Euroclear enters into 7-year strategic partnership with Microsoft harnessing cloud, data and AI
Rhea-AI Summary
Euroclear has announced a 7-year strategic partnership with Microsoft to transform its technology infrastructure and client experience. The collaboration aims to leverage Microsoft's cloud solutions, AI, and analytics to enhance Euroclear's position as a Digital and Data-Enabled Financial Market Infrastructure.
The partnership will focus on four key areas in 2025: developing a financial data sharing ecosystem, transforming Euroclear FundsPlace with AI-driven insights, modernizing customer engagement through a unified platform, and strengthening market infrastructure. The initiative will utilize Microsoft's technologies including Azure, Copilot, Azure AI, Microsoft Fabric, and Teams.
This strategic alliance connects Euroclear's network of over 2,000 financial institutions with Microsoft's cloud capabilities, aiming to shift from traditional sequential workflows to an ecosystem-centric capital markets model. The partnership will enhance platform development, operations, and improve disaster recovery capabilities.
Positive
- Strategic partnership with Microsoft enhances technological capabilities and market position
- Access to advanced cloud, AI, and analytics solutions to improve operational efficiency
- Potential for new revenue streams through data-centric initiatives
- Enhanced disaster recovery and business continuity capabilities
Negative
- Significant dependency on a single technology provider for critical infrastructure
- Potential implementation risks during technology transformation
News Market Reaction
On the day this news was published, MSFT declined 6.18%, reflecting a notable negative market reaction.
Data tracked by StockTitan Argus on the day of publication.
- Strategic partnership to accelerate Euroclear's vision to create an open digital and data platform driving greater efficiency for all capital markets participants
- Cooperation to transform Euroclear's technology infrastructure with Microsoft's cloud solutions
- Co-development of industry-leading, innovative solutions unlocking the wealth of data of Euroclear's ecosystem
The partnership further strengthens Euroclear's business ecosystem and technology infrastructure by leveraging Microsoft's leading technology, expertise and cloud services. This will enhance Euroclear's ability to create value for all market participants and unlock new opportunities at the core of the capital markets ecosystem. Microsoft will support Euroclear's strategic ambition in key growth areas like funds and client experience as well as its long-term vision to evolve into a Digital and Data-Enabled Financial Market Infrastructure.
By joining forces with Microsoft, Euroclear will be pioneering innovative digital and data-centric initiatives, which will foster collaboration with other industry participants to create shared solutions based on standardised and compatible technologies that bring the best value to industry service providers but also to issuers and investors alike.
Valérie Urbain, CEO of Euroclear, said: "Technology is rapidly transforming financial market infrastructures. Harnessing the latest developments in cloud, AI and analytics is a critical enabler of Euroclear's strategy and a driver of innovation, new business and resilience. Microsoft's technology leadership and understanding of financial markets make it an ideal strategic partner for the next stage in our journey. This mutually beneficial relationship greatly accelerates our ambitions and should bring us much closer to clients."
"Our partnership with Euroclear combines their extensive financial ecosystem—connecting more than 2,000 financial institutions—with the trust and scalability of the Microsoft Cloud including Microsoft Azure, Microsoft Copilot, Azure AI, Microsoft Fabric, and Microsoft Teams," said Ralph Haupter, President, EMEA at Microsoft. "Together, we are enabling a shift from traditional sequential workflows to an ecosystem-centric capital markets model. This transformation will empower financial institutions to reimagine how they interact, analyse data, and deliver insights to end users, driving efficiency and innovation across the industry."
The adoption of Microsoft's cutting-edge technologies like cloud (which in turn is a platform for scalable transformation) and generative AI will streamline platform development and operations. The use of Microsoft's flexible cloud capacity and automated solutions for rapid disaster recovery and business continuity will further improve Euroclear's resilience and security.
The partnership's initial focus has been established and will gradually evolve to co-develop additional digital and data initiatives and scale modernisation efforts. The initial scope for 2025 will focus on:
- Developing a financial data sharing ecosystem: Designing a secure platform to enable collaboration and data sharing, leveraging Microsoft's secure identity, confidential data sharing and cross-collaboration capabilities.
- Transforming Euroclear's global offering, Euroclear FundsPlace: Enhancing the customer experience with AI-driven insights, streamlined operations, and increased efficiencies for market participants.
- Modernising customer engagement: Establishing a unified platform to enhance Euroclear's customer interactions and streamline operations across all customer-facing business lines.
- Strengthening market infrastructure: Building next-generation, secure financial infrastructure with built-in compliance, security, and reliability to support mission-critical workloads.
The partnership is sponsored by senior executives from both sides, representing both IT and business perspectives, to ensure the successful development of the partnership and the delivery of value for our clients and ecosystem partners.
About Euroclear
Euroclear group is the financial industry's trusted provider of post trade services. Guided by its purpose, Euroclear innovates to bring safety, efficiency and connections to financial markets for sustainable economic growth. Euroclear provides settlement and custody of domestic and cross-border securities for bonds, equities and derivatives and investment funds. As a proven, resilient capital market infrastructure, Euroclear is committed to delivering risk-mitigation, automation and efficiency at scale for its global client franchise. The Euroclear group comprises Euroclear Bank, the International CSD, as well as Euroclear Belgium, Euroclear Finland, Euroclear France, Euroclear Nederland, Euroclear Sweden, Euroclear
About Microsoft
Microsoft (Nasdaq: "MSFT" | @microsoft) creates platforms and tools powered by AI to deliver innovative solutions that meet the evolving needs of our customers. The technology company is committed to making AI available broadly and doing so responsibly, with a mission to empower every person and every organization on the planet to achieve more.
In
Pascal Brabant
pascal.brabant@euroclear.com
+32 475 78 36 62
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SOURCE Euroclear
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