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The last two decades have brought about massive upheaval in Europe, especially in the financial sector. The UK Government reports a decrease in the total number of banks and building society branches by 34% between 2012 and 2021. In Germany, the number of bank branches fell from around 40,000 in 2010 to 25,000 in 2020, according to statistics from the German Bundesbank, and will likely continue to fall. In 2018 alone, the number of bank branches in the Eurozone fell by 7.5% compared to the previous year, according to the ECB. The industry is in the middle of radical change with the majority of banking transactions now conducted online. Much of this change is being driven by information technology, as well as security, reliability and availability of services as key factors in determining success.
The advantage of colocation data centers
The growing demands of the financial sector in terms of cybersecurity, connectivity and sustainability have led to a change in the IT landscape. This has resulted in a move by banks and insurance companies to run their IT in colocation data centers. Within these environments, they benefit from secure infrastructure, direct connections and access to a range of power options. For us, it's crucial that we’re able to offer the industry these benefits over the long term. This is precisely why quantum technology is keeping our experts busy. Is it influencing the financial industry, and if so, what are the consequences for us as a data center operator?
Into the future with quantum technology
Looking at the financial industry, the interconnected global economy is becoming increasingly complex, making reliable market forecasts difficult. The banking market is also continuing to evolve – for example, instead of receiving interest, they are now having pay penalty interest on deposited funds. Existing models and IT systems are also reaching their limits when it comes to developing viable, profitable financial products and assessing risks. This is where quantum technology comes in. It enables – amongst other things – the rapid calculation of complex models.
Whitepaper: ‘Quantum computing in finance’
Together with several of our partners, we’ve analyzed the challenges of quantum computing, especially in finance. We’ve also examined all the latest technologies in the industry and how we, as a data center provider, can leverage these trends.
You can find the full details in our white paper, ‘Quantum computing in finance’. We see the development of quantum computing as an enormous opportunity. What are your views? We look forward to exchanging ideas with you.