious resources to the provision of IT infrastructure. This deal by Deutsche is a clear signal to other banks of the value of such a move, and a large feather in HP’s cap.”