Deutsche Bourse plans to spend EUR270 million on blockchain, big data analytics, cloud computing, as well as robotics and artificial intelligence, as part of a 2020 roadmap that will see 350 jobs cut to increase scope for new tech investments.
The overhaul, which will see the loss of 50 management roles and a streamlining of the operation into nine distinct business units, will incur one-off costs of EUR200 million, leading to annualised savings of EUR100 million.
The Bourse says that over the coming years it plans to to create several hundred new jobs in areas holding potential for the future, alongside close to €300 million in overall technology investment.
As part of the plans, the Bourse has committed to a continued exploration of the potential of blockchain technology to create new lines of business and corresponding profits. Investments in cloud-computing technology, as well as in robotics and artificial intelligence will predominantly be applied to boosting efficiency in the existing businesses, while big data spending will have a profit-driven mandate.
Targeted acquisitions in five growth areas, comprising fixed-income securities, energy products, currencies, investment fund services, as well as data and indices, are also spelled out in the roadmap.
Theodor Weimer, CEO of Deutsche Börse AG, says: "Deutsche Börse is preparing itself for the future and for further growth in the best manner possible. We will be focusing even more consistently on the scalability of our business model and on enhancing our operational processes. Overall, this will make us faster and more efficient."
Deutsche Börse's executive board is also being rebooted, with Thomas Book (responsible for the trading business) and Stephan Leithner (post-trading as well as data and index businesses) set to join on 1 July 2018, and Christoph Böhm, chief information officer and COO, who will join on 1 November 2018.