itb-nz logo
Story image

Google, Apple, Amazon financial moves could impact NZ

Apple, Google and Amazon are encroaching on financial services and threatening incumbents with their size and ability to attract massive, loyal user bases.

That's the bold claim from FintechNZ, who says it's no surprise the big tech giants are looking at financial services for growth opportunities and it could impact on New Zealand.

"The tech giants and banks hold a vast amount of data on us Kiwis," says FintechNZ general manager James Brown. 

"The main difference is tech companies are data-driven and use this to achieve an outcome. The banks may struggle to extract the data due to multiple levels of legacy systems that don't talk to each other and struggle to drive true customer outcomes," he explains. "We are certainly keen to help our banks in New Zealand."

Brown says the US tech giants are reportedly set to grab up to 40% of the $1.35 trillion in US financial services revenue from incumbent banks. 

"Apple, Google and Amazon are global and only a number of the banks operate on a global scale, making them vulnerable to attack," he says.

"Facebook has shown with Libra that they can enter into a new banking market that banks don't have the ability to challenge," says Brown. "How will banks drive value if they lose 40 percent of their market share?

"I still think they have the opportunity to drive better customer outcomes if they move away from just thinking they are there just to provide financial services products," he states.

"For banks, from now, it should all be about what customer actually wants. Substantially improved customer-centric, customer service will help the banks."

Brown says Apple, Google and Amazon are making to gain a larger foothold in the global financial services industry, and says Apple's expertise in consumer-facing tech products makes it a legitimate threat to legacy players.

"Its next move could be a debit card or personal financial management app, both of which would be cohesive with its existing offerings," he says. 

Meanwhile, Brown says Google's money movement and commerce services form a payments hub with unrivalled global reach.

"Amazon is an expert disruptor and it has its sights set on the financial services industry next. Amazon could develop checking and savings accounts to deepen its financial services footprint," says Brown.

"New Zealand is on the verge of a cataclysmic change in the way Kiwis think about financial services and the moves by Amazon, Google and Apple will accelerate change," he adds.

"But it will be the big topic at the New Zealand cyber security summit in Wellington later this year."

Story image
Cyber threat intelligence reaching maturity in organisations worldwide
Cyber threat intelligence is reaching a state of maturity and integration in organisations across the globe, according to a survey by the SANS Institute and ThreatQuotient.More
Story image
Advertisers modelling GFC behaviour as Facebook ad costs tank and Google Ads rise 
"Marketers are looking to prove return on investment by spending on what is measurable and targeting customers who are already searching and already in the click and buy cycle."More
Story image
Interview: ACE Training execs discuss how to capitalise on NZ's new data centre region
Microsoft's bombshell announcement last month to build a data centre region in New Zealand made waves with the country's enterprises. Graham Dwyer and Ray Deklerk discuss the wider implications and benefits.More
Story image
AIOps and the evolution of IT infrastructure monitoring
As companies adapt to ongoing digital transformation, they will soon realise that they need more than just a dedicated IT team to view and manage the company’s IT infrastructure. That’s where AIOps comes in.More
Story image
CareAR integrates AR support solution with ServiceNow
CareAR is an augmented reality visual support platform that helps enterprises add AR capabilities to their service experience.More
Link image
How to deploy containerised apps in your cloud infrastructure
Move your business into the future - take advantage of a free consultation to pinpoint how container-based applications can propel your cloud infrastructure to new heights.More