Search Giant Google Strikes Technology Partnership With British Lender Cynergy Bank

by Jonathan Adams
Google

Cynergy Bank, the small, boutique British lender created in 2018 after a consortium bought the British business of the Bank of Cyprus for £103 million, has signed a technology partnership with the U.S. internet giant. Google will help Cynergy, which offers banking services focused on businesses, entrepreneurs and the wealthy, build a new digital platform powered by Google Cloud Platform.

Cynergy hopes the new platform will allow it to offer both a superior digital and personal banking service, with the latest technology in the world of AI and cloud computing automating time consuming ‘back office’ functions. Currently, Cynergy’s relationship managers, which serve account holders with more sophisticated needs than standard banking, spend around 30% of their time with clients and 70% dealing with ‘internal processes’. Cynergy CEO Nick Fahy believes the new platform will flip that split, commenting:

“At the moment, a relationship manager can serve about 30 clients. Using technology, a relationship manager should be able to serve over 100 with no reduction in service.”

Google’s technology, including data analytics and AI-powered automations should mean the bank’s relationship managers can instead spend 70% to 80% of their time with clients. By harnessing Google’s world class expertise in data and artificial intelligence, Cynergy believes it can grow its current client base of around 80,000 customers to between 300,000 and 500,000 within 3 years.

The new platform is targeting launch within the first three months of next year. It is not clear what the financial terms of the arrangement are, and whether Google’s interest is being able to use the platform it is developing as the basis for other banking partnerships. There has been no announcement on Google taking an equity stake in Cynergy as part of the deal.

Other major banks that use Google’s Cloud computing service include digital-only fintech banks Revolut, Starling and Monzo, as well as the traditional high street banks Lloyds and HSBC. Google’s search engine also runs on the Google Cloud infrastructure, which is the world’s third largest cloud computing service after Amazon’s AWS and Microsoft’s Azure.

Adrian Poole, head of financial services at Google Cloud Platform UK & Ireland, commented on behalf of the tech giant:

“The exciting part of this particular partnership is that Cynergy will offer a personal relationship experience, alongside the infrastructure and software of a fully digital bank. This is ideal for small and medium businesses that need the capability and capacity to grow fast.”



Important
This article is for information purposes only.
Please remember that financial investments may rise or fall and past performance does not guarantee future performance in respect of income or capital growth; you may not get back the amount you invested.
There is no obligation to purchase anything but, if you decide to do so, you are strongly advised to consult a professional adviser before making any investment decisions.

Related News

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Accept Know more