Nasdaq OMX is to combine its Market Technology and Corporate Solutions businesses in an effort to reduce its reliance on stagnating stock market volumes and build "one of the top technology organisations in the world".
The new business unit - rebadged as Global Technology Solutions - will be led by EVP and current Nasdaq CIO Anna Ewing. It will operate as a dedicated, stand-alone software and technology management business with the scale necessary to pitch against other leading tech outfits like SunGard and Fidessa.
Treated as a separate reporting segment, the business is expected to generate $500 million in annual revenues.
Nasdaq's Market Technology business currently provides technology and advisory services to over 70 marketplaces, clearing organisations and central securities depositories in over 50 countries as well as risk management and surveillance solutions to financial services firms. Corporate Solutions provides public and private companies with a portfolio of products and services for communicating with stakeholders. It is currently closing a $390 million deal to acquire Thomson Reuters' investor relations, public relations and multimedia services units, which will open up access to 7000 new clients worldwide.
Bob Greifeld, president and CEO, Nasdaq OMX, says: "We have achieved unprecedented scale in technology services. We intend to continue to build this leading franchise into one of the top technology organisations in the world and this reorganisation reflects our focus and commitment to this exciting and growing segment of our business."
To manage technology within the core exchange business, the company has appointed former eBay and Charles Schwab CIO as global chief information officer, reporting in to Ewing.
Says Ewing: "Brad...will lead a global team responsible for enhancing our technology products and services by helping to create innovative new business opportunities, extend our technology platforms and drive efficiencies. His priority will be to enable a better experience for our customers, partners and employees."