FinTech Magazine June 2024 | Page 74

RED HAT
“ This is where we at Red Hat are working tirelessly with our clients ,” continues Sasso . “ It ’ s really about educating them on the things they need to know , the things they need to be aware of and have some kind of control over . We will continue to do that as the technologies mature and become more ubiquitous .”
How banks should revolutionise existing infrastructures Of course , when outsourcing to third parties , compatibility is needed between third-party software and the often legacy infrastructure employed by banks .
Overhauling banking infrastructures has been a hot topic for some time , but , as Sasso attests , banks can ’ t do this in one fell swoop – it is a gradual process .
“ Technology is moving quickly , and sometimes decisions are being made at large institutions without understanding fully what integrations are , or what they can do for you as a bank ,” she says .
“ What I always say to clients is that the decisions they make today can create tech debt tomorrow . Now , we ’ re in the process of unpacking 40-year-old tech debt at large institutions , which is never going to be a simple process .”
To achieve consistency , banks can containerise new technologies . This is something Red Hat has been working on for almost ten years with Red Hat OpenShift , a hybrid cloud application platform enabling banks to modernise software on legacy systems as well as migrate to cloud-native systems .

“ For banks today , it ’ s about understanding how and where they can best apply Gen AI ”

RICHARD HARMON VP & GLOBAL HEAD OF FINANCIAL SERVICES , RED HAT
What ’ s more , hybrid multi-cloud services are helping banks reduce technology duplication and cognitive load on developers and operators . Harmon explains : “ If banks develop natively on one cloud , then they have to develop a different version of that same thing in every place they want to run .
“ With a hybrid multi-cloud system , you can deploy applications enterprise-wide , running anywhere , meaning technicians need to support just one piece of code and shift it across to the areas needed .”
Back-up clouds are needed to meet regulatory requirements too , so by leveraging a multi-cloud model , banks and financial institutions are favouring a multi-cloud model where one cloud can act as a backup to another .
It is therefore clear that while AI has the capacity to revolutionise banking and financial services , it ’ s important to have a rigorous understanding of its best use , and the right systems in place to support AI integration .
74 June 2024