Deutsche Bank has joined forces with Google Cloud to form a strategic partnership that aims to redefine how the bank develops and offers its financial services.
The partnership will enable Deutsche Bank to accelerate its cloud transition and build on the engineering capabilities of both companies.
Together with Google Cloud, Deutsche Bank said it will transform its IT architecture and thus “generate considerable value for its clients”. The multi-year transformation and optimisation of the bank’s current systems will take place in a phased approach.
With this partnership, Deutsche Bank will also gain direct access to data science, artificial intelligence and machine learning to better serve customers.
Potential use cases include helping treasury clients with day-to-day tasks such as cash flow forecasting, improved risk analytics, and advanced security solutions to protect clients’ accounts. For the private banking business, digital and intuitive solutions will be the focus, to simplify the interactions between customers and employees.
Sundar Pichai, CEO of Google and Alphabet said: “We’re excited about our strategic partnership and the opportunity for Google Cloud to be helpful to Deutsche Bank and its clients as they grow their business and shape the future of the financial services industry.”
Christian Sewing, CEO, Deutsche Bank, added: “The partnership with Google Cloud will be an important driver of our strategic transformation. It demonstrates our determination to invest in our technology as our future is strongly linked to successful digitization. It is as much a revenue story as it is about costs.”
The news comes as Deutsche Bank was handed a $150m (£119m) penalty for “compliance failures” in the company’s dealings with now-dead alleged sex offender Jeffery Epstein.
According to the Financial Times, the bank has also been penalised for its corresponding relationship with Danske Bank Estonia and FBME Bank, the New York Department of Financial Services confirmed on 7 July.
The penalty follows accusations that the lender had previously processed millions of dollars of payments by the disgraced financier.