"Microsoft is a little frustrated that things aren't moving faster" with the independent software vendors it's partnering with to address the retail banking industry, says Jim Beams, also a Financial Insights analyst.
Still, banks with deep pockets have earmarked spending for the retail channel. Bank of America Corp. (Charlotte) recently deployed a new mortgage-lending system nationwide, though some other pilots haven't fared as well. It had been testing the use of wireless tablets that let tellers roam the lobbies to conduct transactions. Though a success with customers, that effort "was ahead of its time from a cost perspective," says Bank of America innovations and development executive Amy Brady.
Recent regulations such as the USA PATRIOT Act and the Sarbanes-Oxley Act, coupled with a pickup in merger activity, may lead more banks to upgrade their retail technology, presenting Microsoft with an opportunity to gain mindshare in the space it's been eyeing since 1997.
Subsea cable alternatives can provide a level of comfort for those concerned about disruptions. Realistically, they will continue to play a small, but critical role in the short term.
Maintaining existing network infrastructures often incurs huge technical debt before newer technologies are adopted over time.
Amid ongoing regional uncertainties, telecom infrastructure in the Middle East has expand to include terrestrial low-latency network infrastructure, which offers resilience and agility in navigating political complexities without relying solely on undersea networks.
