This blog is part 7 of a series of 8 on the results of our inaugural research report The State of DevOps in Financial Services.

Earlier this year Contino reached out to IT professionals in financial services to gain a greater understanding of innovation and DevOps in the industry.

We received responses from 165 professionals, ranging from engineers to CTOs working at a range of financial services organizations from FinTech startups and investment funds to insurance firms and the biggest global banks.

This culminated in our research report The State of DevOps in Financial Services.

For an introduction to our findings, check out an earlier article here. This blog series will take a closer at each chapter of the report in turn.

Today, we look to the future!

The Future of Competition and Innovation

The imminence of disruption in financial services is the most-debated topic of the moment. Is the FinTech threat to incumbent enterprises genuine or just hype?

Interestingly, opinions are highly variable about the future of FinTech. 51% think that FinTech will “significantly” or “somewhat” take market share. 44% say that this will “maybe” occur or “only a little”. This is one of the most divisive questions so far.

The jury is still out!

However, very few (5%) think that there will be no impact whatsoever. FinTech will make a dent in enterprise domination, it’s just a question of to what extent.

Of companies with rapid time-to-market (< 3 months), a majority (47%) expect FinTechs to “significantly” take market share. Of those with slower time-to-market (> 12 months), a majority 51% think that only “a little” market share will be lost. Perhaps those with swift release capability are aware of what’s coming, with the laggards willfully ignoring the possibility that they will be overtaken by more nimble competitors.

Confirmation bias is a powerful thing!

Similarly, there are big differences in opinion between respondents who work for large enterprises compared to those who work for small companies. Most enterprise respondents (> 10,000 employees) think that born-in-the-cloud competition will take only “a little” market share (57%). Most SME respondents (< 100 people) by comparison reckon that FinTech will take “somewhat” or “significant” market share (66%).

Respondents predict the triumph of the kind of organization they work for. Cognitive biases are clearly at work here: we will have to wait to find out the real answer!

Want to get the whole story on the state of DevOps in financial services?

Click below to get the whole 42-page report for data-driven insights into the key challenges and opportunities within financial services!

Get the whole report!

Future Trends: AI, ML and Big Data

Beyond the debate about which companies will be successful in the future is the issue of which technologies they will be using.

A surprising majority (49%) claim that big data, ML and AI will play a “very important” role in their strategy next year, with 19% naming them “extremely important”.

This is surprising and perhaps a bit optimistic given other responses above suggesting that there is still substantial work to be done in terms of getting greater leadership buy-in, migrating more workloads to the cloud, improving DevOps maturity and reducing more basic barriers to rapid deployment – areas that are more fundamental than something like ML or AI.

When asked openly what trends will dominate over the next three years, the most common answer was AI, chiefly for analytics and business insights purposes. This chimes with the responses above and gives a bit more detail about the purpose of AI: to make sense of the flood of data the FSIs have access to and using it to help them navigate their business through foggy seas!

Considerable mention is made of serverless, which makes sense as it helps to reduce complexity, making it simpler for organizations to innovate.

Public cloud is the third-most-cited trend, a sign that the public cloud is becoming firmly entrenched in the mainstream of financial services.

Only three respondents mentioned blockchain, suggesting that this is not as high up on the agenda for actual financial services companies as the media would have us believe.

To finish off, it’s worth quoting one Head of Engineering who is fairly sure what the future holds: “We will not see the reduction of revenue but the complete collapse of industries. Retail, media, financial services. All eaten by completely digital companies”.

You’ve been warned!



DevOps Insights Directly to Your Inbox!

Join thousands of your peers and subscribe to our best content, news, services and events.

Ben Saunders

VP, Consulting EMEA

More Articles by Ben