Today at the Microsoft Worldwide Partner Conference in Los Angeles, Temenos, the global provider of banking software, launched a complementary go-to-market model using Microsoft technologies to address affordable access to finance in emerging markets. Temenos was also today selected the Microsoft Financial Services Partner of the Year at the Microsoft Worldwide Partner Conference.
This latest development builds on pioneering work between Temenos and Microsoft Corp. to offer TEMENOS T24 (T24) on the Windows Azure platform and is marked by the successful implementation of this software offering in a network of six Mexican microfinance institutions (MFIs), which went live in May 2011. This represents the first live instance of core operations being run on the Azure platform. Temenos also is now offering its cloud computing-based solution in Africa, to be followed by South and Southeast Asia, as well as other markets.
"Today, IT virtualization is gaining traction in the microfinance sector as more MFIs recognize the cost efficiencies of running their operations in this way," said Murray Gardiner, director, Microfinance and Community Banking, Temenos. "The infrastructure investment around cloud technology being made by Microsoft and Temenos takes advantage of the strength of Temenos' global market position and focuses on achieving a common goal: the transformation of the microfinance sector."
"We are committed to supporting technology solutions to bring about social change and improve the lives of the underserved worldwide," said Simon Witts, corporate vice president, Enterprise & Partner Group, Microsoft. "Meeting this challenge in emerging markets will require turning a latent demand for financial services into an effective demand for real financial products. With the Windows Azure cloud infrastructure, Microsoft and Temenos are engaged in providing these services to microfinance institutions and, together, we are helping to lead the transformation of financial services for the 2 billion people living on less than $2 per day."
"Today's announcement marks a major technology milestone in the financial services industry," said Bob Hunt, senior research director, Retail Banking and Cards Practice, TowerGroup. According to Hunt, "The financial services industry wants to ensure that cloud computing can provide the security, reliability and functionality needed for mission-critical processing. Although TowerGroup expects that the banks and vendors will transition critical functions to the cloud on a gradual basis, the journey has clearly begun."
T24 on the Windows Azure platform enables financial institutions to move operations to a low-cost consumption-based pricing model. Banks no longer need to expend time and budget on provisioning and operating hardware resources — running T24 natively on Windows Azure enables them to scale resources effectively and increase volume according to customer demand.