London, UK – 19 July 2012 – Investment in mobile computing capabilities by UK banks and financial institutions has become a significant determinant of competitive advantage, according to research revealed today by Rackspace Hosting (NYSE: RAX), the service leader in cloud computing.
Providing customers with mobile apps is now viewed as being crucial to having a competitive advantage by 63 per cent of financial services organisations. The development of apps such as Barclays’ Pingit is an example of how use of innovative technology can be exciting and engaging to the customer; it also demonstrates the banking sector’s wider progressive attitude and desire to dominate the mobile payments industry.
The finance sector’s appetite for mobile apps has been revealed by the research, which found:
• 20 per cent have released a customer-facing mobile application in the last 12 months
• 17 per cent are in the process of developing apps for customers
• 19 per cent are developing apps for private clients
These are some of the findings of independent research carried out by CityIQ in association with Rackspace into attitudes toward mobility across the whole of the UK’s banking and finance sector.
The increasing importance of mobile in banking and finance can be attributed to the explosion in customer demand and expectations. The greater availability of cloud-based delivery mechanisms has made it feasible for mobile solutions to be developed and rolled out quickly and securely. Cloud computing is considered by the overwhelming majority of respondents as having a significant part to play in developing their mobile strategies, with 78 per cent agreeing the cloud is an enabler of increased mobility and 43 per cent stating their organisation is either using or planning to use it.
Despite growing awareness of the advantages of mobile banking apps, there are still over a quarter (27 per cent) of respondents who said they don’t have a mobile strategy, which could leave them exposed to the risk of being out-maneuvered by more innovative competitors.
“There is a clear appetite to use mobile apps for competitive advantage in banking and finance, which will underpin investments in technology that can deliver real business benefits,” said Fabio Torlini, Rackspace VP of Cloud. “This is an area that is going to continue to grow in importance, as developing mobile apps is considered by 68 per cent of respondents as something that will have an impact on their business in the future. As banks strive to provide individual and institutional customers with the technology to conduct their banking needs on the move and via any device there will be an increasing reliance on mobile apps and the cloud as the delivery mechanism.”
To see the full survey, please click here.
Rackspace Hosting is the service leader in cloud computing, and a founder of OpenStack™, the open source cloud operating system. Rackspace provides Fanatical Support® to its customers and partners across a portfolio of IT services, including Dedicated Cloud, Public Cloud and Hybrid Hosting. Rackspace has been recognized by Bloomberg BusinessWeek as a Top 100 Performing Technology Company and was featured on Sunday Times ‘Best Companies to Work For’ list. The company was also positioned in the Leaders Quadrant by Gartner Inc. in the “2011 Magic Quadrant for Managed Hosting.” For more information, visit www.rackspace.co.uk.
Forward Looking Statements
This press release contains forward-looking statements that involve risks, uncertainties and assumptions. If such risks or uncertainties materialize or such assumptions prove incorrect, the results of Rackspace Hosting could differ materially from those expressed or implied by such forward-looking statements and assumptions. All statements other than statements of historical fact are statements that could be deemed forward-looking statements, including any statements about historical results or third party data that may suggest trends for our business or industry; any statements of the plans, strategies, and objectives of Rackspace for future operations or growth; any statements of expectation or belief regarding future events, and any statements of assumptions underlying any of the items mentioned. Risks, uncertainties and assumptions include the possibility that expected growth or success may not materialize because of Rackspace's failure to sustain a culture that inspires employees to provide Fanatical Support, failure to execute on its operational plans, rapid technological changes that adversely affect the demand for Rackspace products and services, shifts in customer demand, customers' and potential customers' acceptance of Rackspace products and services, and other risks that are described in Rackspace Hosting's Form 10-Q for the quarter ended March 31, 2012, filed with the SEC on May 9, 2012. Except as required by law, Rackspace Hosting assumes no obligation to update these forward-looking statements publicly, or to update the reasons actual results could differ materially from those anticipated in these forward-looking statements, even if new information becomes available in the future.
For more information, please contact:
Brooke Hamilton, +442087342574
About Rackspace Hosting
Rackspace® (NYSE: RAX) is the open cloud company and founder of OpenStack, the standard open-source operating system for cloud computing. Headquartered in San Antonio, Rackspace delivers its renowned Fanatical Support® to more than 200,000 business customers, from data centers on four continents. Rackspace is a leading provider of hybrid clouds, which enable businesses to run their workloads where they run most effectively — whether on the public cloud, a private cloud, dedicated servers, or a combination of these platforms. Rackspace has been recognized by Bloomberg BusinessWeek as a Top 100 Performing Technology Company, and is featured on Fortune’s list of 100 Best Companies to Work For. For more information, visit www.rackspace.co.uk.
This press release contains forward-looking statements that involve risks, uncertainties and assumptions. If such risks or uncertainties materialize or such assumptions prove incorrect, the results of Rackspace Hosting could differ materially from those expressed or implied by such forward-looking statements and assumptions. All statements other than statements of historical fact are statements that could be deemed forward-looking statements, including any statements concerning expected development, performance or market acceptance associated with the Rackspace’s hybrid cloud solutions, federated cloud services or other associated products and services; anticipated operational and financial benefits from Rackspace’s hybrid cloud solutions, federated cloud services or other associated products and services; any statements of expectation or belief; and any statements of assumptions underlying any of the foregoing. Risks, uncertainties and assumptions include including the possibility that expected benefits from the Rackspace cloud network program or the products and services offered through the Rackspace cloud network program may not materialize because the products or services are not generally accepted in the marketplace, which could occur due to certain factors including (i) a failure to market the products or services cost effectively, differentiate the products and services from competitive products and services or communicate differentiations effectively, (ii) the reliability, quality or compatibility associated with the products or services, (iii) changes in technology which adversely affect the benefits of the product, (iv) slowdowns in the general economy or technology industry that impact consumer spending habits, (v) internal strategy decisions that impact the platform, products and services, and (vi) and other risks that are described in Rackspace Hosting’s Form 10-Q for the year ended March 31, 2012, filed with the SEC on May 9, 2013. Except as required by law, Rackspace Hosting assumes no obligation to update these forward-looking statements publicly, or to update the reasons actual results could differ materially from those anticipated in these forward-looking statements, even if new information becomes available in the future.