For the past 45 years I have commented publicly and opined privately on the comparative values of the top core system vendors. I have always defined "top" by the number of their core system customers. Before the consolidation of core companies, which took
off in 1987, the top group included ten companies. Today, that number is three, Fiserv, Jack Henry and FIS. Including acquisitions, these three have been providing bank tech solutions since the sixties. The three combined are now the primary IT providers
for 75% of the U.S. financial institutions.
A few weeks ago, I decided to produce an updated exhibit of the Top3, for my own protection, to make sure I am still as accurate as I have been. This exhibit's title is:
"42 Ways to Measure Values of the Top Three Core Vendors in the U.S."
Three columns show each vendor's performance with a 1, 2 or 3. How creative is that? It has already served its purpose as an internal audit, because I am convinced that the matrix is meaningful, accurate, fresh, relevant, objective, surprising, and easy to
read. It is also true, as long as you define truth the way Webster defines it. Sorry, Rudy.
The one-page exhibit had an audience of one - moi, because I am vetted by nine organizations whose conditions are that I will never tell an investor anything that is not already publicly available. Since then, I have shared this notice with 52 trusted advisors
and have received no corrections.
There's no punch line to this message, just a reminder that the bank tech business is not a commodity business. These vendors are as different as Jeff Bezos, Bill Gates and Warren Buffett.
Full disclosure - The methodology used in developing the content of my exhibit is a combination of vendor-provided facts, press releases, Automation in Banking - 2016, core selection projects for 323 banks, and my opinions.